Crystal Palace’s European Hopes in Jeopardy as UEFA Rejects Blind Trust Proposal
Crystal Palace’s participation in the Europa League next season has been thrown into doubt after UEFA rejected a proposal from the club’s shareholders to put their shares in a blind trust. The move was aimed at circumventing UEFA’s multi-club ownership rules, which prohibit individuals or entities from having control or influence over more than one club participating in a UEFA club competition.
According to a report in The Guardian, Palace’s largest shareholder, John Textor, and fellow shareholder David Blitzer, had offered to place their shares in a blind trust to ensure the club’s eligibility for European competition. However, UEFA rejected the proposal, citing the need for consistency in applying its regulations.
The issue arises from Textor’s ownership of Lyon, who have also qualified for the Europa League, and Blitzer’s ownership of Brøndby, who have qualified for the Conference League. UEFA’s rules state that any influence at two clubs in the same competition is prohibited, and the governing body has strict criteria for ensuring compliance.
The Guardian understands that Palace executives, including Textor and chairman Steve Parish, met UEFA officials in Nyon on Tuesday to try to broker a solution, but no agreement was reached. The club missed the deadline for registering the trust, and UEFA has informed them that they will not be shown any flexibility.
This is not an isolated issue, as several clubs have used blind trusts to ensure compliance with UEFA’s multi-club rules in the past. Manchester City and Manchester United both used blind trusts last season to navigate the complexities of UEFA’s regulations.
However, UEFA’s rules are clear: ownership changes must take place before March 1st to take effect for the following season. Palace’s lack of foresight has put their European participation at risk, and the club is now facing the prospect of being barred from the Europa League.
Textor has told the Daily Mail that he is looking to sell his 45% stake in Palace, but there is little realistic prospect of this happening in time to influence UEFA’s decision. The Europa League qualifying draw is due to take place on June 17th, and Palace’s situation is becoming increasingly uncertain.
The potential consequences of Palace being barred from the Europa League are significant. Nottingham Forest, who qualified for the Conference League by finishing seventh in the Premier League, could be promoted to take Palace’s place. Brighton, who finished eighth, could then replace Forest in the Conference League.
As The Guardian previously reported, Textor was seeking to buy out his fellow American shareholders, Blitzer and Josh Harris, who own 36% of the club between them. However, the two parties have not been able to agree on a price, and Textor’s intentions to sell Palace have been clear for some time.
UEFA’s rules make clear that any influence at two clubs in the same competition is prohibited. "No one may simultaneously be involved in any capacity whatsoever in the management, administration, and/or sporting performance of more than one club participating in a UEFA club competition," the regulations state.
In the event of Palace being barred from the Europa League, it would be a significant blow to the club’s aspirations and would have far-reaching consequences for their future participation in European competition. As The Guardian reports, UEFA declined to comment, but sources at the European governing body stressed that given more than 300 clubs take part in its competitions each season, it has to ensure that the regulations are applied consistently.
