New Leeds United owner Massimo Cellino hit by ANOTHER debt demand
Mirror 3/5/14
By Simon Mullock
The Italian is embroiled in more financial turmoil to add to Leeds' growing list of problems
Leeds United were issued with a winding-up order – just 17 days after convicted fraudster Massimo Cellino completed his takeover at Elland Road.
Sports Capital, a company linked to former Leeds Managing Director David Haigh, claim they are owed £1million by the Championship club. Legal papers were lodged at the High Court on April 25 after Leeds failed to respond to demands for the debt to be honoured.
And Sunday Mirror Sport can reveal that the club – currently losing a staggering £1m a month – are also under pressure to settle other outstanding liabilities. Haigh himself is owed £600,000, which was payable following the completion of the takeover in April. He is still waiting to hear whether Leeds intend to accept his offer to keep the cash in the club while more pressing problems are resolved.
Andrew Flowers, managing director of shirt sponsors Enterprise Insurance, is owed in the region of £100,000.
And former chief executive Paul Hunt is still waiting for a £70,000 debt to be settled.
Cellino, who paid Gulf House Finance £6million on completion of his takeover, is still to pay a further £3m instalment due on the deal.
It leaves the 57-year-old Italian facing a financial crisis that makes a mockery of his promise to take Leeds back to the Premier League inside two years. Cellino agreed a deal to buy a 75 per cent stake in Leeds in February – only for the Football League to declare that he had failed their fit-and-proper persons test.
Cellino, who also owns Serie A club Cagliari, was last month found guilty of failing to pay almost £320,000 in import duty on a luxury yacht.
But he was still able to force through his takeover following a ruling by an independent QC.
Cellino has two previous convictions – one for defrauding the Italian Ministry of Agriculture out of £7.5m in 1996 and another for false accounting at Cagliari in 2001.
He told Leeds fans that he would buy back the stadium and training ground. So far, there have been no signs that he will deliver.
By Simon Mullock
The Italian is embroiled in more financial turmoil to add to Leeds' growing list of problems
Leeds United were issued with a winding-up order – just 17 days after convicted fraudster Massimo Cellino completed his takeover at Elland Road.
Sports Capital, a company linked to former Leeds Managing Director David Haigh, claim they are owed £1million by the Championship club. Legal papers were lodged at the High Court on April 25 after Leeds failed to respond to demands for the debt to be honoured.
And Sunday Mirror Sport can reveal that the club – currently losing a staggering £1m a month – are also under pressure to settle other outstanding liabilities. Haigh himself is owed £600,000, which was payable following the completion of the takeover in April. He is still waiting to hear whether Leeds intend to accept his offer to keep the cash in the club while more pressing problems are resolved.
Andrew Flowers, managing director of shirt sponsors Enterprise Insurance, is owed in the region of £100,000.
And former chief executive Paul Hunt is still waiting for a £70,000 debt to be settled.
Cellino, who paid Gulf House Finance £6million on completion of his takeover, is still to pay a further £3m instalment due on the deal.
It leaves the 57-year-old Italian facing a financial crisis that makes a mockery of his promise to take Leeds back to the Premier League inside two years. Cellino agreed a deal to buy a 75 per cent stake in Leeds in February – only for the Football League to declare that he had failed their fit-and-proper persons test.
Cellino, who also owns Serie A club Cagliari, was last month found guilty of failing to pay almost £320,000 in import duty on a luxury yacht.
But he was still able to force through his takeover following a ruling by an independent QC.
Cellino has two previous convictions – one for defrauding the Italian Ministry of Agriculture out of £7.5m in 1996 and another for false accounting at Cagliari in 2001.
He told Leeds fans that he would buy back the stadium and training ground. So far, there have been no signs that he will deliver.