United reject Lazio's Stam claims

The cash-strapped club's general director Massimo Cragnotti had insisted they had paid up their debt after buying the Dutch internatioanal in a shock move 16 months ago.

United started legal proceedings in November, claiming they were still owed £12m from the transfer despite extensive talks with the Italian club.

Lazio have also found themselves in trouble with Spanish club Gaizka Mendieta over money unpaid from his transfer to the Stadio Olimpico, but Cragnotti insists the club had settled both debts.

"I repeat that Lazio is healthy and has respected all the agreements it had with other clubs such as Manchester United and Valencia," Cragnotti told the club's official website.

United spokesman Paddy Harverson has dismissed Cragnotti's claims and insists that both clubs are involved in talks over the issue.

"Talks with Lazio are progressing and we remain hopeful of reaching a satisfactory outcome," said Harverson. "But as of today nothing has been finalised."