Swansea chairman Huw Jenkins recently resigned after 17 years in the role

Club is seeking stability after a turbulent end to the January transfer window

Behind the scenes a row continues over 2016 takeover that saw shares sold to Americans Jason Levein and Steve Kaplan

Swansea's Supporters Trust claim they were excluded from negotiations

An ugly legal dispute is threatening to engulf the ownership of Swansea City, sending the club into further off-field chaos.

The Championship club is seeking stability after a turbulent end to the January transfer window that saw chairman Huw Jenkins resign after 17 years in the role.

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Yet behind the scenes, a row continues to rumble over the initial takeover of 2016 that saw shares sold to Americans Jason Levein and Steve Kaplan who took a controlling 68 per cent. The Supporters Trust claim they were excluded from negotiations, in contravention of a what they claim is a shareholders agreement.

An ugly legal dispute is threatening to engulf the ownership of Championship club Swansea

The Trust have made public protestations that they wanted all parties to attend mediation in order to avoid going to court over the dispute and a date was set for this month, however, Sportsmail now understands that the Trust have for the second time, unilaterally at the last minute, withdrawn from the mediation.

A statement issued by lawyers acting on behalf of club shareholders said: 'We act on behalf of the Swansea City shareholders who sold the majority of their shares in the Club in 2016; notwithstanding four of those still have a significant interest in the club.

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'We are surprised and extremely disappointed to have received notification from the Swansea Supporters Trust's lawyers today that neither they nor the Trust wish to attend the mediation which had previously been proposed to take place later this month.

'Dates for the mediation had been agreed with the Trust and we had full authority from all of our clients to attend the mediation and resolve the dispute that exists between the parties.

Swansea chairman Huw Jenkins (pictured) recently resigned after 17 years in the role

'The Trust's representatives have now however notified us that they will not be attending the mediation despite this being very much at odds with what the Trust have conveyed to the public in recent statements about their willingness to mediate. This may have significant costs consequences for the Trust in any future litigation especially as the Trust has previously failed to mediate in December 2018.

'The selling shareholders are strong in their belief that they are in no way liable to the Trust for the circumstances surrounding the sale of their shares but continue to be saddened that the issues between them and the Trust remain unresolved and the club tragically continues to be damaged in the process.'

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The Supporters Trust said they had sought mediation in relation to the 2016 takeover - from which they have always said they were excluded until the deal was at an advanced stage in contravention of a shareholders' agreement - as well as a proposed sale of some of their shares to the Americans, which was shelved in January of this year.

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Legal action over the takeover remains a possibility, but mediation was seen as an attempt to resolve the dispute without the need for formal court proceedings and help the club move forward from a period of division and anger.