There are currently limited options to prevent owners who are not providing adequate funding for their club from doing so, whether that is by the leagues, the regulator, or the government.
Championship club Sheffield Wednesday have been thrown into financial turmoil under owner Dejphon Chansiri.
The Owls are under investigation by the English Football League due to a number of financial issues, including late payments to HM Revenue & Customs, a failure to pay transfer fees to other clubs, and delayed salary payments to staff and players.
Despite several offers to buy the club, Chansiri has refused to sell.
National League side Morecambe came within days of closure in July after being plunged into financial distress under former owner Jason Whittingham.
The club were relegated from League Two last season to exacerbate their already precarious financial position.
Whittingham sacked the club’s board of directors after they announced plans to place the club into administration.
Morecambe were subsequently suspended by the National League until 20 August, although the suspension was lifted following a takeover by the Panjab Warriors.
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