O'Neill rumour dismissed

The possibility of Martin O'Neill being installed as Aston Villa manager while Doug Ellis remains as chairman was last night dismissed as "completely off-the-wall" by a source close to Randy Lerner.

It is understood the US billionaire has revived his interest in buying the club after negotiations with Ellis broke down last week at Villa Park, and the owner of the Cleveland Browns American Football team continues to believe he holds the key to O'Neill's appointment.

O'Neill is understood to be surprised by reports in the local press indicating he is ready to be introduced as the manager. It was suggested the Irishman would be confirmed as David O'Leary's successor yesterday or today. Within Lerner's group there is also a sense of disbelief given the lack of progress over talks. "The idea of O'Neill joining camp with Ellis in charge is completely off the wall," said a source.

Villa responded to yesterday's stories linking O'Neill with the post by insisting no appointment was imminent. "Contrary to rumours circulating there is no announcement planned concerning the appointment of a new manager," said Steve Stride, the operations director. " . . . we will inform fans as and when it is possible. But speculation concerning an announcement is extremely premature."

It is apparent O'Neill has been offered the Villa position, although it is believed he will require unequivocal assurances about any take-over before deciding to commit. O'Neill is not prone to making rash decisions and his circumspection over the uncertainty surrounding the club's ownership is understandable. The picture would become a lot clearer should Lerner's second attempt to gain control be successful. There remains the possibility of a deal being resurrected, although under vastly different terms to before. This time, unlike last Wednesday, there will be no face-to-face meeting.

Instead Lerner would leave any transaction in the hands of the two banks involved.

The American was left bemused by his earlier meeting with Ellis, when he arrived with the intention of making an offer subject to due diligence, and would not countenance the possibility of enduring another frustrating experience. None of the other parties interested, including the consortiums headed by Athole Still, Michael Neville and Nicholas Padfield QC, have dropped out of the running but it has become increasingly clear Lerner offers the surest route to progress and O'Neill's arrival.

Sol Campbell has agreed to tell Portsmouth in the next 48 hours whether he plans to take up their contract offer. The central defender is a free agent after being released by Arsenal and is considering staying in the Premiership after initially stating he wanted a fresh challenge abroad.

Campbell held talks last weekend with Harry Redknapp, who has made the 31-year-old his principal central defensive target, putting on hold a move for Manchester City's Sylvain Distin.

The Portsmouth manager wants another experienced centre-half and is not put off by Campbell's injury problems and shaky form last season. Campbell also has offers from abroad but Newcastle United have dropped their interest in him.

Redknapp remains keen to strengthen other positions. The Internazionale striker Obafemi Martins is another on his list and Portsmouth are considering an offer for the Nigeria international, who is understood to be valued at more than £12 million. Inter are thought to be reluctant to release the 21-year-old, but they could offer Martins on a season's loan if they can sign a front-line player.