EPL

No human rights abusers, tax evaders, fraudsters: Premier League sets new rules to vet club owners and directors

By Sports Desk March 30, 2023

The Premier League will be entitled to disqualify club owners and directors for human rights abuses, under new rules revealed on Thursday.

That was one of the outcomes of a shareholders' meeting as the league tightened up restrictions on who should be allowed to own and govern its clubs.

It was announced there would be increased clarity and transparency regarding due diligence carried out in the case of takeovers, as well as annual checks to determine directors remained compliant.

The owners' and directors' test (OADT) has faced plenty of scrutiny, mainly but not exclusively relating to the influx of money pouring into the league from overseas, with huge investments in Premier League clubs coming largely from the United States and the Middle East.

This update coincides with Manchester United, the Premier League's most successful club, being targeted for a possible takeover by wealthy prospective buyers from various quarters of the globe.

The league said it had carried out a thorough review and stated clubs agreed the changes should take effect immediately, with all decisions to be reviewed by an independent panel.

It said the threshold to determine who held control of a club would be lowered from a 30 per cent to 25 per cent stake, while chief executives would be among those coming "within the scope of the OADT".

Along with human rights abuses, which the league said would be based on the UK government's Global Human Rights Sanctions Regulations 2020, it was decided that a situation where a person or company is subject to government sanctions would qualify as a disqualifying event.

The Premier League disqualified Roman Abramovich as owner of Chelsea in March of last year, soon after government sanctions were imposed on the oligarch following Russia's invasion of Ukraine. It led to the club being sold to a consortium led by American Todd Boehly.

Anyone convicted of violence, corruption, fraud, tax evasion and hate crimes also faces the prospect of disqualification under the new guidance, and anyone under investigation for a potentially disqualifying event would also risk being prevented from becoming a club director.

Amid a number of further disqualifying circumstances, it was also decided the Premier League should clearly disclose who has been disqualified, as well as compiling an annual 'report of compliance'.

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