Sheffield United could face a significant 12-point deduction in the Championship as a dispute over payment escalates between the club's former owners, United World, and its current American ownership. United World, the investment arm of former owner Prince Abdullah Bin Mosaad Bin Abdulaziz Al Saud, claims that current owners Helmy Eltoukhy and Steven Rosen owe them more than £35 million.
A hearing is scheduled in the High Court this week concerning United World's attempt to wind up the company Eltoukhy and Rosen used to purchase the club. United World alleges that in June, the new owners transferred shares to a different company, an action they describe as an attempt to avoid paying creditors, leaving the original company with no assets to cover the debt.
If the winding-up petition is granted, United World stated that EFL Regulation 2.1.16 would require Rosen to be disqualified as a controlling owner and director of Sheffield United Football Club. He would consequently lose his position as chairman and director, be unable to exercise control over the club, and would need to sell a substantial portion of his controlling interest.
Furthermore, United World anticipates that following investigations, the English Football League (EFL) may impose a 12-point deduction under EFL Regulation 12.3. This action, they claim, would be taken to "protect the integrity and continuity of the League Competition" and "the reputation of The League."
Sources close to Eltoukhy and Rosen have strongly refuted these claims, labeling them a "publicity stunt" intended to harm the club and its supporters. They contend that the 2024 deal was well-advised and that Sheffield United is financially healthy, contrasting it with the club's financial state under Prince Abdullah's previous ownership, which they note also incurred a points deduction for missed payments to football creditors.
Insiders also stated that Eltoukhy and Rosen had invited Prince Abdullah to reinvest and assist with the club's promotion efforts, emphasizing their focus on the club's long-term sustainability and the upcoming season. The legal proceedings are set to continue with the High Court hearing on Wednesday in London.