A GROUP of Burnley supporters are considering legal action threatening the position of the board of directors, writes PETER WHITE.
The sensational move stems an attempt to force the proposed takeover saga which, the fans group claim, "has bordered on the farcical".
An extraordinary general meeting is being demanded by the group who have written to the club's solicitors Addleshaw Booth, Manchester.
In the letter they say that unless a firm date, with appropriate resolutions, is set they may seek a court order to disqualify the club's company directors as club officials.
A spokesman for the group Andrew Ronnan said: "Our letter to Addleshaw Booth has been made available to the media. We have nothing to hide whatsoever.
"We take the view that the club's takeover saga has run an unreasonable length of time and, at times, has bordered on the farcical.
"The club cannot exist without the supporters but it can exist without the present directors who do not have a majority of the company's share capital. "If the directors do not positively respond within the seven-day deadline, then we intend to instruct our solicitors to brief Counsel.
"If our advice is such that we have an arguable case that has a reasonable prospect of success, and that it serves the best interests for the club's future financial stability, then we shall proceed with our legal action.
"It is admitted that it is an unusual course of action to take but we believe that it is better to argue our case in the courtroom than anywhere else."
In the letter to Addleshaw Booth, Mr Ronnan describes himself as a company director and a lifelong Burnley supporter whose attempts to buy shares have, in the past, been blocked by the directors.
He says he has the backing of several creditors of the company and claims from attending the annual meeting as a proxy voter that rules may have been violated which could force the directors to step down.
The letter makes certain financial arguments based on the accounts and also presses for an EGM.
It says: "However it is of equal concern to the creditors that support this letter and myself that the shareholders at the AGM clearly instructed the BFC directors to gather together within a reasonable timescale all interested parties which were bona fide and prepared to make offers to, for want of a better phrase, take over the company by way of agreed resolutions at an EGM.
"It now strongly appears to be the case that the directors are failing to reasonably respond to this specific instruction to which I was party to, acting as an appointed representative of a member at the AGM and to whom I have reported. "The directors' primary duty is to ensure that all creditors of the company are reasonably protected at all times and that the company takes advantage of all acceptable funding arrangements that may become available from time to time - particularly when trading is difficult -irrespective of any personal views that may prevail.
"There is now a group of creditors who are so concerned about the present position of BFC that serious consideration is being given to take appropriate action in the courts to protect their own interest."
The group make it clear they will not pursue litigation "if the directors are prepared to publicly confirm full details of the EGM with appropriate resolutions as instructed at the AGM - provided that the interest of creditors is positively addressed by the resolutions of the EGM." They are waiting for an answer within seven days.
Defender Bryan Small could be an early transfer target for new Turf Moor boss Stan Ternent.
Small is set to leave Ternent's old club Bury and is available without a fee.
Meanwhile, Gerry Harrison has had talks with Sunderland about a possible move. Luton have also made him an offer.
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