Rangers Football Club have not been threatened with administration by Lloyds Banking Group, a source at the bank has insisted to BBC Scotland.
Team manager Walter Smith said at the weekend that the bank was effectively running the Scottish champions while they seek a new owner.
But the source said that the bank does not see itself as owning or operating the Scottish Premier League outfit.
Its role was to "provide the finance for the board to operate the club".
Responding to reports that Rangers' board had been threatened with administration unless it followed bank instructions to drastically cut costs, the source said that this was "nowhere close" to what had happened.
The source also denied that the bank had forced the Glasgow club, who are about £25m in debt, to sell players.
"We remain very supportive of the club and the club going forward," said the bank insider.
But it is clear that Rangers are under pressure to operate under "a sustainable business plan".
While there have been tentative enquiries regarding the sale of the club, there are none that have realised an offer
Rangers Football Club
It was suggested that this means "not committing finance in anticipation of future income but waiting until income is secured".
The players' wage bill is also understood to have been under discussion.
"Football clubs, like other businesses, have been experiencing difficulties given the economic environment," said the source.
"As with all business customers, it needs to have a sustainable business plan - and football hasn't behaved as others do."
On the question of selling the club, Lloyds says that this is a decision for the board and that the bank will only play only the normal role for a creditor in any such sale.
Lloyds does not hold any equity in Rangers and it is understood that the share ownership has not changed since Sir David Murray stepped down from the chairmanship in August.
In a statement issued 24 hours after Smith made public his concerns about Rangers' problems, the club attempted to clarify the position regarding a possible sale and insisted that they would not have to sell any players in the January transfer window.
"For the avoidance of doubt, and due to recent media speculation, the club can confirm that, while there have been tentative enquiries regarding the sale of the club, there are none that have realised an offer," Rangers said.
"As stated by Sir David Murray, it's not necessarily about price, but the new owner having the capability to take Rangers forward that remains essential."
The club highlighted a statement by Lloyds, which "recognises the importance of Rangers Football Club to its supporters, shareholders and the wider football industry in Scotland.
"The bank continues to be very supportive of both the club and the board as they manage the business through the more difficult economic conditions currently prevailing."
Smith told BBC Scotland on Saturday that Rangers were facing difficult times after Murray stepped down as chairman.
"Now the bank have taken over the running of the club, they'll have their own ideas and obviously investment isn't one of them," Smith said.
"I just think there's a stagnation about our club at the present moment."
Smith's contract, and that of assistant boss Ally McCoist, expire in January, midway through the current season.
However, with the current financial uncertainty, it is unclear whether new chairman Alastair Johnston will offer them new deals before the turn of the year.
Rangers drew 1-1 with Hibernian at Ibrox on Saturday and lost heavily to Unirea Urziceni in the Champions League in midweek.
And Smith admitted that he was unable to bolster his squad.
"Rangers' situation is quite simple and we've been fairly honest about it for about a year now," he said.
"All the players have been up for transfer. If anybody is telling me that's a motivational factor for any player then they're living in another world from me.
"Our boys have handled the situation well and did extremely well last season to win the league and the cup.
"There are things that are outwith everyone's control. David Murray has been fantastic for Rangers over his 20 years. He's had to step away and now the bank have taken over the running of the club.
"So, therefore, we sit and wait for an owner. The club's been up for sale for a period of time and I don't think all those things going on have helped.
"I just think there's a stagnation about our club at the present moment. If you don't buy a player for 18 months you get that."
Team manager Walter Smith said at the weekend that the bank was effectively running the Scottish champions while they seek a new owner.
But the source said that the bank does not see itself as owning or operating the Scottish Premier League outfit.
Its role was to "provide the finance for the board to operate the club".
Responding to reports that Rangers' board had been threatened with administration unless it followed bank instructions to drastically cut costs, the source said that this was "nowhere close" to what had happened.
The source also denied that the bank had forced the Glasgow club, who are about £25m in debt, to sell players.
"We remain very supportive of the club and the club going forward," said the bank insider.
But it is clear that Rangers are under pressure to operate under "a sustainable business plan".
While there have been tentative enquiries regarding the sale of the club, there are none that have realised an offer
Rangers Football Club
It was suggested that this means "not committing finance in anticipation of future income but waiting until income is secured".
The players' wage bill is also understood to have been under discussion.
"Football clubs, like other businesses, have been experiencing difficulties given the economic environment," said the source.
"As with all business customers, it needs to have a sustainable business plan - and football hasn't behaved as others do."
On the question of selling the club, Lloyds says that this is a decision for the board and that the bank will only play only the normal role for a creditor in any such sale.
Lloyds does not hold any equity in Rangers and it is understood that the share ownership has not changed since Sir David Murray stepped down from the chairmanship in August.
In a statement issued 24 hours after Smith made public his concerns about Rangers' problems, the club attempted to clarify the position regarding a possible sale and insisted that they would not have to sell any players in the January transfer window.
"For the avoidance of doubt, and due to recent media speculation, the club can confirm that, while there have been tentative enquiries regarding the sale of the club, there are none that have realised an offer," Rangers said.
"As stated by Sir David Murray, it's not necessarily about price, but the new owner having the capability to take Rangers forward that remains essential."
The club highlighted a statement by Lloyds, which "recognises the importance of Rangers Football Club to its supporters, shareholders and the wider football industry in Scotland.
"The bank continues to be very supportive of both the club and the board as they manage the business through the more difficult economic conditions currently prevailing."
Smith told BBC Scotland on Saturday that Rangers were facing difficult times after Murray stepped down as chairman.
"Now the bank have taken over the running of the club, they'll have their own ideas and obviously investment isn't one of them," Smith said.
"I just think there's a stagnation about our club at the present moment."
Smith's contract, and that of assistant boss Ally McCoist, expire in January, midway through the current season.
However, with the current financial uncertainty, it is unclear whether new chairman Alastair Johnston will offer them new deals before the turn of the year.
Rangers drew 1-1 with Hibernian at Ibrox on Saturday and lost heavily to Unirea Urziceni in the Champions League in midweek.
And Smith admitted that he was unable to bolster his squad.
"Rangers' situation is quite simple and we've been fairly honest about it for about a year now," he said.
"All the players have been up for transfer. If anybody is telling me that's a motivational factor for any player then they're living in another world from me.
"Our boys have handled the situation well and did extremely well last season to win the league and the cup.
"There are things that are outwith everyone's control. David Murray has been fantastic for Rangers over his 20 years. He's had to step away and now the bank have taken over the running of the club.
"So, therefore, we sit and wait for an owner. The club's been up for sale for a period of time and I don't think all those things going on have helped.
"I just think there's a stagnation about our club at the present moment. If you don't buy a player for 18 months you get that."
Comment