Northampton Town FC loan: Police in talks with council

Part of the loan was to build a new East Stand at the Sixfields stadium

Police are working with Northampton council "to see whether any criminality has occurred" in connection with its £10.25m loan to the town football club.

The club also owes HM Revenue and Customs (HMRC) £166,000 - which has led it to seek a winding up petition.

Police stressed that while it was talking to the council it was "not in possession of any material at this time that would warrant an investigation".

Northamptonshire Police added it had not received a formal complaint.

Northampton Town Football Club said it did not want to comment.

Former Northampton South MP and ex-club director Tony Clarke said he feared that if the petition was successful the council could lose the £10.25m it is owed by the club

"Our position remains that as soon as a criminal allegation is brought it ought to be investigated without delay," a spokesman said.

Earlier this week former Northampton South MP Tony Clarke said he feared that if the petition was successful the council could lose the £10.25m it is owed by the club.

Mr Clarke, who is also a former director of the club, said: "It absolutely imperative the council objects to the winding-up petition in two weeks time.

"If they don't and Northampton Town Football Club goes into receivership then the council won't recover any of its money."

Last week it was revealed that players and staff at Northampton Town Football Club have not been paid due to its financial problems.

Manager Chris Wilder paid tribute to the attitude of people who work at the League Two club, saying it has brought them all "much closer together".