Sleeping football giant, Leeds United Football Club, may be at the centre of a storm, after it was revealed that no-one seems to know the identities of the people who actually own the club. A similar affliction recently affected Notts County Football Club. Leeds are currently in the Championship, although they sank as low as League 1, having previously been a UEFA Champions League semi-finalist in 2001. They imploded after running into financial difficulties.
During the recent Government inquiry regarding the governance of football, the Chief Executive of the club, Shaun Harvey told the club that neither he nor chairman Ken Bates knew who the beneficiaries of FSF, the trust that owns the club, were. FSF is a holding company, registered in the West Indies, obviously for tax reasons, and FSF is, in itself, owned by three separate trusts.
Shaun Harvey did not believe that the ownership of the club was an issue, adding that this type of set-up was common in a lot of industries and not just football. There was no indication that the trust was prepared to walk away from the club, however, the recent events at Notts County should provide a warning note. During the inquiry, Member of Parliament Damien Collins expressed a different view, that lack of transparency with the ownership was a legitimate concern.
The ownership of English football clubs, in particular, has come under the spotlight, after the increasing number of high-profile takeovers of top and even not-so-top clubs by foreign owners. UEFA is also currently trying to clamp down on clubs that spend beyond their means, as the footballing body feels that this gives clubs an unfair advantage.