Pompey win latest survival battle

[dutchman]

Portsmouth have won the latest round of their survival battle after the tax authorities failed in an appeal over the club's Company Voluntary Agreement.

The proposed CVA would help the club to come out of administration by organising payment to its debtors.

HM Revenue & Customs (HMRC) wanted it blocked, calling it "unfair and seriously flawed" as it gave preference to football creditors.

HMRC said in a statement that it will not appeal against the judgement.

HMRC's lawyer Gregory Mitchell QC had said the way the agreement favoured some creditors - including players, who could recover 100% of money owed - over others - such as HMRC itself - meant "one class scoops the pool and the rest are left out in the cold."

Portsmouth's lawyers had said the club faced extinction if it lost the case, which was fast-tracked through the courts to get it sorted out ahead of the new Championship season, which starts on Saturday.

If the club's administrators had not been able to give assurances that they could complete the season's fixtures, the whole future of the club could have been in doubt.

Portsmouth, who remain in administration for the time being, start the new season away at Coventry.

Last season, Pompey became the first Premier League club to go into administration and as a result they were docked nine points, which contributed to their relegation from the top flight.