IPSWICH are prepared to drop a formal complaint about Tottenham's conduct in bringing Stewart Houston to the club to reform his double act with George Graham - but only if the Premiership outfit pay a sizeable compensation fee.

Houston, currently the coach at First Division Ipswich, is set to join Spurs over the weekend as Graham's number two.

The move comes as little surprise, given that during their five years together at Arsenal from 1990 Graham and Houston won the title in 1991, a domestic cup double in 1993 and the Cup Winners' Cup in 1994.

But Ipswich chairman David Sheepshanks revealed that Tottenham had contacted Houston a full month before finally making an official approach to the club, which would in effect have constituted an illegal approach.

Given that Spurs chairman Alan Sugar now appears willing to offer compensation, even though a definite fee - which would not be made public - has not yet been agreed, a truce now seems to have been drawn between the two clubs.

Graham had initially hoped to bring his former Leeds assistant David O'Leary with him to White Hart Lane when he left the Yorkshire club in October last year but the Irishman stayed put and was promoted to the manager's role.

Chris Hughton, Graham's number two at White Hart Lane since October, is expected to retain a senior coaching position at the club after Houston's arrival.