In its bid to ensure that clubs are run properly and to protect against conflicts of interest, the most important league has gone for outright prohibition rule of one person(s) or organization owing or financing two clubs in its league /competition.
The NNL believes the ownership rule as a deliberate effort will continue to seek basic safeguards, protections against criminality and the maintenance of the integrity of the league.
In a latest circular communicated to its forty three clubs, NNL ruled that the financier or Owner of such clubs will not be allowed to operate two clubs in the league.
The NNL equally made it clear that in the case of ownership of a club by one or two individuals, a letter jointly signed by the shareholders for the club to be registered in the league will be submitted to the league body.
The legal conditions for the clubs include the submission of evidence of incorporation by the clubs and details of anyone or shareholders.
“Any person “acquiring control” of a club must submit the Owners’ and Directors’ Declaration.
Control is defined to include anyone (i) with the power to appoint/remove a majority of the board of directors and/or (ii) holding directly or indirectly 30% of the total voting rights of a club – thereby capturing even minority investors over this threshold.
NNL emphasized the need for clubs to quickly comply with the club licensing clause to enable them participate in the 2022/2023 season, expected to kick off next month in a more abridged format with special consideration to proximity of the clubs in the country.
