Derby County are suing their former chief executive Sam Rush for almost £7m

The claim relates to transfer fees and player wages during his time at the club

The club claim the money paid out was more than was agreed by the board

Rush counterclaims for breach of contract and alleged five percent shareholding

Derby County are suing their former chief executive Sam Rush for almost £7million in the High Court.

Details of the astonishing claim against Rush - who was dismissed last year for gross misconduct - are laid out for the first time in the Championship club's annual financial report, which is due to be published on Wednesday.

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The matter is being investigated by the Football Association, although it is understood club officials have also taken their concerns to the police.

Sam Rush has been accused by Derby of negotiating 10 'sham transactions' during his tenure

Rush has a counter-claim of about £2m for breach of contract and 'an alleged five per cent shareholding', which it is understood the lawyer received for role in Mel Morris' (R) takeover

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THE KEY PLAYERS SAM RUSH Derby's chief executive until May last year, when he was dismissed for gross misconduct. The lawyer joined the club in 2013 after working for football agency Wasserman Media Group. His £500,000-a-year salary at Derby made him the best-paid CEO in the Championship. MEL MORRIS Derby's sole owner since September 2015, having bought into the the club the previous year. Worth £500million, the Derby-born businessman developed the dating website uDate which he sold for £100m. He then helped set up King Digital — who produced the hugely successful mobile game Candy Crush Saga — and pocketed £450m when the company was sold in 2016.

Derby are pursuing Rush in a civil action at the High Court. Rush, meanwhile, has a counter-claim of about £2m for breach of contract and what the report describes as 'an alleged 5 per cent shareholding', which it is understood the lawyer received for his role in Mel Morris's takeover of the club in 2015. Last month Rush actually won a case against the club for unfair dismissal.

The financial report states: 'On 3 May 2017 the President and Chief Executive Officer of the Club was dismissed for gross misconduct and a breach of fiduciary duty. The Club's parent company Sevco 5112 Limited, the CEO's employer, issued proceedings against him in the High Court on 22 December 2017.

'The claim relates to certain contracts entered into by the Club including: '(a) scouting and consultancy agreements which were not authorised by the Board of Directors; (b) transfer fees in respect of players that were above the figure agreed by the Board; (c) wages in excess of what was agreed with and/or notified to the Board; and (d) the payment of excessive fees to agents which were also unauthorised by the Board.

'The claim is for the sum of £6,841,107.60. The Club is also seeking an indemnity from the former CEO in relation to significant contingent liabilities that will crystallise in the future. The former CEO counter-claims against Sevco 5112 Limited for circa £2 million for breach of contract and for an alleged 5% shareholding.'

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Much of the focus is on deals involving Rush’s former employers at Wasserman Media Group

Sportsmail's revelations on January 4 2018

It is understood contracts between Derby and a number of different football agents and agencies are under scrutiny, much of the focus is on deals involving Rush's former employers at the Wasserman Media Group (WMG). Rush was the head of WMG's European operation.

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Between 2015 and 2016, Derby signed five players who were WMG clients: Darren Bent, Jacob Butterfield, Jason Shackell, Bradley Johnson and Nick Blackman. Paul Clement, who was appointed manager in June 2015 only to be sacked in February 2016, was also a WMG client.

When Abdoul Camara signed for Derby from Angers in France in January 2016 he became a WMG player, having previously had a French agent. His contract with the club was terminated by mutual consent in June 2017.

The transfer of Marcus Olsson from Blackburn to Derby in January 2016 is also believed to be under examination. The Swedish international had his own agent but WMG reportedly received a six-figure sum after acting for the club in the deal.

Between 2015-2016, Derby signed five players who were WMG clients, including Darren Bent

There is no suggestion of any wrongdoing by WMG or any other agents and on Tuesday night WMG declined to comment. Derby's claim is only against Rush.

Indeed, their claim could stretch beyond £7m because, as the report states, 'the club is also seeking an 'indemnity' against Rush 'in relation to significant contingent liabilities that will crystallise in the future'. This, it is understood, is a reference to ongoing contracts he negotiated.

As Sportsmail reported last year, rival agencies did complain that WMG had an unfair advantage when it came to dealing with Derby.

Derby academy director Darren Wassall's son Ayrton was working as one of the coaches in the youth set-up as well as being employed by WMG, mainly in a scouting capacity. At the time a WMG spokesman said Ayrton Wassall worked with their agents but was not a licensed intermediary. Darren Wassall remains the club's academy chief but his son is no longer employed by the club.

In Wednesday's report, Derby will also make the incredible admission that they falsified attendance figures while Rush was in charge, saying: ‘The average attendance for Sky Bet Championship games at Pride Park Stadium was 27,885 and not the previously reported figure of 29,085.’

This season attendances have dropped to an average just below 27,000 and in recent months the club have been keen to point out that the drop is not as drastic as might appear.

When Abdoul Camara signed in January 2016 he became a WMG player, having previously had a French agent – his contract with the club was terminated by mutual consent in June 2017

On Tuesday night, Rush issued a statement via his representatives. It said: 'Sam Rush was unfairly dismissed, when he was fired by Derby County, an Employment Tribunal Judge has ruled.

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'Employment Judge Clark concluded after an Employment Tribunal hearing in February that Derby County's argument regarding a fair dismissal had "no reasonable prospects of success".

'The Judge also found that the Club's reasons for refusing to hold a disciplinary meeting with Mr Rush did not hold up'….'the respondent's contention as to why it did not follow its own procedure as it had stated it would, does not have credible force.'

'Mr Clark added: "On the undisputed chronology of this case...I have concluded that the contention that the dismissal was procedurally fair has no reasonable prospects of success. 'Consequently, I strike out the respondent's response insofar as it asserts a liability defence to the claim of unfair dismissal.

Rush introduces then-Derby manager Paul Clement (centre) alongside chairman Mel Morris

'"In relation to the procedure adopted when Mr Rush was dismissed the Judge noted that a request that the claimant be legally represented at the disciplinary meeting was refused.

'"Second, that Mr Rush wrote noting the lack of any details of what he was supposed to have done wrong in Mr Rush's view hindered any sensible preparation amounting to an ambush.

'"Further, that there was no credible explanation for why the Club acted in the way they did."'

'Paul Daniels from Keystone Law representing Mr Rush said: "We are very pleased but not at all surprised that Mr Rush has won his claim for unfair dismissal. We have always made clear that Mr Rush did absolutely nothing wrong at the Club, so to be treated in the way he was, was extremely disappointing to say the least.

'"Mr Rush looks forward to telling the whole story of his treatment by the Club and to the High Court ruling on his claims as soon as possible.

Marcus Olsson's (right) move from Blackburn in January 2016 is also under examination

'"The counter-allegations against Mr Rush are entirely without foundation. We would note that many of the payments alleged to be somehow unauthorised had been subject to very detailed due diligence by Mr Morris' Solicitors when he bought the Club as well as professionally audited by independent auditors, with no concerns being raised at any stage.

'"Secondly, Mr Rush had no power to sign off any payments at the Club, with all payments being signed and authorised by the Finance Director. Needless to say, Mr Rush strongly denies any wrongdoing in any shape or form and is very disappointed and saddened that the Club have chosen to pursue these entirely unfounded allegations after he wrote launching his substantial legal claim for damages for breach of contract, unfair dismissal and regarding his 5% shareholding in the Club.

'"Finally, we have noted the allegations made in the Accounts just published by the Club and our client categorically confirms that there is no substance whatsoever in those allegations."'

A spokesman for Rush added: 'Mr Rush categorically states there has been absolutely no contact from the police or the FA.

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At no stage has there been any suggestion that this is anything other than a civil case and Mr Rush is yet further appalled at the Club's outrageous suggestion in this respect.'

This season's attendances at Pride Park have dropped to an average of just below 27,000