DARLINGTON Football Club’s former vice-chairman, Raj Singh, has been given seven days to find the finances to buy the stricken club, it emerged last night.
Mr Singh could be in place as owner of the club for the start of the new league season if an agreement between him and former Quakers chairman and owner George Houghton can be finalised.
Mr Houghton has been in the US for two weeks, trying to find investment to keep the club going.
He said yesterday he had given Mr Singh until next week to prove he had the finances to keep the club running for at least four years.
Any deal between the pair is also subject to the satisfactory conclusion of a company voluntary arrangement (CVA) and the return of the Quakers’ Football League share.
Mr Houghton placed the club in administration in February, saying it was losing £54,000 a week and had run up more than £5m of debts.
After stalled talks to find new owners, he started the process to exit administration last week.
Mr Houghton, who described previous offers to buy the club as “stupid”, said: “I have had my chance to run the football side, but I want to get the other side of the club to keep the club running.
“Raj must prove to me in seven days that he has enough funds to run the place for four years not just one.
“I like Raj. He is a nice lad who knows his football but the financial package has to be right.
“I think he has investors in place and I think it will go through. If not, I have another two or three investors in line.”
Mr Houghton yesterday denied the purpose of placing the club in administration was to restructure the debt or amend his contracts with the council.
He said debts, a lack of investment and his own mistakes had forced his decision.
He said: “I should have never put together the financial package for Dave Penney that I did. It was a Championship side I built.
“But I thought we would get six or seven thousand fans through the gates.”
Dave Clark, of administrators Brackenbury Clark and Co, said the CVA would go out to creditors next week.
He added: “Any deals for assets and involvement are extremely premature. No sale has, as yet, been agreed.”
Once the CVA is sent out, creditors have 28 days to vote on the proposals before a further 28-day appeal process.
A club spokesman said it was unable to release a statement until next week.
Darlington Supporters Trust chairman Tony Taylor said: “It really has been a rollercoaster ride for Darlington fans over the past few seasons, and let’s hope that this now brings a bit of stability to our football club.
“What has always impressed us with Mr Singh has been his commitment to the football side of the club. We look forward to working with him to ensure that the club becomes the hub of the community.”
Mr Singh told The Northern Echo that if the deal was agreed, he would control the football club, with the stadium and land split 50-50 with Mr Houghton.
He added: “We have agreed a deal and it is with the lawyers and solicitors at the moment to get it tied up.
“I’m quietly confident about what we have agreed.”
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