Rangers director Philip Nash resigned from the club’s board yesterday, calling time before billionaire Sports Direct and Newcastle United owner Mike Ashley forced him out.

In a statement to the London Stock Exchange, the Ibrox board thanked Nash for his “significant contribution … during what has been a particularly challenging period.”

Nash quit before an emergency shareholder meeting called by Ashley, who holds a 8.92 per cent stake, that was set to vote on axing Nash and chief executive Graham Wallace.

Nash, a former financial chief at Liverpool and Arsenal, was brought on by Wallace in January in a bid to solve Rangers’ cash crisis.

Wallace had been pushing for a £16 million rescue deal with former oldco director Dave King, but was blocked by Sandy Easdale, the football board chairman and bus privateer who controls 26 per cent of the club’s shares.

King jetted in to Scotland last week but has now headed back to South Africa after failing to agree terms with Easdale.

The Castlemilk-born millionaire, backed by former Blue Knight Paul Murray and wealthy fan George Letham, was looking for a controlling stake in the Scottish Championship side in return for his cash injection.

King has refused to admit

defeat but the Daily Record reported yesterday that Ashley could now step in to provide emergency funding to keep Rangers afloat in the short term — potentially tightening his grip on the club.

“Frankly, it doesn’t seem possible that the board can do anything other than recommend it (King’s offer) to shareholders given the dire financial circumstances and the fact that no other long-term solution is on offer,” he said.

“Mr Ashley’s involvement (and recently announced continued commitment) with Newcastle precludes him from making a similar offer of long-term permanent equity.

“What Mr Ashley can do is attempt to increase his vice-like grip on the Rangers brand.”

King is convinced the board will “not have to accept punitive terms,” and added: “We must remember that the board is ethically and legally bound to act in the best interest of the company and all shareholders.

“Ashley cannot expect preferential treatment and will not get it. I am confident that Graham Wallace has enough integrity and commercial experience to do the right thing.”