Yorkshire Evening Post 10/8/07
Fighting talk: Leeds United manager urges unity
Dennis Wise today urged every faction of Leeds United to unite behind his banner after promising to wage war on the "laughable" 15-point penalty forced upon the club by the Football League.
Wise called for an immediate end to the in-fighting which has plagued Elland Road this summer after Leeds' appeal against their crippling punishment was rejected by the other 71 Football League clubs.
United's attempt to overturn the unprecedented deduction – imposed for a breach of the League's insolvency rules through chairman Ken Bates' re-purchase of Leeds – was dismissed by a large majority of clubs during a meeting in London yesterday, but an infuriated Wise directed unveiled criticism at the League's members and questioned their motives for opposing the appeal.
The decision to uphold the punishment has given United's forthcoming season, which begins against Tranmere Rovers at Prenton Park tomorrow, a frustrating perspective, leaving Leeds 15 points adrift of the League One field before the campaign has begun, but Wise refused to be demoralised by the prospect of an immediate relegation battle.
The Elland Road boss has seen his popularity grow among the club's supporters after the most impossible of pre-seasons, and he promised to fight their corner by attempting to make a mockery of the Football League's stance this season.Leeds will need more than 100 points to secure the title, and around 90 to earn a place in the play-offs.
Avoiding relegation will itself require United to reach the 70-point mark, but the stark reality of the challenge facing Leeds did not prevent Wise from securing midfielder Andy Hughes on a two-year deal from Norwich City yesterday.
Wise said: "These players and these fans are going to stick together, and are going to be strong. There's a massive point to prove – for everyone.
"A lot of people want to see us fall flat on our faces, and they haven't helped the situation. But we've got to fight against it.
"The supporters don't like Batesy, and they don't particularly like me. But they've got us. We're part of this football club.
"It's difficult because of your background and where you come from. They find it very difficult to accept. This is part and parcel of what football's about. It takes them a bit of time to get used to you, and I've got to give them that time. So has Ken Bates.
"But how many people would take on this? We will take it on, and we love it – we love the challenge and we need the supporters behind us. It's that simple.
"In time, Bates has turned other things round and so have I. Hopefully, we can do it for the fans, ourselves and this football club. It's time to march on and stick together."
United approached yesterday's appeal with a genuine hope of reducing their punishment, aided by an extremely persuasive letter which was sent by Bates to every other Football League chairman.
But the support for the governing body and their chairman Lord Brian Mawhinney was overwhelming, and the penalty was upheld after a two-hour meeting in the capital.
Only five clubs voted to spare Leeds punishment.
As various chairman appeared from the debate to explain their reasoning to the waiting media, Wise was left to reflect on the fact that his side will be in negative figures until September 8 at the earliest.
United's boss could already write a book about his time at Elland Road; there is little that could have happened which has not impinged on Wise's job since his appointment in October of last year. But yesterday's ruling was particularly galling, a blow struck for reasons that he could neither accept nor understand.
Asked if he understood why United's supporters have long felt victimised by those who run English football, Wise said: "I do now, after that.
"You think you'll get a helping hand, and that people will be fair. This doesn't look too fair to me."
Some people were very nice to us but some people were saying certain things on television with a wonderful big smile on their faces, pleased with the outcome.
"It's laughable. They've not only taken my arms and legs off, they've cut my balls off as well. It's not funny at all.
"It's about being fair. You need to be fair and I think a lot of them will go home knowing deep down inside that they haven't been.
"Some will have done it for their own reasons, and probably not the right reasons. Everyone wants to try and get a head start, and 23 teams in our league have got a very good head start on us.
"We have to get 106 points to win the league, 92 points to get in the play-offs, and 70 points to stay up. Thank you very much.
Limit
"But we're here to be tested and we've been tested to the limit now. We're looking forward to what we have to do."
The signing of Hughes – a versatile player who can operate in midfield or at right-back – at least served to raise Wise's spirits and remind him that Elland Road has not lost its appeal entirely.
Hughes committed himself to Leeds knowing that the 15-point penalty would stand, and United are also believed to be considering a move for Motherwell goalkeeper Alan Martin.
United will be without a substitute keeper for tomorrow's opening League One fixture – their first ever league clash with Tranmere – unless cover is found for Casper Ankergren.
Wise said: "The pleasing thing is that I've signed Andrew Hughes from Norwich. I spoke to him and said 'we're minus 15'. He said 'no problem gaffer, let's brush ourselves down and get on with it'.
"That's someone who wants to join this football club and that's what I want. He doesn't care and he wants to give it a real go. So does every player I've got here. Let's have a go."
Yorkshire Post 9/8/07
Wise fumes as rivals shun Leeds
By Richard Sutcliffe
DENNIS WISE was last night in bullish mood about Leeds United's chances of overcoming a record points deduction and achieving his initial target of staying in League One.The Elland Road club had hoped to overturn a 15-point penalty imposed by the Football League for what they saw as United's failure to follow a clear insolvency policy.
But at a specially convened meeting in a London hotel yesterday, the other 71 chairmen voted by a majority of 54-16 (Bury were not represented) to uphold the original points deduction. Wise described the decision as "laughable" and hinted self-interest had played a part in many of the chairmen deciding to back the League's stance. He said: "A lot of people want to see us fall flat on our faces, but we will fight that. We pick ourselves up, dust ourselves down and get on with it. It is time for us to march on and stick together."We need 106 points to win the league, 92 points to get in the play-offs and 70 to stay up. Lovely. Thanks very much. We know it is going to be difficult but we are up for this.
"We were hoping the number might have come down slightly and made certain things achievable. Some things are still achievable but we will need a lot of luck on the way.
"The first target is we want to stay up. After that, there are other targets we want to achieve. But that is our first aim, 70 points.
"We can turn a negative into a positive. We will have a massive point to prove (every time we go out). And we are looking forward to it."
The rejection of United's appeal was the latest in a series of bodyblows for Wise this summer with his re-building plans having had to be put on hold until a week ago when the club's League share, suspended when they went into administration on May 4, was belatedly transferred to a new company set up by Ken Bates.
The Leeds chief has been busy since then with the capture last night of Norwich midfielder Andrew Hughes on a two-year contract taking his tally of signings to nine after Alan Thompson and Tore Andre Flo had agreed one-year deals earlier in the day.
Wise had been hoping the original penalty, which is five points more than the League have imposed in the past, would be cut by the other 71 chairmen.
Two votes were taken at yesterday's two-hour meeting with the first, that Leeds deserved some form of penalty for not completing a Company Voluntary Arrangement, being passed by 64 to five with one spoilt vote.
Officials of Oldham Athletic, Gillingham, Hull City and Peterborough United all spoke publicly after the meeting of their support for the League's stance.
Wise said: "Some (clubs) were nice to us, but some were saying certain things on television with a wonderful, big smile on their face. They seemed pleased with the outcome.
"It is laughable. We would like to know, deep down, what the real reasons are.
"If you look at the teams in our division, I am sure they probably wouldn't have voted for us.
"I think a lot of them will have gone home and known deep down they have not been fair. Some will have done it for their own reasons, and those reasons are probably not the right ones.
"But everyone wants to get a head start and 23 teams now have a very good head start on us."
The League stressed after the meeting the matter was now closed, Lord Mawhinney adding: "We have an agreement with Leeds, signed by both the League and the club, that they will not take any legal action against us and we will not take any legal action against them.
"That is a standard part of the agreement that every club signs when they come out of administration."
Yorkshire Post 9/8/07
League Two start threatened for Leeds
By Richard Sutcliffe
THE Football League considered relegating Leeds United to League Two rather than imposing a record points deduction on the club, the Yorkshire Post can reveal.
All 72 club chairmen will meet today to vote on whether the 15-point penalty, which was imposed by the League last Friday night, should stand.Ken Bates will plead Leeds's case at the specially convened meeting in London when a straight majority will be required to win the vote. The 15-point penalty could be upheld, reduced or wiped out completely.
United were hit with such a hefty deduction because they failed to follow the League's insolvency policy, namely completing a Company Voluntary Arrangement (CVA) like the other 41 member clubs who have been through the administration process.
In agreeing to transfer the club's share – suspended when United went into administration in May – to a new company set up by Bates, the Yorkshire Post can exclusively reveal that the League also considered a number of options including making Dennis Wise's side kick off the 2007-08 campaign in the basement division.
This was outlined by League chairman, Lord Mawhinney, in a follow-up letter to his original invitation to attend the meeting, sent to all 72 club chairmen yesterday morning along with a missive from Bates.
United are hoping their chairman's four-page explanation about this summer's events at Elland Road will help tip the balance in their favour at today's meeting, which starts at 10.30am.
Bates outlines the reasons why United were forced into administration in May and also launches a stinging attack on the Inland Revenue, who were owed £7.7m of a total debt of £35m when the club went under.
The taxman, who according to Bates's letter was paid almost £25m by the club between January 2005 and April this year, lodged their objection to a CVA – which had been narrowly passed by the required 75 per cent of creditors – on the final day of a 28-day statutory period for appeals.
Bates insists this was done for "political reasons" and that the Revenue's appeal was "a sham", claiming it "was yet another attack on the football creditor rules, something the Revenue had sought to attack since their preferred status had been withdrawn in September 2003".
The Elland Road chairman then goes on to suggest that "Leeds should not be punished because the Revenue are intransigent".
As reported in last Friday's Yorkshire Post, the League wanted administrators KPMG to reconstitute the CVA and take a fresh vote.
However, Bates writes in the letter to his fellow chairmen: "Because we had paid the players' wages and some players had moved on during the close season, the 'football debts' had reduced meaning the Revenue's votes as a proportion of the whole had increased.
"The administrators were of the view that the Revenue now represented 24.4 per cent of the debt and this would enable them to block the CVA."
Bates continues: "It was agreed to approach the Revenue to seek to persuade them to withdraw their objection. Their response was categoric.
"They stated on the record that if a revised CVA was presented 'as a matter of policy, HMRC would vote against the CVA that resulted in football creditors being paid in full'."If the CVA was passed, they would appeal again and would litigate all the way. Their position means that unsecured creditors generally, including themselves, will get a lower payment than they would have done under the CVA."
Bates, who describes criticism of the club incurring a 10-point penalty in the final week of last season as "unfair", also stresses in the letter that administration "was not pre-planned".
He said: "My staff at Leeds fought tooth and nail to get Leeds through to the start of the coming season when the last of the contracts that remained from the days of "living the dream" would have, at last, expired."
In his summing up, Bates then writes: "We have broken no rules. The 'exceptional circumstances' rules were introduced to cover exactly the situation that exists today.
"We can only speculate as to the reasoning behind the imposition of a sanction when no rules have been broken.
"We believe such a sanction is wholly unfair and a breach of natural justice. On Thursday, we will be asking you to overturn its imposition."
BBC 9/8/07
Leeds snap up midfielder Thompson
Alan Thompson has signed for Leeds on an initial one-year contract and has been installed as club captain.
The 33-year-old has rejoined the club on a free transfer - having been on loan last season after parting company with Celtic during the summer.
Meanwhile, former Norway striker Tore Andre Flo, 34, has signed a new one-year contract.
Flo had joined Leeds in January on a deal until the end of the season, but was injured after just two appearances.
Meanwhile, Leeds have handed 16-year-old striker Tom Elliott a professional contract which will become effective from the summer of 2008.
Elliott made his first-team debut last season, while still a schoolboy.
BBC 9/8/07
Leeds lose points penalty appeal
Leeds have lost their appeal against a 15-point deduction for the start of the new season following a breach of the Football League's insolvency policy.
The chairmen of the other 71 Football League clubs voted "overwhelmingly" to sanction Leeds and then again to uphold the original punishment.
In both cases, the outcome was higher than a 75% majority vote.
However, he has no option other than to accept the punishment, with League chairman Lord Mawhinney confirming the club had no right to take legal action.
Lord Mawhinney said: "We have an agreement with Leeds, signed by both the League and the club, that they will not take any legal action against us and we will not take any legal action against them.
"That is a standard part of the agreement that every club signs when it comes out of administration.
"That has not been generated for the benefit of Leeds United, we've done that in the last 40 administrations and we did in this one as well."
Leeds manager Dennis Wise was incensed by the Football League's decision.
"It's just not funny at all," said Wise. "We'd like to know deep down the real reasons.
"I'm disappointed with the whole thing. Minus 15 points. We have to get 106 points to win the league, 92 points to get in the play-offs and 70 points to stay up. Lovely. Thank you very much.2
Before the vote, Elland Road supremo Bates had sent a letter to all Football league chairmen, arguing that the punishment was a "breach of natural justice".
It was imposed on 4 August, the same day that Leeds were granted their 'golden share', which allowed them to compete in the Football League this coming season.
The share had been suspended when Leeds went into administration at the end of last season, a decision that automatically incurred a 10-point penalty and thus sealed their relegation from the Championship.
The League want clubs coming out of administration to do so via a company voluntary arrangement (CVA), with football creditors paid in full.
Leeds' creditors originally opted for the club to be sold back to Bates via a CVA.
But HM Revenue and Customs, unhappy at the plans by Bates to pull the club out of administration by paying creditors only eight pence in every £1, mounted a legal challenge.
The matter went to a High Court hearing in Leeds. Preliminary hearings were held on 6 July, with a date set for the full case to be heard in September - sparking fears the club might not start the season.
Administrators KPMG subsequently put the club up for sale.
Bates then bought the club back off KPMG in a deal that could eventually be worth more than 50p in every £1 for creditors.
But the purchase meant that the club had not come out of administration via a CVA - with the League imposing their subsequent 15-point penalty for the breach of policy.
In a statement, Leeds said: "We are amazed by the perverse outcome of Thursday's meeting of Football League clubs.
"The only winner is HMRC and we believe the full ramifications of the decision will adversely affect football going forward for many years. "The club is considering its options but in the meantime will be concentrating on starting its promotion campaign at Tranmere on Saturday."
Fighting talk: Leeds United manager urges unity
Dennis Wise today urged every faction of Leeds United to unite behind his banner after promising to wage war on the "laughable" 15-point penalty forced upon the club by the Football League.
Wise called for an immediate end to the in-fighting which has plagued Elland Road this summer after Leeds' appeal against their crippling punishment was rejected by the other 71 Football League clubs.
United's attempt to overturn the unprecedented deduction – imposed for a breach of the League's insolvency rules through chairman Ken Bates' re-purchase of Leeds – was dismissed by a large majority of clubs during a meeting in London yesterday, but an infuriated Wise directed unveiled criticism at the League's members and questioned their motives for opposing the appeal.
The decision to uphold the punishment has given United's forthcoming season, which begins against Tranmere Rovers at Prenton Park tomorrow, a frustrating perspective, leaving Leeds 15 points adrift of the League One field before the campaign has begun, but Wise refused to be demoralised by the prospect of an immediate relegation battle.
The Elland Road boss has seen his popularity grow among the club's supporters after the most impossible of pre-seasons, and he promised to fight their corner by attempting to make a mockery of the Football League's stance this season.Leeds will need more than 100 points to secure the title, and around 90 to earn a place in the play-offs.
Avoiding relegation will itself require United to reach the 70-point mark, but the stark reality of the challenge facing Leeds did not prevent Wise from securing midfielder Andy Hughes on a two-year deal from Norwich City yesterday.
Wise said: "These players and these fans are going to stick together, and are going to be strong. There's a massive point to prove – for everyone.
"A lot of people want to see us fall flat on our faces, and they haven't helped the situation. But we've got to fight against it.
"The supporters don't like Batesy, and they don't particularly like me. But they've got us. We're part of this football club.
"It's difficult because of your background and where you come from. They find it very difficult to accept. This is part and parcel of what football's about. It takes them a bit of time to get used to you, and I've got to give them that time. So has Ken Bates.
"But how many people would take on this? We will take it on, and we love it – we love the challenge and we need the supporters behind us. It's that simple.
"In time, Bates has turned other things round and so have I. Hopefully, we can do it for the fans, ourselves and this football club. It's time to march on and stick together."
United approached yesterday's appeal with a genuine hope of reducing their punishment, aided by an extremely persuasive letter which was sent by Bates to every other Football League chairman.
But the support for the governing body and their chairman Lord Brian Mawhinney was overwhelming, and the penalty was upheld after a two-hour meeting in the capital.
Only five clubs voted to spare Leeds punishment.
As various chairman appeared from the debate to explain their reasoning to the waiting media, Wise was left to reflect on the fact that his side will be in negative figures until September 8 at the earliest.
United's boss could already write a book about his time at Elland Road; there is little that could have happened which has not impinged on Wise's job since his appointment in October of last year. But yesterday's ruling was particularly galling, a blow struck for reasons that he could neither accept nor understand.
Asked if he understood why United's supporters have long felt victimised by those who run English football, Wise said: "I do now, after that.
"You think you'll get a helping hand, and that people will be fair. This doesn't look too fair to me."
Some people were very nice to us but some people were saying certain things on television with a wonderful big smile on their faces, pleased with the outcome.
"It's laughable. They've not only taken my arms and legs off, they've cut my balls off as well. It's not funny at all.
"It's about being fair. You need to be fair and I think a lot of them will go home knowing deep down inside that they haven't been.
"Some will have done it for their own reasons, and probably not the right reasons. Everyone wants to try and get a head start, and 23 teams in our league have got a very good head start on us.
"We have to get 106 points to win the league, 92 points to get in the play-offs, and 70 points to stay up. Thank you very much.
Limit
"But we're here to be tested and we've been tested to the limit now. We're looking forward to what we have to do."
The signing of Hughes – a versatile player who can operate in midfield or at right-back – at least served to raise Wise's spirits and remind him that Elland Road has not lost its appeal entirely.
Hughes committed himself to Leeds knowing that the 15-point penalty would stand, and United are also believed to be considering a move for Motherwell goalkeeper Alan Martin.
United will be without a substitute keeper for tomorrow's opening League One fixture – their first ever league clash with Tranmere – unless cover is found for Casper Ankergren.
Wise said: "The pleasing thing is that I've signed Andrew Hughes from Norwich. I spoke to him and said 'we're minus 15'. He said 'no problem gaffer, let's brush ourselves down and get on with it'.
"That's someone who wants to join this football club and that's what I want. He doesn't care and he wants to give it a real go. So does every player I've got here. Let's have a go."
Yorkshire Post 9/8/07
Wise fumes as rivals shun Leeds
By Richard Sutcliffe
DENNIS WISE was last night in bullish mood about Leeds United's chances of overcoming a record points deduction and achieving his initial target of staying in League One.The Elland Road club had hoped to overturn a 15-point penalty imposed by the Football League for what they saw as United's failure to follow a clear insolvency policy.
But at a specially convened meeting in a London hotel yesterday, the other 71 chairmen voted by a majority of 54-16 (Bury were not represented) to uphold the original points deduction. Wise described the decision as "laughable" and hinted self-interest had played a part in many of the chairmen deciding to back the League's stance. He said: "A lot of people want to see us fall flat on our faces, but we will fight that. We pick ourselves up, dust ourselves down and get on with it. It is time for us to march on and stick together."We need 106 points to win the league, 92 points to get in the play-offs and 70 to stay up. Lovely. Thanks very much. We know it is going to be difficult but we are up for this.
"We were hoping the number might have come down slightly and made certain things achievable. Some things are still achievable but we will need a lot of luck on the way.
"The first target is we want to stay up. After that, there are other targets we want to achieve. But that is our first aim, 70 points.
"We can turn a negative into a positive. We will have a massive point to prove (every time we go out). And we are looking forward to it."
The rejection of United's appeal was the latest in a series of bodyblows for Wise this summer with his re-building plans having had to be put on hold until a week ago when the club's League share, suspended when they went into administration on May 4, was belatedly transferred to a new company set up by Ken Bates.
The Leeds chief has been busy since then with the capture last night of Norwich midfielder Andrew Hughes on a two-year contract taking his tally of signings to nine after Alan Thompson and Tore Andre Flo had agreed one-year deals earlier in the day.
Wise had been hoping the original penalty, which is five points more than the League have imposed in the past, would be cut by the other 71 chairmen.
Two votes were taken at yesterday's two-hour meeting with the first, that Leeds deserved some form of penalty for not completing a Company Voluntary Arrangement, being passed by 64 to five with one spoilt vote.
Officials of Oldham Athletic, Gillingham, Hull City and Peterborough United all spoke publicly after the meeting of their support for the League's stance.
Wise said: "Some (clubs) were nice to us, but some were saying certain things on television with a wonderful, big smile on their face. They seemed pleased with the outcome.
"It is laughable. We would like to know, deep down, what the real reasons are.
"If you look at the teams in our division, I am sure they probably wouldn't have voted for us.
"I think a lot of them will have gone home and known deep down they have not been fair. Some will have done it for their own reasons, and those reasons are probably not the right ones.
"But everyone wants to get a head start and 23 teams now have a very good head start on us."
The League stressed after the meeting the matter was now closed, Lord Mawhinney adding: "We have an agreement with Leeds, signed by both the League and the club, that they will not take any legal action against us and we will not take any legal action against them.
"That is a standard part of the agreement that every club signs when they come out of administration."
Yorkshire Post 9/8/07
League Two start threatened for Leeds
By Richard Sutcliffe
THE Football League considered relegating Leeds United to League Two rather than imposing a record points deduction on the club, the Yorkshire Post can reveal.
All 72 club chairmen will meet today to vote on whether the 15-point penalty, which was imposed by the League last Friday night, should stand.Ken Bates will plead Leeds's case at the specially convened meeting in London when a straight majority will be required to win the vote. The 15-point penalty could be upheld, reduced or wiped out completely.
United were hit with such a hefty deduction because they failed to follow the League's insolvency policy, namely completing a Company Voluntary Arrangement (CVA) like the other 41 member clubs who have been through the administration process.
In agreeing to transfer the club's share – suspended when United went into administration in May – to a new company set up by Bates, the Yorkshire Post can exclusively reveal that the League also considered a number of options including making Dennis Wise's side kick off the 2007-08 campaign in the basement division.
This was outlined by League chairman, Lord Mawhinney, in a follow-up letter to his original invitation to attend the meeting, sent to all 72 club chairmen yesterday morning along with a missive from Bates.
United are hoping their chairman's four-page explanation about this summer's events at Elland Road will help tip the balance in their favour at today's meeting, which starts at 10.30am.
Bates outlines the reasons why United were forced into administration in May and also launches a stinging attack on the Inland Revenue, who were owed £7.7m of a total debt of £35m when the club went under.
The taxman, who according to Bates's letter was paid almost £25m by the club between January 2005 and April this year, lodged their objection to a CVA – which had been narrowly passed by the required 75 per cent of creditors – on the final day of a 28-day statutory period for appeals.
Bates insists this was done for "political reasons" and that the Revenue's appeal was "a sham", claiming it "was yet another attack on the football creditor rules, something the Revenue had sought to attack since their preferred status had been withdrawn in September 2003".
The Elland Road chairman then goes on to suggest that "Leeds should not be punished because the Revenue are intransigent".
As reported in last Friday's Yorkshire Post, the League wanted administrators KPMG to reconstitute the CVA and take a fresh vote.
However, Bates writes in the letter to his fellow chairmen: "Because we had paid the players' wages and some players had moved on during the close season, the 'football debts' had reduced meaning the Revenue's votes as a proportion of the whole had increased.
"The administrators were of the view that the Revenue now represented 24.4 per cent of the debt and this would enable them to block the CVA."
Bates continues: "It was agreed to approach the Revenue to seek to persuade them to withdraw their objection. Their response was categoric.
"They stated on the record that if a revised CVA was presented 'as a matter of policy, HMRC would vote against the CVA that resulted in football creditors being paid in full'."If the CVA was passed, they would appeal again and would litigate all the way. Their position means that unsecured creditors generally, including themselves, will get a lower payment than they would have done under the CVA."
Bates, who describes criticism of the club incurring a 10-point penalty in the final week of last season as "unfair", also stresses in the letter that administration "was not pre-planned".
He said: "My staff at Leeds fought tooth and nail to get Leeds through to the start of the coming season when the last of the contracts that remained from the days of "living the dream" would have, at last, expired."
In his summing up, Bates then writes: "We have broken no rules. The 'exceptional circumstances' rules were introduced to cover exactly the situation that exists today.
"We can only speculate as to the reasoning behind the imposition of a sanction when no rules have been broken.
"We believe such a sanction is wholly unfair and a breach of natural justice. On Thursday, we will be asking you to overturn its imposition."
BBC 9/8/07
Leeds snap up midfielder Thompson
Alan Thompson has signed for Leeds on an initial one-year contract and has been installed as club captain.
The 33-year-old has rejoined the club on a free transfer - having been on loan last season after parting company with Celtic during the summer.
Meanwhile, former Norway striker Tore Andre Flo, 34, has signed a new one-year contract.
Flo had joined Leeds in January on a deal until the end of the season, but was injured after just two appearances.
Meanwhile, Leeds have handed 16-year-old striker Tom Elliott a professional contract which will become effective from the summer of 2008.
Elliott made his first-team debut last season, while still a schoolboy.
BBC 9/8/07
Leeds lose points penalty appeal
Leeds have lost their appeal against a 15-point deduction for the start of the new season following a breach of the Football League's insolvency policy.
The chairmen of the other 71 Football League clubs voted "overwhelmingly" to sanction Leeds and then again to uphold the original punishment.
In both cases, the outcome was higher than a 75% majority vote.
However, he has no option other than to accept the punishment, with League chairman Lord Mawhinney confirming the club had no right to take legal action.
Lord Mawhinney said: "We have an agreement with Leeds, signed by both the League and the club, that they will not take any legal action against us and we will not take any legal action against them.
"That is a standard part of the agreement that every club signs when it comes out of administration.
"That has not been generated for the benefit of Leeds United, we've done that in the last 40 administrations and we did in this one as well."
Leeds manager Dennis Wise was incensed by the Football League's decision.
"It's just not funny at all," said Wise. "We'd like to know deep down the real reasons.
"I'm disappointed with the whole thing. Minus 15 points. We have to get 106 points to win the league, 92 points to get in the play-offs and 70 points to stay up. Lovely. Thank you very much.2
Before the vote, Elland Road supremo Bates had sent a letter to all Football league chairmen, arguing that the punishment was a "breach of natural justice".
It was imposed on 4 August, the same day that Leeds were granted their 'golden share', which allowed them to compete in the Football League this coming season.
The share had been suspended when Leeds went into administration at the end of last season, a decision that automatically incurred a 10-point penalty and thus sealed their relegation from the Championship.
The League want clubs coming out of administration to do so via a company voluntary arrangement (CVA), with football creditors paid in full.
Leeds' creditors originally opted for the club to be sold back to Bates via a CVA.
But HM Revenue and Customs, unhappy at the plans by Bates to pull the club out of administration by paying creditors only eight pence in every £1, mounted a legal challenge.
The matter went to a High Court hearing in Leeds. Preliminary hearings were held on 6 July, with a date set for the full case to be heard in September - sparking fears the club might not start the season.
Administrators KPMG subsequently put the club up for sale.
Bates then bought the club back off KPMG in a deal that could eventually be worth more than 50p in every £1 for creditors.
But the purchase meant that the club had not come out of administration via a CVA - with the League imposing their subsequent 15-point penalty for the breach of policy.
In a statement, Leeds said: "We are amazed by the perverse outcome of Thursday's meeting of Football League clubs.
"The only winner is HMRC and we believe the full ramifications of the decision will adversely affect football going forward for many years. "The club is considering its options but in the meantime will be concentrating on starting its promotion campaign at Tranmere on Saturday."