Luton Town Placed Into Administration
Scandal-hit Coca-Cola League One side Luton Town have been placed into administration and handed a ten point deduction.
The directors of the club decided to appoint administrators as a result of the Hatters’ decreasing income.
The penalty leaves them at the foot of the league table on nine points and seven points from safety.
Luton is looking for prospective buyers to put proposals to the creditors before end December 2007.
The club was recently charged with a number of offences by the FA relating to illegal transfer and player salary payments.
In order for the club to continue trading in the short term, chairman David Pinkney has agreed to fund trading losses until the conclusion of a sales process.
‘This will give the club breathing space and an opportunity to restructure its finances,’ said Brendan Guilfoyle of administrators The P&A Partnership.
