THE future of Margate Football Club is uncertain after reports that a winding up order has been served.

Shareholders received a letter on Saturday saying that Margate Football Club Ltd had not complied with a voluntary arrangement entered into on November 29, 2005, under the Insolvency Act.

It states that HM Revenue and Customs says the company failed to discharge its tax liabilities. This made the voluntary arrangement "in default" and that the agreement is terminated.

The letter signed by Alan Simon, supervisor of company voluntary arrangement of Margate Football Club Ltd, states: "Solicitors have been instruced to proceed with a winding up petition against the company and it is anticipated that the Official Receiver will be in contact with all known creditors in due course."

Former town mayor Roy Ovenden is one of the shareholders who received the letter. He said: "I am mystified by what is going on. It appears that the company has defaulted on a payment arrangement."

Mr Ovenden was acting chairman of Thanet United in the mid 1980s - a club formed by the merging of the Margate and Ramsgate teams. He said: "I oversaw the transition of Thanet United back to Margate FC because I believed it was so important for the town to have a club identity.

"The fans are die-hard grass roots supporters and they must wonder what is happening."

Kent Online contacted club director Colin Page who said: "I cannot say anything. I have not heard anything about this."

Club chairman Malcolm Rowlett said: "The news came as a real shock to the directors. The letter was sent to shareholders and not us.

"We have religiously paid the monthly amount under the company voluntary arrangement, and we are bang up to date. It appears quite simply that the last cheque went missing, that is all."

Mr Rowlett added that the club "is working to sort out this misunderstanding." He added: "This definitely not the end of Margate Football Club, that is for certain."