Page last updated at 06:14 GMT, Wednesday, 5 May 2010 07:14 UK

Cardiff City facing final tax deadline

Cardiff City supporters
On the field, the Bluebirds have reached the play-off semi-finals

Cardiff City football club are due in the High Court later to face a final demand for a £1.9m debt which must be paid to avoid a winding-up order.

The club has already had the order adjourned three times with regard to a £1.9m HM Revenue and Customs bill.

It is thought a settlement may finally be possible after an agreement was reached last week for a £6m investment by a Malaysian businessman.

The High Court hearing is taking place at 1030 BST.

At the last hearing on 10 March, counsel for HMRC Matthew Smith had argued that the club should be wound up immediately, saying that it was "plainly insolvent".

However Cardiff City said they had already had a £500,000 investment from an Asian businessman, who had indicated he would give a further £6m to the club.

The judge granted a 56-day adjournment on the winding-up order as a result.

Peter Ridsdale, outgoing Cardiff City chairman
Chairman Peter Ridsdale is leaving Cardiff City at the end of the month

Last week, City chairman Peter Ridsdale announced he would be leaving the club at the end of May, after succeeding Sam Hammam in 2006.

It comes as Malaysian businessman Datuk Chan Tien Ghee is due to invest £6m in return for a 49% stake in the club.

In a statement last week, the club said: "Agreement has been reached with regard to new funding for the company and restructuring of its existing debt.

"As a result of this new fundraising, Peter Ridsdale will be standing down from his position and leaving the company on 31 May 2010."

The investment from Mr Ghee, who became a director last December, will give him a 49% shareholding in the club.

On the field, the Bluebirds have reached the play-off semi-finals, with a chance of promotion to the Premiership later this month.



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SEE ALSO
Ridsdale to step down at Cardiff
30 Apr 10 |  Cardiff
New Cardiff investment 'by April'
19 Mar 10 |  Cardiff
Hundreds join Cardiff fans' march
06 Mar 10 |  Wales
Cardiff win land sale green light
24 Feb 10 |  Cardiff
Cardiff winding-up order delayed
10 Feb 10 |  Cardiff
Cardiff fans hold finance protest
30 Jan 10 |  Wales

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