English Football League (EFL) have handed Derby County an immediate 12-point deduction after the Sky Bet Championship club entered administration last weekend.
Derby announced on Friday evening (17 September) that the club would enter administration and lodged Notices of Intention to Appoint Administrators to the EFL, with the process completed today as Andrew Hosking, Carl Jackson and Andrew Andronikou of business advisory Group – Quantuma, appointed as joint-administrators.
Hosking released a statement in which he largely blamed Coronavirus pandemic for the impact on Derby’s finances and long-term future stability, whilst issuing an invitation for ‘interested parties’ to make contact amidst aiming to ensure that the club fulfil all fixtures throughout this season.
The club consequently were in breach of the following EFL regulation – 12.3.1, which states that ‘any Club subject to an Insolvency Event shall be deducted 12 points.’
Further EFL regulations also note that should any team suffer ‘an Insolvency Event’ before the last Thursday of March during an individual season, the points deduction must be immediately applied to the league table which means that Derby has dropped from 11th down to rock-bottom of the table.
EFL have also confirmed that they’ve swiftly ‘held initial constructive discussions’ with the newly-appointed administrators and have vowed to maintain ‘regular dialogue’ in order to seek ‘appropriate solutions’ for Derby.
EFL bosses will also contact representatives of Derby’s official Supporters Trust – Rams Trust alongside local MPs within Derby, relevant stakeholders and members of Digital, Culture, Media and Sport Committee in order to arrange a meeting to discuss the club’s position now that administrators are in place.
EFL Chief Executive, Trevor Birch also issued a statement expressing his sympathy that whilst the current circumstances present “a challenging and concerning period for everyone associated with the Club,” EFL will work “proactively” in order to secure a financially secure future for Derby.