Hull settle legal dispute with former chairman

Hull have settled their legal dispute with former chairman Paul Duffen out of court, the club announced this morning.

City began proceedings against Duffen last month after accusing him of spending company money for private use during his time in charge.

Hull also alleged Duffen's company received payments from agents in return for allowing those same agents to negotiate transfers on the club's behalf.

A statement read: "Further to a statement made on 22 January 2010 regarding legal action commenced by Hull City against its former chief executive officer, we are pleased to confirm that we have agreed settlement on terms satisfactory to the club.

"This agreement brings to an end all disputes between the parties."

It was also claimed Duffen was frequently absent from his place of work at the KC Stadium.

Duffen resigned from his position as executive chairman last October, soon after the publication of an alarming set of financial results.

He was succeeded by his predecessor Adam Pearson, who later voiced his concern at the way the club's finances were run under Duffen.

Duffen fronted a consortium that took over Hull in 2007 and oversaw their promotion to the Barclays Premier League a year later.

However, a club that was largely debt free at the time of promotion was recently said by Pearson to be £9million in the red.

He added that the Tigers were overspending by around £6million on wages and fringe players Nathan Doyle, Bryan Hughes and Tony Warner were offloaded while Peter Halmosi and Daniel Cousin left on loan.

When beginning their action, Hull initially applied successfully to have Duffen's assets frozen.

The order was later lifted and Duffen agreed to hand over computer files to investigators.

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