Northampton Town FC loan: Police start inquiry into 'alleged financial irregularities'

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

Police have started an investigation into "alleged financial irregularities" surrounding a council's £10.25m loan to Northampton Town Football Club.

Northampton Borough Council lent the club the money to redevelop Sixfields Stadium.

On 6 November it was revealed police were working with the council "to see whether any criminality has occurred" in connection with the loan.

Police said they had received a formal complaint from the council.

'Secure documents'

A Northamptonshire Police spokesman said the investigation "relates to alleged financial irregularities surrounding the loan made by the borough council to Northampton Town Football Club".

He said: "In response, a team of officers this afternoon served a warrant at Sixfields Stadium in order to secure any documentation which may be relevant to the investigation.

"The football club is being fully co-operative at this stage.

"This is likely to be a complex and challenging inquiry and it would be inappropriate to comment further at this stage."

More on this story and other news from Northamptonshire.

The police investigation comes on the day former Oxford United chairman Kelvin Thomas reached an agreement to buy the controlling stake in the League Two club from David Cardoza.

The club owes HM Revenue and Customs (HMRC) £166,000, which has led to a winding up petition set to be heard next week.