Hornets told their shareholders at an extraordinary general meeting last Thursday that they estimated a debt of £20,000 to the company. But the chairman of the Stadium Company, Councillor Allan Brett, told the Observer the figure was closer to £80,000.

He said: “Hornets owe the Stadium Company, and I emphasise the Stadium Company, not the council, £80,000. This is rent, and gate money from a game against Oldham two years ago.”

Hornets’ company secretary Paul Reynolds reacted angrily to Councillor Brett’s claim.

He said: “We have asked Councillor Brett and the Borough Solicitor numerous times to put in writing the monies we owe to the Stadium Company.

“As I told the shareholders meeting last week, our auditors and accountants agree that the figure of £80,000 is incorrect and it is likely to be closer to £20,000.”

Hornets’ chairman Ray Taylor supports this view.

“We hotly dispute that figure” he said. “Councillor Brett has given Hornets no credit for a loan of £50,000 we made to the Stadium Company three years ago.”

Hornets have been encouraged by the response to their planned new share issue announced at last week’s extraordinary general meeting.

They have already received several pledges and donations of cash.

Hornets plan to use this money to settle their immediate problems, the payment of players’ wages and the gate money owed to Hull KR from the end of season play-off game.

Chairman Ray Taylor said: “We have had a good response from the current shareholders and the board is very encouraged.

“There have been several pledges and we have received some money in anticipation of the share issue. We have got the legal formalities under way and have a board meeting tomorrow to discuss our next step.”