The "prominent Chinese businesspeople behind a proposed takeover" of League Championship side Reading were previously subject to a Premier League investigation that raised "red flags" over their commercial background, according to Ahmed & Bland of the FINANCIAL TIMES. Earlier this month, the English Football League "provisionally cleared" the acquisition of Reading by Dai Yongge and his sister, Hawken Xiu Li. The Dai family was "also behind a recent bid for Premier League club Hull City." At the time, Dai was quoted in the London Daily Mail saying, "We have a love for the game and we want to learn about European football." Before the takeover of any club in England's top tier, the Premier League "undertakes an extensive review into a proposed owner's finances before approving any transaction." According to sources briefed on the deliberations over Hull City, Premier League investigators found a series of "red flags" related to the Dai family's proposed takeover via a consortium. In particular, there were concerns that the acquisition "involved offshore companies that made it difficult for the Premier League to understand the family's sources of funding, or whether they had sufficient income to maintain a large football club." The family satisfied the EFL that it is "structuring its Reading deal in a different manner to the Hull City proposal" (FT, 4/20).
