Morecambe are on the verge of entering administration after talks between the club’s directors and owner Jason Whittingham failed to find a breakthrough regarding a potential takeover.
The Panjab Warriors consortium received clearance from the Football League to complete a takeover of the Shrimps at the start of June but the process remains incomplete and on Friday Morecambe’s board said Whittingham and his Bond Group Investments “appear to be considering reneging on the deal”.
Early on Tuesday the board set a deadline of 4pm for Whittingham to conclude the deal as his group did not have the funds required to meet the club’s payroll commitments, saying they would call in the receivers if the deadline was not met.
That deadline was later extended to 6pm “after new information came to light”, but a further statement on Tuesday evening said that no progress had been made.
The statement read: “Following further discussions with Jason Whittingham this afternoon and evening, it is apparent to the board of directors that he is, for some reason, stalling for time and attempting to drag out what is a truly horrible situation and decision for as long as possible.
“We must emphasise that this is without providing the board with any substantive or convincing reasons for us to responsibly delay triggering the administration process.
“The board of directors have this evening informed Jason that administrators will be called, at the earliest opportunity, tomorrow morning. Jason still has the chance to do the right thing, agree to sell his shares tomorrow morning, but that opportunity expires once and for all after that.”
Morecambe suffered relegation from League Two at the end of last season and are due to compete in the National League next term.