Written by: Keith Tully
Published: 13th November 2014
A winding-up petition brought against the football club Leeds United last week has been dismissed on the basis of agreed terms.
The petition was served on November 7th but has now been dismissed with a short statement from Leeds United saying that the relevant parties “are working towards resolving their remaining differences”.
Those relevant parties are the law firm Ford & Warren, which is representing the former director of Leeds United Melvyn Levi, who was involved in the running of the football club when it was owned by Ken Bates.
Bates owned the club until December 2012, when it was sold to the Bahrain-based investment group Gulf Finance House Capital. Ownership of the club was again transferred earlier this year when Italian businessman Massimo Cellino completed a somewhat controversial takeover.
The winding-up petition was served in relation to unpaid fees apparently owed to Mr Levy of around £150,000.
Nick Collins, a senior partner at Ford & Warren, told BBC Radio Leeds: “This is not a dispute with Mr Cellino. This is something he has inherited from the previous ownership of the club. We bear no ill-will towards Mr Cellino and we wish him well. I genuinely hope we can resolve this amicably, but we must do what is necessary to protect our client’s position.”
When the winding-up petition was issued on November 7th, Leeds United published a statement expressing clear frustration that news of the petition was circulated within the media.
“We have been advised by legal counsel that the publication of the winding-up order to the media within seven days of its service is illegal and amounts to an abuse of process and a contempt of court,” the statement read.
“This activity was designed for the sole purpose of putting undue pressure on the football club. Our lawyers are demanding that the petition be immediately withdrawn, and a full apology made else we will ask the court to dismiss the petition on Monday morning.”
Leeds United play in the Sky Bet Championship, the second tier of English professional football and have struggled with a variety of off-field and financial problems since falling out of the Premier League in 2004.
*Image used under the Creative Commons license. Owner: Raddersndakman
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