Interim manager Bryan Jackson was forced to make the decisions on his first-team squad while three under-20 players have also been affected by the club's financial state
Captain Jordan McMillan is the headline departure from the club after revealing the news on Twitter.
He said: "The news is true i have been made redundant with immediate affect but loved my time at club as captain hope boys do well rest of season."
Other first-team players believed to have been left without a club include the likes of Andy Dowie, Paul Gallacher, Andy Kirk and Stephen Jordan.
Interim manager Bryan Jackson, who was appointed by a court on Wednesday, held talks with the players at East End Park on Thursday afternoon and revealed such decisions had to be made to ensure a future for the club.
He told the club website: "Making players redundant is never easy but, unfortunately, it needs to be done immediately.
"The finances of the club and the limited cash flow mean that there is insufficient funds to keep the team going with the current player numbers.
"I have still to negotiate with a few players and we will have to review the financial position in the coming weeks.
"We need the fans and wider community to support this club to ensure that it makes it to the end of the season. We will be honouring season tickets and pre-paid hospitality but would encourage fans to show their support where they can."