EX-READING FC boss Brian McDermott insists he spent his entire transfer budget last summer.
Royals owner Anton Zingarevich, 30, argued McDermott should have signed more players following the team's promotion to the Premier League.
But McDermott, 52, says he spent every penny he had on bolstering the squad.
McDermott, now in charge of Leeds United, told the Chronicle: "I made it clear that we should have spent more money last summer, there is no doubt about that.
"I spent the budget I was given, there was nothing spare. People also say we should have signed more players in January. We signed four, only Newcastle United signed more.
"We also tried to sign Gylfi Sigurdsson and Tom Ince for significant sums of money. Unfortunately, Blackpool weren't going to sell Tom for any price and we couldn't do a deal with Tottenham for Gylfi.
"If Reading couldn't do a deal, there's not much else I can do about that. It was my job to identify the players to sign but if clubs' can't reach a deal there's nothing I can do."
He added: "Anton tried to do these deals so it's a positive for Reading and for Nigel Adkins moving forward.
"Anton was willing to sanction those deals which was a big step in the right direction.
"The money was there but Blackpool wouldn't let Tom go and Spurs were quoting an astronomical figure for Gylfi who is playing regularly for them now.
"There's no doubt in my mind those two players would have made a big difference to the team but it's all in the past. Having said that, all credit to Anton for trying."
McDermott signed a three-year deal with Leeds last week and has won both his opening matches, beating Burnley 1-0 and Sheffield Wednesday 2-1.
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