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Reading's problems show no signs of abating

Already deducted four points by the EFL this season for the late payment of wages and a failure to meet the subsequent obligations, Reading’s abundant off-field problems show no sign of abating.

Staff, HMRC and suppliers have all been made to wait for money owed this season, while the hopes of a long-awaited takeover that would end Dai’s disastrous six-year reign have faded.

All the while, as Ruben Selles and his players attempt to keep Reading afloat, budgets and staffing numbers continue to be cut through measures orchestrated by Dai and chief executive Dayong Pang.

The January transfer window will likely see their greatest assets sold, such as England Under-20s defender Nelson Abbey and club captain Tom Holmes. Others, including Tyler Bindon and Charlie Savage, will be allowed to leave if valuations are met with upfront payments.

The extent of Reading’s financial problems have been detailed to The Athletic and include:

  • The November payroll for players being met thanks to a loan from sponsors Select Car Leasing — the second time this season the local firm has stepped in to help avoid another points deduction
  • A catering firm leaving the training ground due to money owed, forcing players to eat microwave meals
  • Overnight hotel stays scrapped for Selles and his squad to cut costs
  • Office staff wearing coats at their desks due to cold working conditions at the stadium
  • Redundancy letters being sent out across the club — including to at least six staff at the academy — in the week before Christmas.

A host of individuals and groups are known to have held takeover talks with the Chinese businessman in the last four months after Dai was said to be open to “credible offers of interest” in September owing to the club’s “significant cashflow issues”.

Staff had begun to expect Genevra Associates, a Luxembourg-based investment fund involving the former Wigan Athletic owner Talal Al Hammad, would offer the fresh start craved — only for an impasse in negotiations to leave their proposal in doubt last month.

Paul Richardson, the owner of Hera Clothing who also tried to buy Birmingham City in 2022, and Mike Ashley, the former Newcastle United owner, have held talks. But many of those interested parties have heard nothing from Reading since the turn of the year.

The same extends to Roman Gevorkyan, an Armenian businessman whose Noah Football Group owns stakes in Paris FC, Siena and clubs in Hungary and Armenia, with Nigel Howe, Reading’s former director, involved in discussions on the club’s behalf.

A stalled takeover has left staff exasperated, as the knock-on effect leads to further cutbacks and the fear that there is more to come. The new year is yet to bring the respite that is longed for.

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