Derby County enters administration amid lingering financial problems | Soccer News

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Derby County went into administration and were deducted 12 points by the English Football League amid the club’s continuing financial problems.

Andrew Hosking, Carl Jackson and Andrew Andronikou, chief executives of business consultancy firm Quantuma, have been named joint administrators of the Sky Bet Championship club, which owner Mel Morris says is losing between 1.3 and 1.5 million pounds per month.

Derby, led by former England captain Wayne Rooney, had taken 10 points from eight games so far, but now
fall to the bottom of the table, six points behind rivals Nottingham Forest, who were previously last.

Hosking said: “Covid-19 has had a significant impact on the club’s finances and its long-term ability to continue in its current form.

“We recognize that with the start of the 2021/22 season last month, this news will be of concern to stakeholders and fans, in addition to the City of Derby and the wider football community.

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Wayne Rooney said on Saturday he was “heartbroken” for Derby staff who face losing their jobs following the club’s move into administration.

“We are in the early stages of assessing the options available to the club and invite all interested parties to come forward.

“Our immediate objectives are to ensure that the club completes all of its league matches this season and to find interested parties to protect the club and its employees.”

In a statement, the EFL said the league had had initial discussions with administrators and would contact representatives from Rams Trust, DCMS, Derby area MPs and other relevant stakeholders to discuss the club’s position.

EFL chief executive Trevor Birch said: “I appreciate that this is a difficult and worrying time for everyone associated with the club, in particular the staff and supporters, and we have intends to work proactively with the Trustees and all relevant parties with the aim of securing a long term and viable future for Derby County.

“We will endeavor to provide timely and relevant updates as necessary and as events unfold over the coming weeks.”

Derby are already under a transfer embargo with the club in talks with the EFL over a further points deduction over an alleged breach of Financial Fair Play rules.

Morris claims he spent over £200m of his own money trying to get Derby into the Premier League, but admits he failed and has apologized to staff and supporters.

The owner also previously said Sky Sports News he was “devastated” by the situation and cited the financial impact of Covid-19 and a series of failed takeover attempts as the cause of the mess.

There is widespread concern among staff over job losses with manager Rooney speaking after Saturday’s win over Stoke City saying the situation for everyone at risk was ‘heartbreaking’.

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