Council Ease Pressure On Salford Loan Repayments

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10 November 2017

Salford City Council have extended the deferment of loan repayments from Salford Red Devils for a further a three-years according to Manchester Evening News.

Marwan Koukash assumed £3m-worth of debt when he took over the Super League club in 2013, including £1.5m owed to the council.

The loan, paid through an independent administrator after the previous club’s assets were seized to pay off creditors, is due to be paid back by 2038 after a 25-year deal was arranged in 2013.

The council will not reveal how much of the loan is outstanding but insiders say it is substantial.

Mayor Paul Dennett has agreed to the extension on condition that the council is able to scrutinize the club’s accounts and the three-year break will be subject to an annual review. The club must also retain its name and honour previous agreements by playing at the A J Bell Stadium.

Mr Dennett said: “Salford Red Devils is an institution in our city and a huge part of the Salford identity. I believe this decision is in the best interests of the taxpayer of Salford.

“It is concerning to hear about the continued financial difficulties faced by the club, especially in light of the important role that the club has for our city.

“We have today agreed to extend the Company Voluntary Agreement on the club for three years, on annual review. Our accountants will have full access to the club’s accounts and finances and we are determined to turn

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