WREXHAM are expected to announce they will appeal against the Football League's decision to dock the club ten points for going into receivership.

Administrator Steve Williams said the club's legal advisors feel it has grounds to mount an appeal and backers have come forward to meet the £20,000 costs.

Lifelong fan and chairman of the Official Wrexham Supporters' Association Carroll Clark has pledged £10,000, local businessman Eric Roberts has offered £5,000 and a further £5,000 will come from an unidentified source.

A successful appeal would see Wrexham climb comfortably clear of the relegation dogfight they were plunged into by the Football League's 10-point penalty last Friday.

Williams said, "I think there will be an appeal. At the moment we are exploring things with our lawyers and we think we have positive grounds to launch an appeal. We also have indications at this moment of how we can fund it."

Clark said the money was initially raised as a "fighting fund" to help Wrexham pay off a £900,000 Inland Revenue bill.

But the emergence of Surrey-based businessman Andrew Smith as a likely buyer who will settle the club's debt with the Inland Revenue means the money could now be used to fund an appeal instead.

Clark said, "I was approached on Tuesday to see whether I would let the money be used to fund an appeal.

"I thought about it long and hard because I assured the people who contributed it would only go towards the tax bill.

"But I'm quite sure they would have wanted it to help Wrexham. It's a gamble, but I'm being guided by the lawyers and the administrator."

The Football League has given Wrexham until Friday to lodge an appeal so a formal announcement must come today or tomorrow.

The League has previously said a Red Dragons' appeal will only succeed if the club can demonstrate it went into administration as a result of "unforeseeable" or "unavoidable" circumstances.

The administrator will meet with the club's barrister today but was yesterday sounding positive the bid would go ahead.

"At this moment I am fairly positive the appeal will go ahead, we believe we've got reasonable grounds. Counsel could destroy that - but we don't think so."

Williams would not be drawn yesterday on the club's grounds for the appeal, but Wrexham director Dave Bennett has previously suggested the collapse of ITV Digital would be one argument put forward.

Bennett has said the club expected to earn up to £1m from ITV Digital's broadcasting rights over the lower leagues and was plunged into financial chaos by the company's collapse.

Players were signed on lucrative contracts on the assumption that money from the TV rights would help pay their salaries.

Bennett has also suggested the transfer of the freehold over Wrexham's Racecourse home to a business run by Dragons' owner Alex Hamilton contributed to the club's problems. Had the club retained control of the ground the value of its assets would have been greater than its debts, enabling it to avoid administration.