BURNLEY FC paid back £5.5million for a £3.7million loan from a collapsed firm part-owned by club director Brendan Flood, administrators have revealed.

The Clarets were given the loan by property firm Modus Ventures, which was repayable when the club was promoted to the Premier League.

When Manchester-based Modus Ventures collapsed last year, administrators called in the loan plus interest in a bid to claw back money for creditors.

The Lancashire Telegraph revealed in January that the amount repaid by the Turf Moor club was more than £5million.

And administrator KPMG has said in an update report that the final figure was £5.5million received from Burnley FC on January 13 this year.

The loan, made several years ago, boosted the club’s finances and helped boss Owen Coyle in his push for promotion to the Premier League, achieved via a play-off final win over Sheffield United at Wembley in May 2009.

Administrators of Modus Ventures, a holding company for other firms run by Mr Flood and former business partner Mike Riddell, also said in their report that backers would lose money.

KPMG said Bank of Scotland, which financed Modus Ventures and is considered a secured creditor, is unlikely to claw back much of the £23.7million it is owed.

But, former employees were paid back £52,746.

KPMG has extended its investigations until November, by which time it expects the administration process to be complete. Other Modus firms continue to trade and are run from an office in Manchester.

Mr Flood, operational director at Turf Moor, and Anglo Irish Bank are in the process of suing each other at London’s High Court over collapsed shopping centre developments in Wakefield and Blackpool.