A football club which owed hundreds of thousands of pounds to creditors declared itself debt free today.

Crawley Town claims it has completely paid all money owed to its remaining creditors, including HM Revenue and Customs and Crawley Borough Council.

It is understood that the cash is currently with Begbies Traynor, the administrators called in during the club's tumultuous 2006/2007 season, and has not yet been distributed.

Crawley Borough Council, which is owed rental fees for use of the Broadfield Stadium, confirmed it had not received its cash yet.

However Reds owner Azwar Majeed said it was now "just a matter of formalities" before the cash was distributed.

He said: "I can confirm Begbies Traynor has been sent the money and it is now just a matter of a few formalities of crossing the Ts and dotting the Is before the creditors are paid in full."

It potentially brings to a close one of the most turbulent periods in the club's history and allows it to start next season without financial burden or the handicap of a ten-point penalty imposed by the Conference League for going into administration.

Other creditors, including former staff and players have previously received money owed to them by the club under a deal struck last year.

Under the administration agreement, creditors were paid half of all monies owed.

Fans have largely welcomed the latest development but remain cautious.

John Clement, 34, from Pound Hill, said: "I'll believe it only when I see the money has been paid in full but until then I would give it only a cautious welcome.

"It will allow us to draw a line in the sand and continue playing football. Last season was a complete write off and we only survived relegation by the skin of our teeth.

"We don't want another season like that and hopefully, if the money has been paid, we won't have to suffer another like it."

Crawley Town Football Club has also reiterated that it has not received any formal takeover approaches.

However Azwar Majeed said he would not rule out anything.

He said: "There is no takeover planned and I do not have any plans to sell now or in the immediate future.

"But I will say my door is always open to anyone potentially interested in investing or buying into Crawley Town Football Club."

The club is set to start rebuilding for the forthcoming season in the Conference League under new manager Steve Evans, the man who took Paul Gascoigne to his former club, Boston United.

It is understood he has already identified a number of players he wants to bring to the squad and the club's owners have promised him financial backing.