Red City Developments, the company planning a new stadium for rugby league team Salford City Reds, has been put into administration.
The firm's directors include John Whittaker's Peel Holdings as the majority shareholder, with club owner John Wilkinson, private businessman Stephen Kirby, and two other partners also involved.
Manchester-based insolvency firm, Begbies Traynor, was appointed as administrator. It is believed, however, the project will still go ahead as planned.
The £35m scheme, including a 22,000-seat stadium for Salford City Reds, is scheduled to open in 2010 and forms part of a £130m regeneration project.