Inverness CT directors convert or write off loans

Former chairman Alan Savage, pictured in 2010, has taken control of Caley Thistle's finances

Inverness Caledonian Thistle directors have agreed to write off loans or turn them into equity in an effort to put the club on a better financial footing.

The Scottish League 1 club had suspended takeover negotiations with Seventy7 Ventures and appointed former chairman Alan Savage to improve their ailing finances.

The SPFL were looking into complaints of unpaid loan fees to fellow SPFL clubs Dundee and Ross County. Livingston were also due money by Inverness.

Savage, former chairman of Inverness-based engineering recruitment business Orion Group, led Caley Thistle between 2006 and 2008.

A major sticking point has been the level of debt the club is in and Monday's board meeting brought together many of those who have invested in the club, including former chairman Ross Morrison and directors David Cameron and Graeme Bennett.

Savage says he has invested around £200,000 in the club in the past week - allowing Saturday's 1-1 draw at home to Montrose to go ahead. He believes the reduction in debt makes the club a more attractive prospect for potential buyers.

A statement said: "The club successfully reached an agreement with stakeholders, including Ross Morrison and David Cameron who have long been critical financial supporters of the club, to change loans to the club to equity in a move that will be a massive step towards securing the club's financial position."

Savage added: "The decisive action taken by the board and stakeholders will enable us to put the club back on to a firm financial footing and I applaud the support they have shown to the club in this moment of need."