SCARBOROUGH Football Club was saved at a crucial creditors' meting yesterday when 79 per cent of those in debt - estimated at nearly £2 million - voted in favour of a package put forward by Peter O'Hara, the insolvency expert called in by the club.

"It was very close, as we needed 75 per cent to go forward, but thankfully, the club still exists," said O'Hara.

He went on to say that John Russell the club's former chairman, had been "very good for the football club, but not very good for the creditors."

New club chairman Trevor Milton welcomed the news, but said "This is not a day for flag waving because a lot of people have lost a lot of money - including myself - but we are able to continue as a club and that is important for the people of this town."

At the meeting, it was revealed that Brooks Mileson would receive the Russells' majority shareholding of 68 per cent for just £1 and both Russell and his wife Gillian would be resigning from the board of directors.

O'Hara also revealed that Mileson had informed him that no player would be sold following the meeting in the restructuring of the club that was to take place. He went on to stress that "clubs will not be able to just walk in and buy players at a cut price - if they ever move, it will be for the proper value."

A crucial factor in the voting was the decision by former club chairman Ken Ferrie, who resigned as a director at the stormy meeting two weeks ago, to cast his vote in favour of the plan, as it was thought by many that he was opposed to the package.

At the meeting the solicitor representing Halifax Town voted to save the club and with John Smith's Brewery having to abstain from the vote for legal reasons the future of the club was assured.

Manager Neil Thompson was delighted when he was told of the news saying "Obviously this is a huge weight off the shoulders of the players and I just hope that will be reflected in their performance against Kingstonian."