On the 4th of June, 2020 IEC has sold the largest portion of Wigan Athletic shareholdings to Hong the Hong Kong-based Next Leader Fund; the sale was officially ratified and approved by shareholders of IEC and IEC, the Hong Kong Stock Exchange and the EFL. On July 1, 2020 the club, which was fourteenth place in the Championship and eight points clear of the drop, during a time of delay due to the COVID-19 virus announced that it was going into administration because the Next Leader Fund had refused to make investments in the promised funds. Paul Stanley, Gerald Krasner and Dean Watson from Begbies Traynor were appointed co-administrators. The insolvency resulted in Wigan with a 12 point deduction and the penalty would be applied at the conclusion of the 2019-20 season , if Wigan's performance was not in the top three in 46 games. On July 2, 2020, administrators declared that they would look into how the club ended in administration just one month after the change of owners. A private discussion about Wigan's circumstances involving EFL Chairman Rick Parry was secretly filmed in the midst of speculation about placing bets on Wigan being dropped which was said to be the most scandalous sporting incident in modern times. Wigan Member of Parliament Lisa Nandy and Greater Manchester Mayor Andy Burnham wrote a joint letter to Parry asking for inquiry into the takeover of the club. Players were not compensated and there was speculation of staff members being laid off and players being sold according to them. Wigan's supporters' group has also demanded an investigation as well as financial assistance from the EFL and supporters, with the support of Nandy then launched an online petition to start a debate in parliament regarding the owners' test and directors' tests.
On July 4, Wigan, previously unbeaten in nine matches, fell 3-1 at Brentford. The next day 7 July percent of the staff who were not playing were dismissed by administrators. Then, Wigan Warriors expressed interest in purchasing the club (a move that was later supported from the Wigan city council). On the 10th of July the midfielder Jensen Weir was set to be transferred to Brighton & Hove Albion for PS500,000 and add-ons to help Wigan with its financial difficulties; England Under-16 international midfielder Alfie Devine later went to Tottenham. Bids had to be submitted by 21 July. On Tuesday, July 22 (the day of Wigan's last match during the regular season), Krasner said administrators had received five bids and had identified a preferred bidder. They wanted to complete the sale before July 31. On the 24th of July, discussions about the preferred bidder fell apart and administrators started discussions with other parties that continued until early August.
In the meantime, on July 7, 2020, the club made an appeal against the 12-point deduction that was imposed by the EFL to enter administration. On July 14, Wigan recorded their biggest League win, defeating Hull City 8-0. In addition, other results, meant that Wigan could not make it to the relegation zone, and the 12-point deduction was taken into effect at the end in the present season. The appeal of Wigan against the deduction in points, which was heard on the 31st of July was expected to cost somewhere between PS400,000-PS500,000. Wigan played 1-1 with Fulham during their last match of the season. 12 points deduction put Wigan to the bottom of the table which means that the club will be at the bottom of League One if its appeal was unsuccessful. On August 4 the club's relegation was confirmed. Then, following the resignation of the manager Paul Cook, Leam Richardson was appointed interim manager.
On the 17th of August, 2020 it was reported the fact that Au Yeung Wai Kay, the owner of the club, had on June 23, inquired Begbies Traynor to put the club in administration prior to his acquisition. Begbies Traynor denied the report that was compiled through an unofficial commission insisting that administration was just one of various scenarios being that were discussed. The commission claimed Kay was "not willing to talk" to Wigan officials regarding his meeting with Begbies Traynor who then offered "either fraudulent or false" assurances of the future funding. The administrator is still trying for a purchaser If no agreement could be reached before the 31st of August, Begbies Traynor said it will be necessary to determine whether the club could be financially supported through the 2020-21 season that is scheduled to begin on the 12th of September 2020. The 20th of August Kay was believed to be waiving the PS36m debt that was owed to the club by attempt to speed up the sale. Wigan supporters started a fund-raising initiative that initially raised PS500,000 to secure Wigan's future, after that, they raised PS200,000 more. Administrators were confident that they could have a deal before the deadline, however, they afterward, they revised their view.
On September 9, 2020, with the club's status scheduled to be discussed during the EFL session, club's administrators were "quietly hopeful" regarding Wigan being permitted to begin the EFL season, even though they were not owned by a club. They chose John Sheridan as the club's new manager, who took charge when Wigan were beaten in their first League game in the season, 2-0, against Ipswich Town. On the 21st of September, administrators informed that the bids needed to be at least PS3 million in order to ensure the sale, since Wigan had an "considerable obligation" in relation to HM Revenue and Customs, due to player wages, as well as having to cover the cost of August's unsuccessful appeal of the deduction of points.
On September 30 the club's administrators reported that they had signed an arrangement with an unknown buyer from Spain to buy the club and they were working on the paperwork needed to get EFL approval. In the beginning of November the the former Wigan Manager Roberto Martinez was reported to assist in an Spanish bid. On November 13, after three victories in 15 Wigan games Manager Sheridan was dismissed to take over Swindon Town's position as manager. On November 20, additional time was given to the potential new owners to finish their purchase. In early December, when Wigan at the bottom in League One, it emerged that an owner from the Spanish consortium was in disqualification condition. Wigan's administrators needed to make another application with the EFL on behalf of Felipe Moreno, owner of Spanish LaLiga 2 team Leganes. On January 5, 2021 the Moreno take-over bid failed The administrators started talking to other bidders. The first meeting took place on January 15, 11 parties reportedly interested in purchasing the club. In early March 2021, administrators were already engaged in discussions with a consortium called Phoenix 2021 Ltd, led by an Bahrain businessman named Talal Mubarak Al-Hammad. the takeover was approved on March 15 subject to EFL approval and the completion of documents. The proposed deal would see Al-Hammad will become chairman as well Mal Brannigan (previously involved with Dundalk and Dundee United) would be the chief executive. EFL acceptance of the deal was approved on March 30th, 2021. Then, in May of this year, the previous administrators paid back PS171,000 of the money that supporters had raised to ensure the club's continued existence before it entered administration. The club concluded the season of 2020-21 in 20th position, which is one point higher than the relegation positions.
Wigan Athletic won League One in 2021-22 and was promoted into the Championship.