BusinessBusiness RecoveryWimbledon FC survives Revenue challenge

Wimbledon FC survives Revenue challenge

A challenge by the Inland Revenue to Wimbledon Football Club's company voluntary arrangement has failed, inflicting a major defeat in the department's battle against the status of football 'super creditors'.

Link: Revenue action could kill off Wimbledon FC

Wimbledon – described by Mr Justice Lightman as ‘hopelessly insolvent’ – faces liquidation without the CVA. The league is also set to expel the club if it fails to pay football creditors in full, payment the Revenue argued would see the taxman unfairly deprived.

The judge said: ‘The power of the League to impose the obstacle and secure full payment for creditors of its choice may be objectionable…but the obstacle exists [and] by common consent is legal.’

In a hint that it is viewing the challenge to Wimbledon’s CVA as a test case, the Revenue said: ‘We will look at the outcome of this case and consider our position after that.’

The Revenue is appealing the judge’s refusal to grant leave to appeal, meaning Wimbledon’s future remains uncertain.

Administrators Grant Thornton, said: ‘We hope that this will be a big step forward towards restructuring the club’s affairs and allowing the consortium to finally take control.’

Related Articles

Investment firm acquires Avon Steel Company Limited

Business Recovery Investment firm acquires Avon Steel Company Limited

6d Emma Smith, Managing Editor
Manchester law firm enters into administration

Business Recovery Manchester law firm enters into administration

6d Emma Smith, Managing Editor
KPMG appoints new global head of insolvency

Business Recovery KPMG appoints new global head of insolvency

3w Emma Smith, Managing Editor
EY hired by Carillion to review finances

Accounting Firms EY hired by Carillion to review finances

5m Alia Shoaib, Reporter
Using insolvency as a debt recovery tool

Business Recovery Using insolvency as a debt recovery tool

6m Emma Smith, Managing Editor
UK government should support mid-sized businesses to create a ‘new economy’ post-Brexit, says BDO report

Business Recovery UK government should support mid-sized businesses to create a ‘new economy’ post-Brexit, says BDO report

8m Alia Shoaib, Reporter
Over 800 jobs saved as Endless LLP acquires Jones Bootmaker

Business Recovery Over 800 jobs saved as Endless LLP acquires Jones Bootmaker

9m Emma Smith, Managing Editor
FRP Advisory expands operation with new office, partner appointments

Accounting Firms FRP Advisory expands operation with new office, partner appointments

10m Emma Smith, Managing Editor