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Winding-up petition lodged against Llanelli AFC

November 16 2012

Former champions of the Welsh Premier League and European football regulars Llanelli AFC have found themselves with a winding up petition lodged against them by HMRC at London’s High Court. This follows another Welsh Premier League team, Neath FC being wound up earlier this year in May.

Financially stricken Llanelli AFC have been given 28 days to settle rent arrears for the sum of £18,000 to Llanelli Town Council for the rent of the football ground Stebonheath Park and the social club.

The Town Council have allowed the club to operate and complete the remainder of their season for now, however the council still require the club to reach a new agreement and settle the outstanding rent arrears.

Council leader Carl Lucas described the club as a ‘credit to the town’. Instead of taking possession of the ground the council have been graceful and allowed the club to continue and believe that an agreement can be made.

Llanelli Town Council have invested heavily in the club over the years, and following a meeting with the clubs director Nitin Parekh the council were given confidence that the rent arrears will be paid. However the payments never emerged and the council sought legal recourse for the arrears dating as far back as December 2011.

Director Nitin Parekh had the following to say to the fans ‘”We have, as a matter of principle, not made any comments on the tax situation, but what we can say is that we have an impeccable record of paying our tax in full and honestly over the past several years.”.

The club whose manager, Andy Legg resigned last week hope to overcome their current financial woes as the Welsh Premier League require the club to meet the stringent financial targets by April 2013 in order to qualify for European Football next season.

Is your business facing a Winding-Up Petition? Do you need advice as to the best option for your business? We specialise in seeking adjournments and validation ordersOur Winding-Up Experts are able to give specialist legal information and advice in this area of law. To contact one of our Solicitors or Barristers for a free consultation please click here or call 0845 8622 529.

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