Hearts fear relegation after collapse of majority shareholder

By Andrew Lomax

8:11PM BST 16 May 2013

The Lithuanian investment firm was on Thursday listed on a government website of insolvent firms after reportedly declaring itself unable to meet its liabilities.

The club are no longer reliant on the company for external funding but they do owe it £10 million.

And the insolvency of club owners can lead to a points deduction under Scottish Premier League rules.

The SPL declined to comment on Thursday night but it is understood league officials are consulting with lawyers as to the facts of this case and whether they impinge on their rules.

If deemed to fall foul of insolvency rules before Sunday's season finale, Hearts would be deducted a third of last season's total - 18 points. Hearts are 13 points above bottom club Dundee and would be relegated.

The club were monitoring developments. In their defence, Hearts will point out that they have not required external funding from UBIG since early last year.

It is understood they believe they are in a position to trade normally and that suppliers are being paid and they are up to date with tax.

Taken from telegraph.co.uk