A £250,000 shirt sponsorship deal between a Burnley-based internet company and Dundee United has collapsed with the two sides threatening a court battle.

Jini Global -- set up by Burnley businessman Bob McCallum -- claims that the Scottish Premier League club failed to match promises to sell replica shirts containing the company's website address.

Dundee United denied the accusations and said it had referred the dispute to the club's solicitors. It is already canvassing fans on whether the club should play without the company logo on its shirts or seek another sponsor.

Mr McCallum said he was unhappy with comments made about him and his business in the press in Scotland.

In a statement from operations director Melanie Baldwin, the company said: "Due to recent media coverage surrounding our sponsorship of Dundee Football Club and speculation concerning our current trading position, the Directors and Associates of Jini Global plc are deliberating our next course of action.

"We feel that this has been approached as a direct attack on our CEO -- Mr Bob McCallum, in an attempt to undermine his personal and professional integrity.

"As a Private Limited Company it is our duty to not only reflect upon the possible damaging effects any such allegations have on the company, but also to safeguard the interests of our clients, employees, associates and affiliates."

The wrangle ends Dundee's hopes of securing a possible £1m investment in the club by Dundee-born Jini Global boss Bob McCallum.

Mr McCallum has confirmed that money was being paid to the club in instalments.

"We have told them they are not getting another bean. We were due to pay them more money this month, but they will not be getting it. If they want to sue us for it, we will meet them in court."

McCallum insisted that this was because of delays in selling the new shirts.

But a Dundee spokesman said: "The matter of Mr McCallum's sponsorship agreement and his outstanding debt to Dundee Football Club have been referred to our solicitors.

"Mr McCallum was advised in October that there was a short, but well-publicised, delay in the supply of our replica strips due to manufacturing circumstances entirely beyond the club's control.

"This was rectified very shortly afterwards and the strips have been selling very well ever since."

Mr McCallum, a one-time carpet fitter, hit the headlines in 2000 when his previous internet venture -- Commercial Networks -- announced plans for a £5million floatation on the Stock Exchange.

The Nelson-based company subsequently went out of business and Mr McCallum launched his second internet empire with just £2,000 in 2001. Jini Global offers a range of services, including web site design, marketing, domain name registration and hosting.

The company, based at Plumbe Street, Burnley, lists companies such as the Co-op, Royal Mint, Kodak, Hoover and Nissan among its clients.