Dire consequences if Cardiff City loses legal battle

Welsh Cardiff City now is fighting for its spot in the English Premier League in its strange battle with loan company Langston, learning they will be forced into administration if they lose.

Cardiff City has been sued by Langston for GBP 24 million, with a claim of non-payment on a loan. The club said terms of the loan were changed, and nothing is owed for another 10 years.

But if the club loses, it will be forced into administration and knocked down a tier.

"The only way Cardiff City would go into administration is if that was forced because we lost the court case," said chairman Peter Risdale. "We adamantly believe that this will not happen."

The loan originally was taken out by chairman Sam Hammam. Langston wanted immediate repayment this year, while Risdale said it is not due until 2016.

"We are continuing to work towards paying off the loan notes within the agreed dates and believe we will do that," Risdale said. "We are also preparing for the court hearing and our legal advice says we have a good case. We have not even considered voluntary administration and we will not be going down that route in any way."

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