Hearts admit they still cannot afford to build new main stand

But Vitalijus Vasiliauskas, who was drafted on to the board primarily to work on the redevelopment of the ground, insisted that the club's owners remained committed to finding the 15million required.

"We can't afford at the moment to invest 15m, but we believe we still need a new stand," Vasiliauskas said at the agm, attended by around 200 shareholders. "We're just looking for a new stand with the best value for supporters. We'll be in discussion with the city in June."

The 15m plan is in itself a drastic scaling back of the original project, which aimed to transform Tynecastle with a new development which would include hotels and shops and was costed at 50m. Majority shareholder Vladimir Romanov had hoped to attract outside investment to that scheme, but that has not been forthcoming.

The same problem has arisen with the new, less ambitious project, but Ubig, Hearts' parent company in which Romanov has a controlling interest, still appears committed to finding the money required to implement it. "In the present climate it is very difficult to implement the original plan," said Hearts director Sergejus Fedotovas, who chaired the agm. "We have to complete a feasibility study on the stand and we need to complete our options for funding.

"The ambition is still there to provide a new development. Before the first of August we will be able to give you an update on the timing and more details of the club's plans on the new development. This club needs not just a stand, but more facilities to generate revenue. The development of the stadium is our top priority."

Fedotovas and Vasiliauskas were joined at the top table in the Gorgie Suite yesterday by their fellow-director Julija Goncaruk, Romanov's niece, and by the outgoing managing director Campbell Ogilvie. Hearts chairman Roman Romanov, Vladimir's son, was absent for a second successive year, to the relief of those who recalled his ill-disciplined appearance.

Of the six motions which the meeting voted on before formal proceedings were closed and a question-and-answer session began, all but one were approved unanimously. That was the reappointment of Romanov as chairman – a motion which received around 35 votes against compared to more than 100 in favour, with the rest abstaining.

Fedotovas, who is perceived as a safe pair of hands and is respected even by opponents of Romanov's, was reappointed as director without a murmur. Chartered accountants Johnston Carmichael were reappointed as club auditors, two technical measures on shares and securities also went through with no more than a handful of abstentions, and the accounts for the year ending 31 July 2009 were adopted.

Released last month, those accounts showed that, while Hearts' losses for the year were lower than previously, the club's overall debt had almost reached 35m. The club said at the time a debt-for-equity arrangement was being looked into as one way of cutting that figure, and yesterday Fedotovas said that such a plan remained an option.

"All our banking debt was taken over by Ubig just a few weeks ago," he said. "We are still talking to Ubig about what kind and scale of transaction (can be made], but we are still looking to do it before the end of the current financial year, that is, before 1 August."

If Hearts continue to spend beyond their means they can expect to fall foul of new legislation which Uefa announced yesterday. The governing body of the European game says it will ban from the Champions League and Europa League clubs which spend more than they earn – but Fedotovas appeared confident Hearts would get their books in order on time.

"We are going at a considerable pace to minimise loss-making. We have until 2012 to break even, and are reasonably positive we will meet it in the next financial year."

The agm concluded with a plea for better lighting on one of the stairways in the main stand. Fedotovas promised to refer the suggested replacement of an alleged 40-watt light bulb with a 100-watt one to stadium manager John Boag.