 EVERTON Football Club has been warned by its bank that it could be placed into administration if it oversteps its overdraft limit. Barclays has told Everton it will not extend the club's limit beyond the current £5m. In addition to its overdraft facility, Everton has debts of £30m owed to City investment bank Bear Stearns. Further sums are owed to other football clubs for past player purchases. A source close to the talks between Everton and its bankers said: "Those talks are robust and the word administration has been mentioned." The Daily Post understands that the threat is not imminent but, under new Premiership rules, if the club is placed into administration later in the season, it would have nine points deducted from its league total, a move that would make relegation much more likely. Everton would also be prevented from buying any more players while in administration. In a statement yesterday, Barclays Bank said: "We always work with customers to achieve a mutually acceptable solution and talks with Everton are ongoing." Those talks included a meeting yesterday. Club director Paul Gregg acknowledged Everton was in talks with Barclays about its overdraft facility, but denied that it had been threatened with administration. Mr Gregg said: "The bank is having one of its regular meetings with the club. The club is living comfortably within its facility and will continue to do so. We are aware the club needs new investment, but it doesn't impact on us on a day to day basis. "The club is confident of their (Barclays) support." But the fact Everton has an overdraft at all marks a significant deterioration on the £5m Everton had in the bank a year earlier. According to a source close to the club, it must raise new finance if it is to continue trading throughout the coming season. A combination of factors, including a reduction in television revenues and debts due on past transfers, mean Everton's bank balance will get critical before the end of next season, unless new money is found. | 
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