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The Guardian - UK
The Guardian - UK
Sport
Ben Fisher

Former Derby chairman invites clubs to make compensation claims against him

A general view of Derby's Pride Park
Former Derby chairman Mel Morris said: ‘I sincerely hope the EFL, Boro and Wycombe will respond urgently to my proposal to unlock the impasse.’ Photograph: Zac Goodwin/PA

The former Derby chairman Mel Morris has invited Middlesbrough and Wycombe to take their claims to the high court against him personally, in an attempt to remove a major obstacle in the financially stricken club’s attempt to secure a new owner.

Morris has proposed to take on the liabilities facing Derby for gaining an advantage at their rivals’ expense to ease the looming threat of liquidation. The Championship club, aided by the sales of players in January, are thought to have enough cash to cover the remainder of this month.

Middlesbrough and Wycombe are seeking compensation worth millions after Derby breached financial rules. Boro missed out on the play-offs in 2018-19 and Wycombe were relegated to League One last season after finishing a point behind Derby. Morris said he has informed Quantuma, the club’s administrator, of his proposal so they can discuss it with all parties, including the English Football League and potential bidders.

“I sincerely hope the EFL, Boro and Wycombe will respond urgently and constructively to my proposal to unlock the impasse,” Morris said in a lengthy statement released on Friday.

On Thursday the league urged all parties involved to engage in urgent talks to resolve the impasse. Middlesbrough said the administrator had “consistently refused to engage” over their claim since Derby entered administration in September. They have been docked 21 points this season. The manager, Wayne Rooney, has said rivals have “taken advantage” of their plight, with the youngsters Luke Plange, Dylan Williams and Omari Kellyman departing for Crystal Palace, Chelsea and Aston Villa, respectively, during the transfer window.

The EFL has made clear it disagrees with the administrator’s view that, under insolvency legislation, the club could avoid defending Middlesbrough and Wycombe’s claims and that they should not be treated as football-related debts.

“MFC has always maintained that its claim against Derby County is a football-related debt and that it should be treated as such,” read a Middlesbrough statement in response to the league. “MFC welcomes the EFL’s confirmation that it shares this view. If the administrators believe that the EFL are not entitled to take this stance, MFC has offered to refer the matter to a judge to decide.”

The EFL has, however, maintained that the compensation claims are one of a number of issues that require attention. Derby owe HM Revenue & Customs £29.3m and about £20m to MSD Holdings, an investment firm owned by Michael Dell, via loans secured against Pride Park, the stadium Morris owns. Arsenal are also owed instalments for the £8m transfer of Krystian Bielik, Derby’s club-record signing. The club lease their Moor Farm training base from the Locko Estate.

An EFL spokesperson said: “The EFL notes the comments published and the proposal tabled by Mr Morris this evening. It will now review in detail before considering its position and determining an appropriate response. In the meantime, as per Thursday’s statement, the offer to engage with Mr Morris and all other stakeholders remains in place as we seek to find the compromises required to protect Derby County in the long-term. The league will not be commenting any further on this specific matter at the current time.”

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