Dundee in crisis over tax bill

The Dens Park club have fallen behind in payments over the last 19 months and have been hit by a demand for the balance to be cleared immediately.

Director Calum Melville, who has reportedly got a 150 million fortune from his business interests in Aberdeen, has revealed the club could call in the administrators within weeks.

Melville, who has spent over 1 million since becoming involved at Dens last season, claims he has offered to pay 100,000 now but this has been rejected out of hand by HMRC.

The 41-year-old attempted to resign from the club's board last Monday after failing to appear at an employment tribunal against ex-manager Jocky Scott and his fellow board members have refused to comment on his position following two emergency meetings.

Melville, whose role at Dens is still shrouded in secrecy, said: "Dundee FC is in a hole with HMRC. We've been in arrears for 19 months and they are demanding full payment, which is around 250,000. We have offered 100,000, which has been rejected. I have also offered to pay the full amount next May but that has also been rejected. There is a very distinct possibility of administration."

Dundee survived going into administration in 2003 with debts of 23 million, with fans' group Dee4Life raising funds to keep the doors open. Outgoing chairman Bob Brannan last year claimed the club were debt-free after Dundee United associate director John Bennett funded a 500,000 deal to buy their stadium as part of a deal with bankers HBOS to wipe out the club's remaining debts. However, it appears this is not the case, with HMRC topping their list of creditors along with Bennett, who is understood to be owed a six-figure sum he loaned the club to cover running costs.

Former Dens chief executive Dave MacKinnon admits he can't believe the business model he devised was ripped up just two years into its execution. "I'm really sorry to hear what is happening at Dens and I hope the club gets through it," he said.