A meeting of the creditors of Hereford United (1939) Limited took place this afternoon at Edgar Street.
The meeting was chaired by the nominee Marc Landsman. Also on top table were club chairman Andy Lonsdale, along with directors John Edwards and Elke Thuerlings.
Around 30 creditors and advisors attended.
He told those present the meeting had three options, either to agree, disagree or adjourn.
Tommy Agombar Jnr has resigned from the board and Phillip Gambrill will resign after any final decision is reached. Tommy Agombar Snr is no longer involved with the club as he has sold his shares and his debts to a company called Alfha Choice Finance Limited from Essex who, the creditors were told, has no connection with anyone involved with the club.
Landsman went on to comment about the club which he felt hadn't been run well. He mentioned the share issue, borrowings over £10K (which he said were breached in the 1970's). He felt that in theory some former directors could be responsible for paying themselves, Graham Turner was mentioned, but current director John Edwards assured those present that the club would not press Turner for any repayment.
The meeting moved on to consider the cash flow projections which originally showed a large amount from sponsorship and a guarantee from Agombar.
Director Edwards said that the directors had put a small amount of money in to keep the club ticking over and were trying to attract sponsorship.
When questioned further amount the suggestion that sponsorship could raise £250K, a letter was produced to back the claim. One of the creditors read it and immediately questioned its authenticity. It appears the letter had come from Belize.
Further questions were asked about why certain ex-staff had still not be paid in full.
Landsman then began his summing up.
"Companies rarely got into insolvency over-night.
"Often a number of issues build up.
"Some directors see running a football club as a hobby.
"The articles of associations must be kept up to date."
Shortly afterwards the meeting was adjourned whilst voting on whether to accept or reject the CVA took place.
Fifteen or so minutes later Landsman announced that the CVA had been rejected. He didn't give the figures but accepted that the vote against was somewhat higher than the 25% needed.