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All of the club's assets revert to the administrator, whose aim is to exit administration by satisfying creditors.
Budge, 66, is the sole director of BIDCO 1874, the company that has struck a £2.5m deal with administrator BDO to enable the club to exit administration.
"I want to exit administration with a CVA (company voluntary arrangement).
Liquidation is an option in the event that Rangers are unable to exit administration via a Company Voluntary Arrangement.
"Following the rejection of the CVA, LTFC2020 has made our application to the Football League to exit administration without a CVA under their 'exceptional circumstances' procedure.
If approved, the club would exit administration on 12 July.
Whether they do exit administration remains to be seen.
The prospect of a Company Voluntary Agreement to exit administration was the lifeboat.
In order to exit administration, Pompey's creditors will have to accept a Company Voluntary Arrangement (CVA).
"We cannot exit administration until a Company Voluntary Arrangement (CVA) is arranged and completed," he said.
Hearts will not be in a position to exit administration until February at the earliest.
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