Birmingham City shares resume trading in wake of corruption probe

Leisure Report, May, 2008

Shares in Birmingham City have resumed trading on AIM following a suspension at the company's request after news last month that the club's co-owner David Sullivan and managing director Karren Brady were questioned by police in connection with a corruption probe.

The football club said in a statement that the investigation, which focuses on payments to a football agent and two players, will not have any implications that are considered material to its affairs.

Sullivan and Brady willingly attended an interview with the City of London Police, the company said, and the club and its directors are co-operating fully with the police in the investigation.

"There is absolutely no allegation that any director of the company or the club itself have benefited financially from any of this activity," the company said in the statement.

City of London Police released a statement saying a 59-year-old man and a 39-year-old woman were arrested on suspicion of conspiracy to defraud and false accounting.

In a posting on its website, Birmingham City said Brady and Sullivan were invited to co-operate with a City of London Police investigation and "have happily done so."

Brady and Sullivan were both later released on bail.

City of London Police said it is questioning the individuals as part of its ongoing investigation into alleged football corruption.

A total of seven other people remain on bail in connection with the ongoing investigation.