GLASGOW, Scotland (AP) – Rangers will begin next season in the fourth tier, Scotland's lowest professional league, after the move was approved by the country's football authorities on Friday.
The Scottish Football League announced that agreement had been reached following weeks of discussions to allow a reformed Rangers conditional membership of the Scottish Football Association.
Rangers, Scottish champion a record 54 times but put in bankruptcy protection because of tax debts exceeding $30 million, is now set to visit grounds with seats for just a few hundred fans next season.
A statement on behalf of the Scottish Football League, Scottish Football Association and the Scottish Premier League said: ''We are pleased to confirm that agreement has been reached on all outstanding points relating to the transfer of the Scottish FA membership between Rangers FC (in administration), and Sevco Scotland Ltd, who will be the new owners of The Rangers Football Club.''
The statement also said that Sevco, which bought Rangers' assets for >5.5 million ($8.7 million) last month, had agreed to accept a 12-month transfer embargo beginning on Sept. 1.
The repercussions of Rangers' financial meltdown have seen the club banned from European football for three years, and the loss of many of its best players.