Scottish Football: Celtic may sue over tax deficit

Friday 19 August 1994 18:02 EDT
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CELTIC'S managing director, Fergus McCann, did not rule out legal action yesterday against former directors because of financial irregularities. The club is the subject of an Inland Revenue investigation into pounds 170,000 taxes left unpaid when three players were signed in the period after 1988.

In June 1993, Celtic's overdraft was said to be pounds 4.6m but investigations have revealed that a further pounds 611,000 debt was not disclosed to shareholders by the then vice- chairman David Smith.

McCann said: 'I cannot rule out legal action. We are being guided by our advisors on this. If you are a shareholder and you have not been advised properly of the financial position you should have some recourse.'

On the matter of the unpaid taxes, Celtic declined to name the players involved or say whether it was in relation to signing-on fees or whatever. The club said that the players will not be involved. Celtic are likely to appeal against the decision of the Scottish League to fine them pounds 100,000 for poaching Tommy Burns, the manager, from Kilmarnock and have not discounted 'other options' which, again, could involve legal action.

Brian Laudrup returns for Rangers, away to Partick, after scoring for Denmark against Finland in midweek. Gordon Durie is also available again, as is Andy Goram, rested for the 6-1 win at Arbroath. Trevor Steven and David Robertson are injured. Thistle's Albert Craig has passed a fitness test so John Lambie chooses from a full squad.

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