Former directors of the Elland Road club face an investigation

The routine inquiry is the first of its kind at a Premiership football club.

It will examine the dealings of all eight people who held directorships over the past three years, including Peter Ridsdale, Trevor Birch, Prof John McKenzie and Allan Leighton.

The Department of Trade and Industry will then decide on any further action.

Legally bound

As with any administration, the investigation will take place to ensure there has been no wrongdoing on the part of directors.

Brendan Guilfoyle, one of the administrators appointed to Leeds United plc and Leeds United Holdings, will prepare a confidential report for the Department of Trade and Industry (DTI).

Everyone who has been a director of the club for the past three years, or who has been employed in the last year is legally bound to cooperate with the investigation.

Mr Guilfoyle, of the P&A Partnership, said: "This is the first time that a Premier League football club has been investigated with the backing of the law.

"I start this investigation (on Friday) and will report to the DTI in six months.

Club takeover

"I will look at the conduct of current and past directors to see if they are fit to be directors - the DTI will then decide what the next steps should be."

A spokesman for Peter Ridsdale said the former chairman was declining to comment on the investigation.

In a separate development, about 22,000 people with shares in Leeds United are to be contacted by Garry Wilson of co-administrators Ernst & Young.

He said their shares have been made virtually worthless following the takeover of the club by a Yorkshire-based consortium led by Leeds accountant Gerald Krasner.

He said: "This deal crystallises the loss... there has been no share-holder value in Leeds for a long time".