The board of Manchester United is to conduct an internal review of its recent transfer dealings as sources close to its largest shareholders said they were considering forcing an extraordinary general meeting if club manager Alex Ferguson was awarded a long-term contract.
Irish racing tycoons Mr John Magnier and Mr JP McManus, who own 25 per cent of United shares, appear to have forced the club to announce an internal review of recent transfers by threatening to demand an independent audit.
Ferguson (62) has won eight league titles since coming to Old Trafford in 1986 and he is in talks with United to extend his contract beyond 2005. He is also involved in a legal battle with Mr Magnier over the ownership of record-breaking racehorse Rock of Gibraltar.
A source close to the two men's investment vehicle, Cubic Expression, said today they would consider forcing an extraordinary general meeting at United if Ferguson was awarded a contract of longer than a year.
"If Cubic doesn't feel it's being treated seriously as a shareholder with serious concerns and if they [the board] simply proceed the way they always have, then an option is to call an EGM and to seek the appointment of independent auditors to review all transfers and the payment of fees to agents," he said.
Within hours United, while stressing its transfer policies were "among the most rigorous in football", said it would provide additional information on player sales and purchases.
"Although the media have reported various allegations, Manchester United has received no documentary evidence from any party to support these allegations," it told the stock exchange.
"However, the board of Manchester United will conduct a thorough internal review of the recent transfer dealings." Any changes in policy would be introduced by June 2004, it said.
United said contract talks with Ferguson were going well. Media reports said the new contract could be signed this week.