Source: Daily_Mail
Premier League could demand proof of funds to avoid repeat of Portsmouth's four-owner farce
The Premier League would demand proof of funds from prospective clubowners under a plan being considered to avoid the sort of crisis thathas engulfed Portsmouth. [LNB] The 'means and abilities' test was discussed at yesterday's meetingof club chairmen and will be voted on at the summer AGM in June. [LNB] The test would try to ensure that owners have enough money tosustain a club in the top flight and avoid such situations asPortsmouth's where they have become the first Premier League club to gointo administration. [LNB] Consolation: Portsmouth may have reached the FA Cup final but are already relegated from the Premier League after a disastrous season on and off the pitch[LNB]Prospective owners would also be required tomeet the Premier League in person before the takeover was ratified.Portsmouth previous owner Ali Al-Faraj ignored all invitations to meetthe Premier League and never even visited Fratton Park. [LNB]The new ruleswould toughen up the existing 'fit and proper person' test for ownersand directors. [LNB]Under new rules brought in this season clubs arealready required to provide financial information for the year aheadand proof that they are not in debt to HM Revenue and Customs or to'football creditors'. [LNB] [LNB]Tough job: Pompey manager Avram Grant[LNB]Meanwhile, the Premier League insist changingthe parachute payments for relegated clubs from two to four years wouldonly be done with the agreement of the Football League. [LNB] The parachutepayments would total £48million over four years if new Premier Leagueproposals are agreed. [LNB] The new system would come into effect from theend of the next season but the Premier League have insisted no finaldecision was taken at yesterday's chairmen's meeting. [LNB]The league saidin a statement: 'This issue was not discussed in any detail or votedon. Any decision regarding the future structure of parachutepayments cannot be taken by the Premier League alone and must be agreedwith the Football League. [LNB]'The Premier League is currently inpositive discussions with the Football League on a number of issues;however an announcement will only be made once these have reached asatisfactory conclusion.'[LNB]Under the plan, those clubs relegated tothe Championship this season will receive £16m a year for twoyears, while under the new proposals relegated clubs would get £16m for each of the first two years and then £8m for eachof the next two years. [LNB] Hard-up Pompey can net £3.2m from FA Cup but still lose out on EuropePremier League confirms legal bid against Ofcom's Sky TV price rulingPremier League parachute payments set to be extended to four years[LNB] [LNB]
