HIBS face demands for compensation after claims they reneged on a contract with French defender Youness Bengelloun.
The Easter Road outfit had lined up the former Paris St Germain trainee on a two-year deal, according to the player's representative, Michael Ryan.
However, following the resignation of Mixu Paatelainen earlier this month and the appointment of Jo
hn Hughes as his successor, the capital club have pulled out of their move for the 26-year-old Olympiakos Nicosia player.
Ryan also believed he had an agreement for Blackburn Rovers midfielder Bryan Hodge to return north to Easter Road this summer, but Hughes has also scrapped the move for the 21-year-old.
Ryan said: "When Mixu left and John Hughes came in he just didn't fancy the two players at all. Brian had agreed to go to Hibs, but hadn't signed anything, but Youness had signed his contract and the club has torn it up.
"We are in mediation with them to find a resolution."
Meanwhile, Hibs were last night closing in on an agreement to make out-of-contract midfielder Patrick Cregg Hughes's first signing for the club.
The 23-year-old former Arsenal trainee has been identified by Hughes as a player to bolster the squad he has inherited from Paatelainen and is expected to pen a one-year deal in the coming days following negotiations yesterday.
The full article contains 235 words and appears in The Scotsman newspaper.