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Old 07-13-2007, 03:24 PM   #1 (permalink)
goldenHuddlestone
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FA all-clear for Leeds friendly

The Football Association have given Leeds the all-clear to play York in a pre-season friendly at KitKat Crescent tonight.

The Football League have yet to sanction this week's decision by Leeds' administrators KPMG to re-sell the club to Ken Bates and so have not handed back their share.

But the FA will allow Leeds to fulfil their match against York after being given certain assurances.

An FA spokesman said: "We have informed the club we are happy for the game to go ahead as long as it's being played by the old club - Leeds United in administration.

"As long as players and trialists are registered to the old entity we have no objections and Leeds have assured us this is the case."

Meanwhile, Leeds United 2007 Ltd remain confident the Football League will hand back their share sooner rather than later.

The League still have some queries with KPMG regarding the controversial resale of Leeds to Bates before they return the club's share.

League chiefs also expressed their concern "at the handling of the whole process" by KPMG at a meeting in London yesterday, but stressed there is nothing in their rulebook preventing the club from kicking off the 2007/8 season in Coca-Cola League One on August 11.

A Leeds statement read: "Leeds United (the club) have received confirmation that the documentation outstanding from the administrators (KPMG), in relation to the Football League board meeting on Thursday, has now been forwarded to them for their consideration.

"The club are concerned that any issues the League board may have with the conduct of the administration process by KPMG should not affect the decision-making process as to the return of our share in the League and are seeking assurances from them on this point.

"The club, as well as KPMG, have been asked to provide additional information, the last of these requests was received at 10am on Thursday morning.

"These have been answered in full to support our application for the transfer of the share.

"The club remain confident that any further questions that the League may have in this regard will be answered in full by return."

Bates placed Leeds in administration on May 4 with debts of £35million and after months of uncertainty finally won the race to buy back the club on Wednesday.

KPMG opted to sell Leeds back to Bates for an undisclosed sum in preference to other interested parties without the need for a Company Voluntary Arrangement (CVA) - and that does not sit favourably with the Football League.

Competition rules stipulate that once in administration the Football League will only hand back their share if a CVA has been agreed by the majority of the club's creditors.

KPMG recently scrapped the CVA after Bates' offer of settlement to creditors had been challenged in the High Court by the Inland Revenue, who are owed £7.7million in unpaid taxes.

The club was put back on the market, but the Football League still require assurances from KPMG that their decision to sell the club back to Bates again, this time without the need for the creditors' approval under the terms of a CVA, was in the best interests of both Leeds and their creditors.

A KPMG spokesman told PA Sport: "We feel we have acted honourably throughout and in a fit and proper way and we believe we have secured the best deal for the creditors."
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