Portsmouth go into administration for the second time in three seasons
Published 17/02/2012 | 11:59
Championship side Portsmouth have entered administration for the second time in the past three seasons after an application was approved by a High Court judge.
The club has debts of around £4m and were issued with a winding-up order by HM Revenue and Customs in January which froze their bank accounts.
The Championship side face being penalised at least 10 points, which would put them in 21st place in the division and only out of the relegation zone on goal difference.
Portsmouth previously became the first Premier League club to enter administration in February 2010, and were relegated later that year.
Administration will allow Portsmouth to access their frozen accounts and continue to trade while searching for new owners.
Anyone willing to take over at Fratton Park faces debts of around £2m to business creditors and a similar amount in upaid tax. Electricity and gas
Portsmouth received their parachute payment early from the Premier League and are understood to have around £2.5m remaining in their account, which the administrator will be in charge of spending.
Players and staff wages were not paid for January and Hong Kong-based businessman Balram Chainrai is owed £17m by the club.
Any new owner will have to provide £12m as proof of funds, and be expected to meet around £20m in repayments to former owners Chainrai and Alexandre Gaydamak