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Last Updated: Saturday, 2 June 2007, 10:10 GMT 11:10 UK
Recount for Leeds Utd sale vote
Ken Bates
Bates is in the driving seat to stay in charge at Elland Road
A meeting to decide the future of Leeds United has been put on hold to allow a recount of votes to decide who the football club should be sold to.

Ken Bates, who put the club into administration on 4 May with debts of �35m, needed 75% of the votes of creditors to win control.

The original count showed he had 75.02% of the vote, administrators KPMG said. The recount is scheduled for Monday.

Mr Bates has offered to repay one pence for every pound of the club's debt.

The closed meeting had been prolonged because of "heated objections" to the sale process, the BBC learned.

Fans will be concerned that Leeds will not be up and running and ready to start the new season in August.
Leeds supporters' chief Ray Fell

It is understood there was some debate on whether one of four other consortia would be better for creditors.

All five consortia have proved they have the funds in place to buy the stricken Yorkshire club, KPMG said.

And Leeds supporters' chief Ray Fell fears the battle for control of the club may end up in the courts.

"I think fans will be bewildered as they were hoping for some indication of where Leeds will be going, but that has not happened because this will run and run for a while," he said.

"It's possible that this will go to the courts. It could be any one of the creditors who can challenge it legally and it will not be a surprise to me if that happens from what I have heard.

"Fans will be concerned that Leeds will not be up and running and ready to start the new season in August."

However, Mr Bates was clear favourite to emerge victorious from the meeting.

KPMG has refused to identify the five would-be investors ahead of the company voluntary arrangement (CVA) meeting.

But local property developer Simon Morris and Duncan Revie, son of former manager Don, have lodged an interest.

Winding up order

Mr Bates was forced to call in the administrators on 4 May prior to the final game of the season, a decision which confirmed their relegation to League One.

The club is �35m in debt and the Inland Revenue has issued a winding-up order because the club has an unpaid bill of �7m.

And the balance sheet revealed a �10m cash injection was required to keep the club alive.

But with the approval of administrators KPMG, the club were immediately sold to a newly-formed company, Leeds United Football Club Limited, of which Mr Bates is a listed director.

Joint administrator and KPMG Restructuring partner Richard Fleming said: "While we have marketed the business and secured alternative offers for the club, we have also had to advise creditors that more than 25% of the creditors by value have informed us that the deal on the table, to sell the club to the newly-formed Leeds United Football Club Ltd, is the only proposal they will support.

"Given a CVA proposal requires the support of 75% of creditors by value, this would appear to make it difficult for any other offer to be successfully progressed."

SEE ALSO
Bates warning over Leeds future
29 May 07 |  Leeds United
Revie edges closer to Leeds bid
23 May 07 |  Leeds United
Krasner fury at Bates' Leeds bid
17 May 07 |  Leeds United
The demise of Leeds United
04 May 07 |  Leeds United
Bates calls for Leeds investment
05 May 07 |  Leeds United
Parkin was close to Leeds buy-out
07 Nov 06 |  Leeds United
Bates completes takeover of Leeds
21 Jan 05 |  Leeds United


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