Freddy Shepherd represented Newcastle's interest at the meeting
|
Premier League chief executive Richard Scudamore has confirmed the introduction of a nine-point deduction for clubs who go into administration.
Premiership chairmen have decided any club who go into administration after 3 June will be deducted points.
The new rule is unlikely to affect debt-ridden Leeds United.
The Elland Road could be the first Premiership club to go into administration if they do not find a solution to their problems by Friday.
The new measure was passed at a meeting in London on thursday and the chairmen hope it will deter clubs from overspending in the future.
Scudamore said: "If a club go into adminstration and can relieve themselves of debt it gives an unfair advantage in terms of league position.
"The view of the clubs is that there should be a big disincentive for clubs to overspend and overstretch themselves - that's why there will be a nine-point sanction."
The debt-ridden Elland Road club have until 1700 GMT to raise the £5m needed to stave off the threat of administration.
The Premiership already has the power to suspend or deduct points from clubs who enter administration.
But discussions in London decided a mandatory penalty should be introduced to send out a warning to clubs who are in financial difficulties.
There has been much debate about whether going into administration - effectively wiping out existing debts - is an easier option for clubs than dealing with cash-flow problems.
Leicester City were heavily criticised when they entered administration in October 2002 but still managed to win promotion to the top-flight at the end of the season.
Top-flight chiefs have followed the example of the Football League, whose new rule will deduct 10 points from the end of the season.
Home~RS~a~RS~Domestic~RS~q~RS~~RS~z~RS~39~RS~){kind=small}
MMIX
E-mail this to a friend
Printable version
