Kevin Heaney has stepped down as Truro City chairman after being declared bankrupt by Truro Crown Court on Friday.
The property developer had bank rolled the club's rise up the non-league football ladder from the South West Peninsula League to the Conference South.
However despite a record five promotions in six season, Truro City struggled in the Blue Square Bet Conference South last campaign.
They narrowly avoided relegation and manager Lee Hodges had to work for most of the season under a transfer embargo because of financial worries at the club.
The financial woes saw Truro City appear before the High Court three times over an unpaid taxes, with one outstanding bill amounting to a six figure sum.
Weeks before the start of this season the club faced more problems as unpaid players told the club they would be forced to quit if their wages were not paid. It was a problem which only resolved itself days before they kicked off their campaign away at Billericay Town on August 18.
Vice chairman Chris Webb will take over from Heaney, who cited heath reasons for his decision to step down from his role as chairman of Truro City FC.
Webb has been involved with Truro City FC as a player and official for more than 30 years.
It was revealed yesterday, through record from the Land Registry, that Truro City Football Club and ground were purchased by Jojo Investco Ltd.
The purchase price of the club and ground was listed as £2,280,000.
Jojo Investco Ltd was registered as a private company on June 7. The company has one shareholder – Alan Bracher – who has a registered address in central London.