Apparently Gillingham are in real danger of slipping into Administration , despite denials by their chairman Mr Scally .
from bbc Gillingham chairman Paul Scally is confident that the League One club can avoid going into administration. He will present his plan to restructure the club's debt to the Bank of Scotland on Wednesday - but administration is possible if no agreement is reached. "I don't think that's going to happen," Scally told BBC Radio Kent. "For the last three months, I've been working on a restructuring plan, and in fairness to the Bank of Scotland, they've been very supportive." Scally places the blame for his club's problems firmly at the door of ITV Digital, whose collapse in 2002 hit many clubs hard - especially those like the Gills who were in Division One (now the Championship) at the time. He continued: "The bank understand that the position we're in is not of our own doing. "Most businesses, if they lost £7.5m overnight like we did, wouldn't stay in business - never mind football clubs. "Better results on the pitch would have helped - but when you're down, in football terms, nobody helps you. "We've got to do it ourselves, and we'll stand or fall by what we do as a club." Scally admitted that the Kent club have debts of around £9.2m, but he insists that "our debt isn't based on poor trading". He explained: "We incurred that debt in the reconstruction of the stadium, and it was only after we'd spent most of that money or contracted to spend it that ITV Digital collapsed. "It's bricks and mortar that we spent it on, not wages and overheads that we couldn't sustain. "Until ITV Digital collapsed, we were actually making a profit every year, with very little debt. "The shareholders in (ITV Digital's parent companies) Carlton and Granada need to take a very hard look at themselves, because what they've done to football, and clubs like ourselves, is frankly deplorable." "But I'm 100% confident that we won't go into administration before the meeting on Wednesday, and I don't believe we'll be going into administration after that meeting. "I fully expect the bank to support us in the future." Any Football League club that enters administration is now subject to a 10-point deduction - which if applied to the Gills, who are already in the League One relegation zone, would leave them stranded at the bottom of the table. Wrexham fail in 10-point appeal Wrexham are the only previous League team to have suffered a 10-point deduction - and that ensured their relegation from League One last season. Scally admitted: "If the bankers don't feel the restructuring plan is workable, the bank's ultimate sanction is administration - as it is for any lender. "We have a bank facility of £9.5m, and we're probably up to about £9.2m at the moment. "But the whole future of Gillingham Football Club rests on the back of the new stadium development. "I said in 1995 that the club had no long-term future at the Priestfield Stadium, and that remains the case."
