Serie A club Parma declared bankrupt by Italian court

Italy: Crisis-hit Serie A club Parma were declared bankrupt by an Italian court on Thursday with debts of more than 200 million euros ($220 million).

The hearing in Parma was uncontested and lasted only 10 minutes in front of judge Pietro Rogato.

Parma's new owner and president, Giampietro Manenti, was not present following his arrest the previous day on charges of money laundering and embezzlement.

Angelo Anedda and Alberto Guoiotto were appointed to oversee the bankruptcy proceedings.

"We have spoken with the staff and we will meet the squad later in the afternoon," said Osvaldo Riccobene, a representative of the board of auditors who stood in for Manenti. "We will try to keep the true values of the club, or rather some of their staff, the players, and we will try to keep also the property value of this club, for the same staff and for the receiver.

"We are in a unique case, there are no precedents. Sunday's match against Torino will be played."

Parma were once known as the strongest of Italy's provincial team and where players like Gianluigi Buffon, Fabio Cannavaro and Lilian Thuram became famous.

The team won three European trophies in the 1990s - two UEFA Cups and one Cup Winners' Cup - and was the Serie A runner-up in 1997.

But it is not known whether Parma will be able to finish this season. There is a plan in place with the league's governing body and the Italian football federation to fund the club for the rest of the campaign.

The other Serie A clubs voted this month to give Parma the 5 million euro ($5.5 million) emergency fund after two consecutive league matches were postponed. Players have not been paid for months and the club has been sold twice this season.

Relegation is all but certain as Parma, which has been deducted three points for failing to pay wages, is in last place, 16 points from safety.

Parma have two possible options for the future. If a new owner is found, they will have to pay off a debt of 74 million euros ($79 million), most of which stems from unpaid wages, and Parma could start next season in Serie B.

However, if no one decides to buy Parma, the club would have to restart in the fourth division of Italian football with a new name.

The debts will be calculated by Anedda and Guoiotto and could drop if agreements are made with various creditors.