CONFUSION today surrounds a bid to save York City.

Chiefs at City of York Council revealed they have been leading a consortium bidding to buy the club.

The authority says it teamed up with local businesses to make an offer for the club, which it said was rejected.

But today City chairman Douglas Craig vehemently denied having any knowledge of either a bid, or even a consortium.

"I am mystified by this. I haven't rejected anything to my knowledge, provided it is an intelligent offer," he said.

Coun Alan Jones, the council's executive member for leisure and education, said the authority has been told that Mr Craig is seriously considering offers from other bidders.

Mr Craig replied: "I have not had any consortium offers from the council or anyone.

"I don't know anything about it. I haven't the foggiest idea what they are talking about."

The consortium was formed at a secret meeting held on Wednesday night. Led by the council the meeting, attended by a number of local business personalities, was the first stage in tabling a bid for the club.

Those at the meeting pledged to keep its details secret - but the council last night revealed the bid's existence in a widely-circulated press release.

In that press release, Coun Jones said: "We have been involved in talks with a number of interested parties and formed a consortium which made an offer to take over the club and secure its future at Bootham Crescent.

"Naturally, we are disappointed to learn that our consortium offer has been rejected, but it is still on the table and we will not walk away."

When the Evening Press spoke to Coun Jones he added: "There was a bid from a developer which we couldn't match. I don't know the actual details of the bid.

"We are very disappointed but we want to keep our deal on the table. I want to meet Mr Craig in the near future.

Neither the details of a consortium offer or the identity of the interested parties has been revealed.

"I cannot make any comment (about the nature of the consortium bid). When I meet with Mr Craig I will ask him about it," Coun Jones added.

Coun Jones added: "We have said all along that City of York Council values having professional sport in the city and we are hopeful that any deal Mr Craig is now pursuing will be in the long-term interests of York City and its supporters.

"In the meantime we will continue to monitor the situation and offer practical support to all those concerned about the club's future."

Coun Jones insisted: "An approach was made to Mr Craig, in the strictest confidence, not directly from the council but from a member of the consortium.

"He was not interested. He had received a better offer, presumably from a developer."

The Evening Press understands the consortium bid would have remunerated Mr Craig's original stakeholding, plus interest.

It would have also cleared the club's debts and established a platform for City to continue until next season.

A City of York Council spokesman said: "For the avoidance of doubt, a confidential letter will be sent by the council on behalf of the consortium to Mr Craig on Monday."

York City was put up for sale last month by Mr Craig.

Updated: 13:06 Saturday, January 19, 2002