The football club Portsmouth are set to go into administration for the second time in two years, and the company has recently been issued with a petition for winding up by the revenue office.
The club are due to appear at the Royal Courts of Justice in late February and they face a 10 point deduction in the league. This will leave them outside of the top 20.
The Chief Executive of the club is David Lampitt and he has recently told the BBC, “An administration order has been applied for. We expect that this is going to be heard in court by the end of the week and that the club will be placed into administration.”
The club are finding it difficult to trade currently because their bank accounts have been frozen due to the winding up order. As soon as this has been put through the club will be able to trade again but they will not escape easily as the 10 point deduction is a very severe penalty.
The club was the first Premier league side to be put into administration last year and this meant that they were relegated to the championship. If it happens again this time around then it is likely they are going to be fighting against relegation once more.
Mr Lambert continued, “We have worked hard to keep the club up and running since its first administration hearing in 2010. Finding out that we are going to have two go into administration again is very hard and my sympathy mostly goes out to the fans of the club.”
The parent company of the club entered administration last November and has forced Pompey to find a new owner. It later became clear that the club owed a lot of money to the Inland Revenue, and this made keeping it afloat very difficult.