Football
ESPN staff 7y

Watford face Football League probe over fake bank letter used for takeover

Watford are facing disciplinary action over a falsified bank letter used to gain Football League approval for Gino Pozzo's takeover of the club from his father, Giampaolo, in the summer of 2014.

The Football League (EFL) has confirmed that it has begun "a disciplinary investigation into serious allegations" about the letter, which was published in an exclusive story by the Daily Telegraph on Tuesday.

An EFL spokesman said: "We can confirm, following receipt of information from The Daily Telegraph, that we immediately commenced a disciplinary investigation into serious allegations made against Watford Football Club.

"The club has been formally contacted by the EFL and is now required to provide a full and detailed response to the allegations. Once that response is received, it will be fully considered by the EFL and appropriate action will be taken under our rules and regulations.

"We will not be making any further comment until we are in receipt of the club's response."

The letter was used to provide proof that Pozzo's company, Hornets Investments Ltd, had £7 million at its disposal to finance the club through the 2014-15 Championship season, when Watford gained promotion to the Premier League. The letter was from HSBC Premier, but Pozzo did not hold his account with HSBC and the Premier division of the bank does not deal with corporate clients.

A statement released by Watford on Tuesday morning read: "Watford Football Club was recently contacted by the EFL in relation to matters concerning a proof of funds document for £7m provided to the EFL by Hornets Investments Ltd in 2014 in order to ratify a change in Hornets Investments Ltd shareholding.

"The club had no prior knowledge of any concerns about the authenticity of the document and Hornets Investments Ltd has invested over £20m into the club since the proof of funds 2014 document.

"The club takes this matter extremely seriously and has instructed independent solicitors to carry out an investigation into relevant matters and provide the EFL with the solicitor's report early next month. The EFL has indicated it is happy with this course of action.

"In light of the ongoing investigation it would be inappropriate to comment further at this time."

The letter was provided by an intermediary to executive chairman Raffaele Riva, who denies any wrongdoing and has insisted that "no other individual at Watford FC was in any way involved in obtaining the letter."

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