A COMPANY owned by former York City chairman John Batchelor has gone into receivership.

A statement in the London Gazette reveals that W J Batchelor Ltd, based in Deansgate, Manchester, has been put in the hands of administrators.

Mr Batchelor, who is registered at Companies House as living in Clitheroe, Lancashire, today said the closure of the holding company was a "technical issue".

The company was formerly known as Fleetness 341 Limited, but changed its name in October last year. Mr Batchelor said the company had been set up to try to turn around a vehicle recovery firm called Boardmans.

He said that as that had not worked, the firm had been sold on, leaving no need for the holding company, which had now been closed. The Evening Press recently revealed Mr Batchelor made a substantial cash offer to York City in exchange for a seat on the board - but was turned down.

Mr Batchelor has refused to hand over £42,000 of an agreed £85,000 to the club after claiming a confidentiality clause was broken. Mr Batchelor said he had tried to patch things up with the club by offering to repay the owed money and invest a significant amount more for a board seat and ten per cent of the club's shares.

But following a meeting with the York City Supporters' Trust, that deal was rejected by the football club.

Updated: 10:50 Friday, August 13, 2004