An administration petition against Northampton Town Football Club is to be withdrawn before a scheduled hearing at the High Court tomorrow.
Northampton Borough Council lodged the petition back in November 11 in order to stave of a more serious winding up petition against the club, brought by the HMRC for £166,000 of unpaid taxes.
The last administration hearing at the high court on November 27 was adjourned after new owner Kelvin Thomas agreed an 11th hour deal to take over the club.
He and the council agreed a memorandum of understanding that the borough would reclaim the £10.25 million it loaned to the Cobblers by developing the land it owns around Sixfields Stadium.
Earlier today, Mr Thomas said a memorandum was due to be signed today which meant the administration petition would be withdrawn before tomorrow’s hearing.
A Northampton Borough Council spokeswoman has since confirmed Mr Thomas’s statement this afternoon.
She said: “The legal agreement between Northampton Borough Council and the new owners of Northampton Town Football Club is now formally signed. We will be asking for the administration hearing to be withdrawn at the High Court on Friday morning.”