A FANS shareholder group has dropped plans to provide the Ibrox club with a £500,000 loan despite a members vote being 96.58 per cent in favour.

A Rangers First circular has revealed that only 2.88 per cent were against the idea and 0.54% abstained.

William McIntyre, a fan for around 50 years, who was appointed as one of the first five directors of the community interest company, left the board over a week ago while a row blew up over the proposals to provide a £500,000 interest free loan to Rangers.

Rangers since stated it is not considering further loans at this time "beyond what has already been committed and announced".

Rangers First, the eighth biggest shareholder group at the club, began polling members over the potential loan with a deadline of Sunday.

A group circular said: "The vote has seen overwhelming support for the principle of the loan. Following the club’s announcement last week regarding our proposal, we will continue to examine ways to assist and support our club and in so doing, pursue the objectives of Rangers First.

Glasgow Times:

"In future, if the members of Rangers First wish to revisit this idea then we will manage this and other major decisions in a different way with greater direct involvement of the members before any vote."

The loan move came after Rangers received loans worth £6.5m in order to pay off a loan from Mike Ashley's Sports Direct retail company.

The new money came from directors and shareholders.

Hong Kong-based fans Barry Scott and Andy Ross, plus Rangers International Football Club director John Bennett, have provided funds for the first time.

Chairman Dave King, via New Oasis Asset Limited, director Douglas Park and shareholders George Letham and George Taylor have previously supplied loans.

Glasgow Times:

The £5 million loan from Sports Direct, owned by Newcastle United owner and Rangers shareholder Ashley, had helped the Glasgow club stay afloat nearly a year ago.

The Rangers First circular went on: "We are disappointed to confirm that we have received the resignation of William McIntyre, a director who was directly elected by members in our inaugural poll. "The Rangers First board would like to put on record our thanks to William for all of his time and effort in helping to move Rangers First forward.

"Like all Rangers supporters we stand Ready to help and support the club as it rebuilds."

Rangers said last week as members voted: "It should... be understood that Rangers First was not approached by the club for funding and, despite what has been incorrectly reported, had no discussion whatsoever with the chairman, Dave King, that their funding, if accepted, would be matched by Mr King."

The fan ownership scheme, which has become one of the largest shareholders in Rangers International Football Club plc in recent months has offered the money on the same terms as loans provided by chairman Dave King and the Three Bears consortium.

If approved, the loan would have been converted to shares at a future date which some say will strengthen Rangers First's hand and give supporters a greater say in the running of their club.

The resolution required 75% approval to be passed.

RF told its members when announcing the loan plan and the vote: "Your board has had much discussion and debate regarding this and believes that this may be one of the best ways for Rangers First to help the club continue to rebuild, develop and expand.

"This is a key issue on which RF asks its members to decide, we are therefore asking members to approve... making a loan of half a million pounds to Rangers International Football Club PLC.