Spl Clubs Under Threat From Setanta Troubles

A Scottish Premier League chairman was warned that a number of top-flight clubs will go into administration should incumbent broadcast partner Setanta fail to resolve its financial problems which has led to it defaulting on a regular payment to the league.

The broadcaster failed to make a £3m payment to the league this week, fuelling fears over the Irish pay-TV company’s long-term future.

The move has led to an unnamed chairman revealing to the media that the SPL was preparing for the worst.

Setanta wants to renegotiate a number of their contracts to screen sporting events due to cash-flow problems.

The current deal to broadcast Scottish Premier League games ends next season, but just last year the company agreed to pay a vastly improved £125m over four seasons for exclusive live coverage from 2010.

However, the broadcaster, which won the rights to broadcast the SPL from the BBC in 2004, is now seeking to renegotiate its payment schedule to deliver less to Scotland’s top flight.

Neither the SPL or Setanta has commented on the issue and it is unclear when Setanta will meet its owed payment.