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Leeds United Set to Appeal

Leeds United Set to Appeal

Following the announcement that HM Revenue & Customs are set to challenge Ken Bates' offer to re-acquire the club, Leeds United have hit back in a bid to ensure the clubs survival.

It was announced on Tuesday that the Inland Revenue intend to challenge the CVA offer, which 'New Leeds' head Ken Bates had increased from 1p in the £1 to 8p.

Following the announcement, Bates claimed that if the Government organisation continues with their challenge, it could see the club forced into liquidation. Before the CVA deadline, Bates told The Times:
'If there is a legal challenge, it could take two or three months to get to court and be decided,' Bates told the Times, prior to the announcement on Tuesday.

'In the meantime, who is going to pay to run the club?

'So far it's been funded by the 'new Leeds', but if there is a challenge, the 'new Leeds' won't do it because it's a risk.

'The implications are that the club would close down.'

The club have now talked to their lawyers, to investigate the Inland Revenue`s case against Leeds, citing a test case that was defeated when HMRC challenged Newcastle United for VAT charged by football agents.

A preliminary High Court meeting is set to be held on Friday.



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Writer:LUFC1
Date:Thursday July 5 2007
Time: 12:30PM

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