First CVA Payments Made - Ipswich Town News

Town have made the first tranch of payments to the creditors who agreed to the Company Voluntary Arrangment (CVA). More than 300 companies and organisations will receive the cash, in most cases a percentage of the figure they were owed when the club went into administration in February.

All three categories of creditor - unsecured, secured and preferential - will receive the payments. Monday, September 1st was the deadline set out in the CVA agreement. Secured creditors will receive the full amount they are owed, preferential creditors 50% and unsecured creditors 5%.

Meanwhile, we understand that there could be a development regarding the Thomas Gaardsøe top-up cash row in the next few days.

When Gaardsøe joined Town from AaB Aalborg in August 2001 the Blues agreed to pay £100,000 after the defender, now with West Brom, had made 20 and 40 appearances.

The argument arose after the Dane played his 40th game during the period of Town's administration.

Town, backed by the FA, see the top-up as a debt of the club's administration and therefore AaB as an unsecured creditor, due just 5% of the £100,000. The super-creditor rule, where all football debts must be paid before anything else, does not apply to foreign clubs.

AaB disagree with the Town assessment, saying that because the contract was set prior to administration they are due the full amount. The Danes have taken the matter to the DBU (Danish FA), UEFA and FIFA.

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