<a href="http://msn.skysports.com/skysports/article/0,,1860-1069951,00.html" target="_blank">From Sky</a>
(Whole article pasted in)
Manchester United may be forced to fight through the courts to receive the £12million still outstanding from Jaap Stam's transfer to Lazio.
The Italian club's already precarious financial position took another sharp downturn on Friday when their shares were suspended on the Milan stock market.
That move followed reports questioning the stability of the Cirio Group, which hold a 35%stake in the Rome-based club.
United, facing a £8.4m shortfall after tax if Lazio were unable to pay up, immediately instigated court proceedings to try and recover the debt.
While the Old Trafford outfit are still hopeful of receiving their money through negotiations with Lazio, it is clear they would have to take a major hit if these talks were to prove unsuccessful.
"Manchester United have noted yesterday's press coverage regarding the current financial situation of Gruppo Cirio, an Italian food group, which owns 35% of SS Lazio," said the club in an official statement to the Stock Exchange.
"Manchester United have received no further payment from SS Lazio in respect of the £12m still owed for the transfer of Jaap Stam. Discussions have been ongoing to reach rescheduling of the payment of this debt and compensation for the delay but these have still to reach a conclusion.
"While these discussions are continuing, Manchester United have instigated legal proceedings in respect of the outstanding promissory notes from SS Lazio and in respect of the guarantees of the debt by Cirio Finanziaria, a member of the Cirio Group.
Manchester United is working to ensure that these discussions reach a satisfactory conclusion."
Italian food company Cirio was declared insolvent after failing to reimburse investors on a 150 million euro, two-year bond which matured last week.
Trading in Cirio shares was suspended for the third day running on the Milan stock exchange, dragging down Lazio shares 7.9% in the process.
Lazio shares, which fell 6.4% on Thursday, were then also suspended. Both companies are owned by the Cragnotti family.
Lazio have already defaulted on payments to Valencia, prompting legal action from the Spanish club, while £7.5m is still outstanding for Gaizka Mendieta, currently on loan at Barcelona.
Sir Alex Ferguson stunned the football world in August 2001 when he told Stam his services were no longer required.
The giant Dutch defender believed the move stemmed solely from comments made in his controversial autobiography, in which he questioned the ability of some of his team-mates.
Stam reluctantly accepted a move to Lazio, which at the time - bankrolled by Sergio Cragnotti - appeared to be one of the richest clubs in Europe.
However Cragnotti's efforts to bring sustained glory to the club largely ended in failure and when the current cash crisis struck Serie A, Lazio were one of the worst affected.
It is thought they have so far made just one payment on the Stam deal and when they announced their latest annual results last month, United admitted that they had been forced to enter negotiations to restructure their entire deal.
At that stage United still hoped their debt would be paid within 12 months and with Ferguson admitting this week he needs to improve his squad when the transfer window opens in January, the money-men's success could be critical to United's chances of lifting the Premiership title.
(Whole article pasted in)
Manchester United may be forced to fight through the courts to receive the £12million still outstanding from Jaap Stam's transfer to Lazio.
The Italian club's already precarious financial position took another sharp downturn on Friday when their shares were suspended on the Milan stock market.
That move followed reports questioning the stability of the Cirio Group, which hold a 35%stake in the Rome-based club.
United, facing a £8.4m shortfall after tax if Lazio were unable to pay up, immediately instigated court proceedings to try and recover the debt.
While the Old Trafford outfit are still hopeful of receiving their money through negotiations with Lazio, it is clear they would have to take a major hit if these talks were to prove unsuccessful.
"Manchester United have noted yesterday's press coverage regarding the current financial situation of Gruppo Cirio, an Italian food group, which owns 35% of SS Lazio," said the club in an official statement to the Stock Exchange.
"Manchester United have received no further payment from SS Lazio in respect of the £12m still owed for the transfer of Jaap Stam. Discussions have been ongoing to reach rescheduling of the payment of this debt and compensation for the delay but these have still to reach a conclusion.
"While these discussions are continuing, Manchester United have instigated legal proceedings in respect of the outstanding promissory notes from SS Lazio and in respect of the guarantees of the debt by Cirio Finanziaria, a member of the Cirio Group.
Manchester United is working to ensure that these discussions reach a satisfactory conclusion."
Italian food company Cirio was declared insolvent after failing to reimburse investors on a 150 million euro, two-year bond which matured last week.
Trading in Cirio shares was suspended for the third day running on the Milan stock exchange, dragging down Lazio shares 7.9% in the process.
Lazio shares, which fell 6.4% on Thursday, were then also suspended. Both companies are owned by the Cragnotti family.
Lazio have already defaulted on payments to Valencia, prompting legal action from the Spanish club, while £7.5m is still outstanding for Gaizka Mendieta, currently on loan at Barcelona.
Sir Alex Ferguson stunned the football world in August 2001 when he told Stam his services were no longer required.
The giant Dutch defender believed the move stemmed solely from comments made in his controversial autobiography, in which he questioned the ability of some of his team-mates.
Stam reluctantly accepted a move to Lazio, which at the time - bankrolled by Sergio Cragnotti - appeared to be one of the richest clubs in Europe.
However Cragnotti's efforts to bring sustained glory to the club largely ended in failure and when the current cash crisis struck Serie A, Lazio were one of the worst affected.
It is thought they have so far made just one payment on the Stam deal and when they announced their latest annual results last month, United admitted that they had been forced to enter negotiations to restructure their entire deal.
At that stage United still hoped their debt would be paid within 12 months and with Ferguson admitting this week he needs to improve his squad when the transfer window opens in January, the money-men's success could be critical to United's chances of lifting the Premiership title.
