When Chelsea published their accounts for 2008-09 earlier this year, the club announced that its owner, the Russian oligarch Roman Abramovich, had written off his mammoth £726m loan to the club, and converted it into shares.

But is not quite as clear-cut as that. Abramovich channelled his loans to the club, since taking it over in 2003 and wanting to spend its way to trophies, via a holding company, Chelsea Limited. He loaned money to Chelsea Limited, who then loaned it on to Chelsea FC plc, which runs the club.

It is true that the loans from the holding company to Chelsea FC plc were fully converted to shares last year. However Abramovich's loan to Chelsea Limited, the holding company which owns Chelsea FC plc, was not. That loan remains owing; in fact it increased from £701m, because Abramovich loaned another £25m in a year when Chelsea's extravagant spending, and the dismissal of Luiz Felipe Scolari and his coaching team, produced losses of £47m.

The accounts of Chelsea Limited (whose name was changed during the year to Fordstam Limited), show that loan still outstanding: £726m, owed to Abramovich.

A spokesman for the club confirmed that yesterday: "Recapitalisation of loans happened at the level of Chelsea FC plc, not the holding company (Fordstam), therefore making the football club debt free."

That is true. But Fordstam owns the football club company, and owes Abramovich £726m. The loan is interest free, but it is repayable if Abramovich gives 18 months' notice. The Russian could still demand the money back some day, either if the club is making a profit, or if he were to sell it. He has not, in fact, written off the huge loans he has made on his Chelsea adventure.