Liverpool FC | Hicks & Gillett lift injunction

Tom Hicks and George Gillett have lifted the Texas court restraining order preventing the Royal Bank of Scotland (RBS) from completing the sale of Liverpool and have completed a deal with Mill Financial in order to pay off the £280 million debt.

15 October 2010, 12:00am

1 min read

Hicks has already signed a deal with Mill Financial - an arm of US hedge fund Springfield Financial Company, based in Virginia, which already owns Gillett's 50% of the club after he defaulted on payments two months ago - to pay the £237 million debt owed to RBS, which has now risen with penalty fees.

If RBS agree to take the money, Mill Financial would effectively become the owners of Liverpool and the move would scupper the New England Sports Ventures (NESV) takeover, but board approval would be needed for Hicks to sell his shares - which of course would be rejected by a margin of three to two.

Therefore, Hicks has agreed a refinancing deal for Mill to pay the RBS debt, with an agreement put in place for repayment at a later date. Indications are, though, that RBS has been advised by their legal team against accepting Mill Financial's offer.NESV has a banker's draft ready to dispatch to RBS before the 1700 BST deadline on Friday to erase any lingering concerns about Liverpool going into administration, but their hopes of owning the club are hinged on the bank refusing to sanction any payment from Mill and Hicks.

Source: espnsoccernet.com