Customs officials raided Newcastle United because they feared evidence of 'systematic abuse of the tax system' in which 'secret' payments were made to players and agents could be destroyed had managing director Lee Charnley been forewarned, a court has heard.
HM Revenue and Customs officers executed warrants to search and seize documents from St James' Park, the club's training ground and Charnley's home in April of this year. Charnely was arrested and later released.
Newcastle failed on Wednesday in their bid to challenge the legality of the warrants and a hearing at Leeds Crown Court was told how HMRC believed the club were knowingly involved in a 'criminal conspiracy' of tax fraud.