Elliott defends Coventry administration move

After days of speculation, the Sky Blues' board revealed in a statement this afternoon that they had "filed in court notices of intent to go into administration".

At the end of last week a consortium headed by former Manchester City player Ray Ranson was on the brink of agreeing to buy the cash-strapped Coca-Cola Championship club, who have estimated debts of £38million.

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But the Co-op bank, which is owed £18million by Coventry, blocked a bid by Sisu Capital - the investment company behind Ranson.

The Sky Blues have given legal notice for a 10-day window for talks with Ranson and Sisu Capital to be concluded, otherwise they will enter administration.

Elliott told Sky Sports News: "We are doing all we can to act in the best interest of the club and to get this deal done. We are just trying to bring it to a close.

"We have been very honest and said that the clock has been ticking for some time. We need to bring this to a head.

"This does not mean we are in administration. What we are trying to do is push this along.

"We are doing everything to protect the bank and the credit holders for the best possible reason. We see it as a necessary road we have to take.

"Coventry City is not the easiest deal because there are so many parts, but it is our intention, everybody's intention, to end up with a solvent financial situation."

Asked whether he thought a takeover was imminent, Elliott replied: "Yes, within the 10-day window."

The announcement of intent to enter administration is the latest development in an ongoing saga.

Coventry, who were placed under a transfer embargo in October, revealed on Thursday that they anticipated a positive outcome regarding the takeover. But this would not have been the news that City supporters expected.

A statement issued by the club read: "The board of Coventry City Football Club can confirm that it has today filed in court notices of intent to go into administration.

"This is merely a legal process protecting the bank and its creditors and should speed up the potential takeover of the club and therefore take Coventry City into a solvent financial situation.

"This legal notice gives Coventry City a 10-day window to complete the takeover talks with Ray Ranson and Sisu Capital, along with all other parties.

"Following recent speculation, the club can confirm can that staff and player wages have now been paid and we look forward to a successful conclusion of the takeover in the near future.

"Coventry City will not be making any further comment at this time."

Administration would mean the Sky Blues incur a 10-point deduction, plunging the club into the bottom three and a certain relegation battle. Coventry would also face the prospect of having to sell their best players.

And it could have further implications for the future of manager Iain Dowie.

Dowie has already indicated that he would consider his position should the club go into administration.

It is Dowie's view that the club would have failed to deliver what they had promised when he signed his three-year contract back in February.

"When someone tells me we have got good news, great. If someone tells me we have got bad news then we will deal with that then," said Dowie.

"I said when somebody asked me a question in light of what has been said to me over the recent period, and when I came to the club, that it would be under consideration because it wasn't quite what it said on the tin.

"In the end what we are going to have to put up with is what we are going to have to put up with, and we can't change that."

Coventry have been seeking new avenues of investment since five potential investors, including Manhattan Sports Capital Partners, who had been in talks since the turn of the year, all withdrew their interest in the club in October.

That breakdown prompted the resignation of managing director Paul Fletcher and former chairman Geoffrey Robinson.