Edinburgh City have been landed with a swingeing 15-point penalty by the SPFL over a long-standing unpaid debt.
The League Two side were handed a six point deduction in December 2023 over a failure to pay players and other debtors in time.
And Companies House records now show that the club breached league rules by appointing a provisional liquidator after a winding up order on July 22. The appointment was terminated six days later, with the club citing a ‘misunderstanding.’
Under league rules, however, the appointment of a liquidator represents an insolvency event and triggers an automatic 15 point penalty.
Michael McIndoe’s side lost 2-1 to Stirling Albion in their opening league fixture of the season on Saturday and now face a huge battle to preserve their senior league status.
Under SPFL rules Edinburgh City have the right to ask an SPFL appeal panel to review the punishment.
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In January 2024 chairman John Dickson apologised for a previous points deduction after a winding up order served by HMRC.
While the club reached a payment plan with the taxman they failed to recover from the loss of points.
Dickson said at the time: "I would like to acknowledge the decision of the SPFL's disciplinary hearing, and apologise unreservedly to our players, management and supporters for the outcome. The club accepts the tribunal's verdict, and I can confirm that no appeal will be forthcoming.
"We are grateful to HMRC for their co-operation and appreciate their willingness to work with the club.
"As regards the remuneration default, I would once again put on record my apologies to the players and staff affected by this. Significant progress has been made in this regard and we project to have all arrears satisfied before the end of the season.”
