Morecambe staring at the real threat of administration as infighting and stalled takeover talks harming the club.
Morecambe on verge of administration amid infighting and stalled takeover talks.
After discussions between the club’s directors and owner Jason Whittingham failed to produce a breakthrough on a possible takeover, Morecambe is on the verge of going into administration.
The Football League gave the Punjab Warriors consortium permission to finish the takeover of the Shrimps at the beginning of June, but the process is still ongoing. Whittingham and his Bond Group Investments “appear to be considering reneging on the deal,” Morecambe’s board stated on Friday.
Since Whittingham’s group lacked the funds to meet the club’s payroll obligations, the board set a deadline of 4 p.m. on Tuesday for Whittingham to complete the sale. If the deadline was missed, they threatened to call in the receivers.
The statement read: “Following further discussions with Jason Whittingham this afternoon and evening, it is apparent to the board of directors that he is, for some reason, stalling for time and attempting to drag out what is a truly horrible situation and decision for as long as possible.
“We must emphasise that this is without providing the board with any substantive or convincing reasons for us to responsibly delay triggering the administration process.
“The board of directors have this evening informed Jason that administrators will be called, at the earliest opportunity, tomorrow morning. Jason still has the chance to do the right thing, agree to sell his shares tomorrow morning, but that opportunity expires once and for all after that.”