SRU demand Edinburgh payment

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McKie described suggestions the SRU would look to drive Edinburgh into administration as the next step as "speculative" but he warned that if Carruthers, the Edinburgh owner, fails to repay funds advanced to the Magners League club by the close of business on Friday the SRU could call in the lawyers.

McKie told BBC Sport: "After much thought we took the decision that we have to take the necessary steps to do what's right for Scottish rugby," McKie told BBC Sport. "And consequently we've asked for repayment of the money that Edinburgh Rugby owes. That's £1.4million. That money is due on demand because Edinburgh Rugby have terminated their agreement with Scottish Rugby (SRU) earlier this week."

The SRU demanded all advanced funds to be returned to them after claiming Edinburgh terminated their 'operating agreement' with the national body.

Under the terms of the franchise agreement Carruthers and brother Alex struck in July 2006, the SRU pledged to part-fund Edinburgh.

The escalating row centres on Edinburgh's claim that they are owed around £250,000 by the SRU in match fees.

McKie added: "We anticipate, hopefully, receipt of that money, and we've also confirmed that we'll be giving Edinburgh Rugby no further money due to various breaches of the terms of our agreement with them."

He added: "We have no immediate plans to do anything about administration - we simply want the money back and we hope it's forthcoming."