The 128-year-old Fife club are hoping to enter voluntary administration in order to stave off liquidation for the time being in the face of a significant tax bill
The Pars were faced with the threat of liquidation if a debt of £134,000 was not paid to HM Revenue and Customs by 5pm on Tuesday afternoon.
The move is intended to give the club respite from that threat and ensure they will be able to see out the season, so long as there are funds available for running costs.
There will be a court hearing to discuss whether or not the company is able to fund those running costs, with administration only allowed if the money is available.
Masterton revealed that a group of Dunfermline fans have agreed to provide the necessary funds. Should the application be successful the administrator will be PKF’s Bryan Jackson.
Administration offers the company and club protection from creditors, thereby temporarily stalling the immediate threat of liquidation and giving them time to prepare a Creditors Voluntary Agreement proposal.
For the company and club to successfully exit administration there would need to be an agreement with creditors for 75% of their total debt.
The Pars will likely face a points deduction of the application is successful, the size of which will be decided by the Scottish Football League.