Everton could be plunged into administration if 777 Partners walk away from their takeover due to a threat of legal action from Leeds, Leicester and Burnley, according to The Mirror.
The newspaper reported on Saturday (18 November) that the Blues are being faced with the prospect of paying £100million each to the three teams who’ve been relegated at Everton’s expense.
It is understood that 777 are unlikely to foot the bill, which would add £300million on top of the club’s current debts as well as the £500million takeover price that 777 have agreed to pay to buy Farhad Moshiri out of Merseyside.
Everton were docked 10 points on Friday for financial breaches and are ready to appeal against that decision. The Mirror, however, adds that another nine-point penalty would be incurred if the club entered administration.
Miami-based investment firm 777 are already lending £20million-a-month to the Toffees so if the club does go into administration, they could become creditors.
Not only is there a chance that the 10-point deduction punishment is upheld but there’s also the threat of a £300million hit from Leeds, Leicester and Burnley, who feel as though they were unfairly relegation due to Everton’s over-spending.
That could lead to 777 backing out of their takeover deal and the club entering administration, which would be an automatic nine-point deduction.
Right now, Everton’s Premier League safety doesn’t look too much under threat due to how badly Burnley, Luton and Sheffield United have been playing.
Even with Friday’s 10-point hit, the Blues are just one win away from being out of the relegation zone again.
But another nine points would almost certainly condemn Everton to the Championship, which simply cannot be allowed to happen.
Hopefully this £300million lawsuit leads to nothing and everything can then carry on as normal as possible.
