Chester receive payment extension

Blue Square Premier crisis club Chester have been given a further extension until 30 November to repay debts owed to Wrexham and Vauxhall Motors.

Chester owner Stephen Vaughan claims that the club are owed money too, by the Football League and the Conference.

But City, originally due to settle the matter by 26 October, have already had one extension to the deadline.

And they still face expulsion from the Blue Square Premier if they fail to make payments by the new deadline.

A potential sticking point is the money Chester claim to be owed as their parachute payment following relegation last season from the Football League. But it understood that such a payment is not automatic, but discretionary.

A statement issued on Monday by the Football Conference read: "On Thursday, 12th November, notification was received from the board of the Football League that they required further time to seek and take legal advice on the award and distribution of possible payments to Chester City FC from monies held by the Football League Ltd.

"As a consequence of this request, the Football Conference has agreed, in the interests of the competition as a whole, to extend the date of compliance to Monday, 30th November for Chester City FC to fully comply with the financial payments ordered against them.

"The board reiterate their previous statement that any failure to make such payments in full by this date will lead to a move to call a meeting of member clubs to consider the club's expulsion in accordance with the rules of the Football Conference."

I've asked for their loans to be extended. We just need to sort out the financial side

Chester boss Jim Harvey on loan players Michael Coulson and Johnny Flynn

For all their off-field problems, new Chester boss Jim Harvey has begun to turn things round on the pitch.

Although dumped out of the FA Cup in a replay by Blue Square Premier rivals Barrow, City had strung three straight league wins together until last week's away defeats at York and Tamworth.

But City's upturn in form has been built around two key loan signings, Barnsley midfielder Michael Coulson and teenage Blackburn Rovers defender Johnny Flynn.

Because of the club's financial situation, Chester are back under a transfer embargo.

But extending the deals for Coulson and Flynn, who missed Saturday's defeat at Tamworth as he was on international duty with Northern Ireland Under-21s, can still be done as they are existing loans.

"I've asked for them to be extended," said Harvey. "We just need to sort out the financial side.

"If we can extend those loans that we have that's ok, but we still need to get some new players in."