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Administrators reveal Hearts debt is almost £29 million

Tynecastle
Tynecastle, home of Hearts of Midlothian FC.

Hearts’ total debt is almost £29 million, according to a report by the club’s administrators.

More than half of the debt is owed to Ukio Bankas, whose administrator this week declared the ongoing bids for the club as unacceptable.

The insolvent Lithuanian bank, which owns almost 30 per cent of the club and is owed £15.5 million, holds a floating charge over Tynecastle Stadium, giving it the power over a Company Voluntary Arrangement.

BDO, which has announced an initial meeting of creditors on August 12, outlined the club’s debt in its “statement of administrator’s proposals”, which was sent to those owed money by the club and filed with Companies House.

Trade and expense creditors are owed almost £1.2 million, non-football employees are due £58,500 and Her Majesty’s Revenue and Customs is short of almost £1.9 million.

Hearts last season secured a deal to pay a £1.6 million tax debt over three years and the first instalment was thought to have been paid.

Football debt is listed at £535,000 with most of this owed to players over wage arrears along with the balance of money owed to redundant players under the terms of their contracts.

Some clubs are also owed money, notably Liverpool who are due almost £50,000.