The Government is to look at ways of strengthening English football's powers to regulate foreign ownership of clubs after the game's authorities asked ministers for help in monitoring the recent frenzy of overseas takeovers.
With Manchester City set to become the sixth Premiership club to fall into foreign hands, Premier League officials have requested more support from Government to investigate the backgrounds of prospective owners.
Thaksin Shinawatra, the billionaire leading an £81.6 million takeover of City, is facing a series of damaging allegations about his business dealings in Thailand as well as criticism over his human rights record when he was that country's prime minister. Although the League have a fit and proper person test, it is likely that Thaksin would pass this as he is yet to be convicted of a criminal offence. Even if he were to be found guilty of fraud or tax evasion in Thailand, there are question marks over whether the Premier League would recognise the country's justice system.
Thaksin claims that the allegations, which centre on the sale of his telecoms company Shin Corp and a land deal involving his wife in 2003, are part of a campaign to discredit him by a military government who ousted him in a bloodless coup last September.
With Birmingham, Blackburn and Arsenal also at the centre of takeover speculation involving super-rich foreign businessmen, the League are anxious to strengthen their links with Government departments and agencies with access to information which could help them to explore the backgrounds of new owners.
Ministers have agreed to look into the request and will set up talks with the Premier League, as well as the Football Association and the Football League, to see how they can strengthen those ties.
Sports minister Richard Caborn is expected to announce the talks in response to a parliamentary question on the game's governance in the House of Commons this afternoon.
A Whitehall source said: "The Premier League are not asking for us to pass new laws on foreign ownership. They just want to know how we can help them improve their regulation in this area and to investigate some of these prospective owners' backgrounds."