Swindon Town FC will do battle in the High Court on Thursday (July 7) as they bid to avoid being wound-up.

American firm AC Sports Wiltshire, otherwise known as Able, have applied for the club to be wound up after claiming that a loan made under the reign of former owner Lee Power is outstanding and should be repaid.

The case was first heard in January before being moved to this week.

As previously reported, the amount of the loan in question, which Able claim should be paid back, was not mentioned at the previous court hearing in January, but it is believed to be between £100,000 and £300,000.

But representing Swindon Town Football Company Ltd, the company behind the club, at the hearing, Jessica Powers said there was evidence that the loan agreement was varied and the money was repaid to a petitioner who attempted to purchase the club.

She claimed the case was brought with “improper motive”.

A winding up petition is usually a last resort for creditors that are owed money used against companies that are insolvent and can't pay their debt. If the court sides with the creditors then that company is typically forced into liquidation.

The case will take place at the High Court on Thursday in front of Deputy Insolvency Judge Stephen Baister.