Source:REUTERS/Peter Powell
[Saba Sports News] According to British media reports, former Lyon and Crystal Palace owner John Textor has suffered a setback in a debt claim case against him amounting to £72 million. The UK Business and Property Courts recently ruled that Textor has a case to answer in this claim and issued a preliminary judgment in favor of the plaintiff. The lawsuit was initiated by investment company Iconic Sport. Three years ago, this company invested £75 million in Textor’s multi-club group “Eagle Football,” with an agreement that if the group failed to go public, Textor would repurchase the shares at the principal amount plus 11% annual interest. Iconic Sport alleges that Textor failed to fulfill this contractual obligation. Textor’s side argued that the other party failed to provide the necessary legal documents to complete the transaction and stated they would appeal the preliminary ruling. Textor’s business activities have faced difficulties recently. After watching Crystal Palace win the FA Cup in May this year, he sold his entire stake in the club in July. The Lyon club, which he controls, was also once relegated due to financial problems. Furthermore, his plan to acquire Sheffield Wednesday has stalled due to failing to meet the asking price. The plaintiff, Iconic Sport, even questioned in court whether Textor has sufficient funds to repay this potential massive debt.