The "quest for success on the pitch at any cost" cost Truro City its freehold title at the Treyew Road ground, it is claimed.
Mr Masters made the claim in an announcement of a revised date of June 4 for the company voluntary agreement (CVA) which the club is trying to put in place to make a clean break with the past.
Mr Masters said: "During the period up to this date we will be talking again to the creditors who have not agreed to the assignment in a last ditch effort to persuade them to assist a successful outcome."
The ongoing negotiations with creditors will have an effect on next season's wages of players and staff at the club.
Mr Masters said: "To put it bluntly it would be immoral if we were to ask a creditor on one hand to write off 18k and on the other offer new contracts to management and players at last season's unsustainable levels. There is a comparison to be drawn however unpleasant it may be."
Mr Masters wants to assure creditors that the "errors of the previous regime have been corrected".
He said: "This of course is no consolation to all of us that Truro City Football Club has lost the Freehold title of its Football Stadium at Treyew Road in circumstances what again appeared to have been its quest for success on the pitch at any cost."
The club needs to have a CVA in place in order to enter the Southern Premier League following last season's relegation.
Mr Masters, owner of the L2 nightclub, and Phillip Perryman from A2B Taxis, took the club out of administration after it went into financial meltdown when former chairman Kevin Heaney went bankrupt.
The ground was sold for £2.28m in July 2012.
A further review of the CVA will be undertaken before the meeting following the outcome of discussions with the remaining creditors.
