A protracted legal tussle is looming between cash-strapped Absa Premiership club, Bloemfontein Celtic and Standard Bank South Africa.
The bank wants the struggling club to be provisionally liquidated as it is unable to settle its debts.
Standard Bank alleges that Celtic owes more than R4 million for six home loans.
In papers before the High Court, Standard Bank claims Celtic has failed to honour payment plans.
The bank states that it has entered into six home loan agreements with the club in December 2015.
But to date the club has failed to honour its contractual obligations. The debt has since accumulated staggering interests. Celtic has nine days to oppose the liquidation motion.
If not, the bank will argue in October that the court should grant final liquidation order.
Celtic’s financial woes have deepened with players embarking on a strike over unpaid salaries.
The club has now been sold to business woman Sinki Lleshabane and Dr Moeketsi Mosola.
Celtic’s outgoing Chairperson, Max Tshabalala, could not be reached for comment.
The soon-to-be Celtic owners have also declined to comment, pending the league’s formal approval.
Terms of the deal have been shrouded in secrecy. Meanwhile, the South African Football Players Union wants to join the court action against Celtic.
The union says it will do its utmost to ensure that the interests of the 30 affected players are not compromised.
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