Exeter City Supporters' Trust has admitted that it is disappointed with the recent turn of events that has seen the club have to take out a £100,000 loan from the Professional Footballers' Association.
The supporters trust, who are the majority shareholder of the club and have a representative that sits on the club board, have come in for heavy criticism this week following the news of the loan.
Fans have vented their anger saying the supporters trust have trust have not been monitoring the club well or reporting back to its members sufficiently.
However, in a statement issued on its website on Friday the supporters trust revealed the decision to take the loan was made at one of the club's regular cash flow meetings held on May 29 when their representative was unable to attend as he was out of the country.
The trust also revealed that it has already communicated to the club problems they have had in receiving financial reports and as a result the the two boards had already started a process of reviewing the way they work together.
The supporters trust statement, read: "The supporters' trust board met on Thursday to discuss the short-term loan that the club has taken out.
"The Trust Board is disappointed with the recent turn of events. The background is that the decision to take the loan was made at one of the club's regular cash flow meetings held on May 29.
"Unfortunately, the Trust Board representative who would ordinarily attend this meeting was out of the country. The Trust representatives on the club board learnt of the loan at the club board meeting on June 2. This was immediately reported to the trust board.
"It should be said that the trust board were aware that the club was investigating the possibility of a short-term loan over the summer, but had anticipated this would be by way of an advancement of monies due from the Football League.
"However, the manner and type of loan has raised issues relating to trust and club governance and the financial position of the club. As a result of this the trust Board will meet with the club and resolve these issues.
"The trust board have already communicated to the club problems they have had in receiving financial reports. "To address this kind of issue, the two boards had already started a process of reviewing the way they work together. These events underline the importance of taking these to a satisfactory conclusion.
"In regard to trust finances, the Trust currently has a balance of £15,000. There are short term loans to the Club of £60,000. These are recent examples of the way in which the Trust has supported the Club over the last 10 years, which amounts to £1,750,000 to date. This is on top of the huge number of hours provided by volunteers, which has saved the Club considerable money. The Trust remains committed to this ownership model."
