Yongge disqualified & told to sell Reading by April

Reading owner Dai Yongge has a fortnight to sell the League One club

Reading owner Dai Yongge has been given a deadline of 4 April to sell the club after he was disqualified under the EFL's Owners' and Directors' Test.

The date imposed by the English Football League emerged at a hearing at the Commercial Court in London on Friday, where Yongge was trying to get an injunction against ex-Wycombe owner Rob Couhig - who he claimed was blocking his attempt to sell the Royals.

The request for a mandatory injunction was not granted by judge Mr Justice Jacobs.

"Following its disclosure in open court earlier today, the League can confirm that Mr Yongge has been recently disqualified under the EFL's Owners' and Directors' Test," the EFL said in a statement.

"The disqualification requires Mr Yongge to divest his interests in the club, and in the event that he fails to do so within the agreed timeframe, the League will consider all options available within its regulations to bring the matter to a conclusion.

"The League continues to work closely with Reading FC to progress a sale of the club at the earliest opportunity, in order to end the current uncertainty surrounding its future for its staff, supporters and wider community."

In court on Friday, Yongge argued he is unable to sell while Couhig - who previously tried to buy the club - and his securities remain in place.

The Royals announced they had entered into a period of exclusivity with an unnamed party over a potential takeover late last month.

At the time, they said they were optimistic the deal could be completed quickly and it would be "for the benefit of all concerned".

A number of attempted takeovers - including Couhig's - have fallen through since Yongge committed to a letter of intent to sell the club last March.

Reading are eighth in League One, two points off a play-off place, following a 10-game unbeaten run.

Reading 'committed to working with EFL'

Following Friday's hearing the Royals issued a statement saying they would work with Couhig and the EFL to find a resolution.

"The club acknowledges the judge's clear indication that the parties should find a solution to the current impasse regarding the sale of the club by way of its owners providing alternative security or a payment into escrow," the statement said.

"To allow a sale to proceed, the club looks forward to working with Mr Couhig to resolve this element of his claim.

"Mr Dai remains committed to working with the EFL to sell the club and secure its long-term future."

Reading could face 'new level of ridiculous' in long-running saga

BBC Radio Berkshire's Reading commentator Tim Dellor:

Do Reading fans feel reassured or less confident following today's court hearing?

Most will be left feeling more anxious and uncertain. The hearing gave us more questions than answers.

Reading's plight has been ramped up. Had the judge issued the injunction the club sale could have been relatively easy to envisage.

We would be closer to Dai Yongge leaving the stage, and the club would have been able to move on from years of uncertainty.

Instead, with Rob Couhig's securities remaining in place, and Yongge's seemingly obstinate refusal to sell to him, or anyone else, while they are in place it seems the impasse remains.

The really worrying message from the hearing came from the EFL.

For months there have been calls from some quarters to disqualify Yongge from ownership - which they have now done.

By 4 April Reading will need to be sold, or they will be told they can't play any games while Yongge is still at the helm.

Reading have never had any success in play-off campaigns previously, so to finish in the top six but then not be permitted to even take part would be a new level of ridiculous in this long-running saga.

Reading 'don't have any excuses now' - reaction

Reading fan and SellBeforeWeDai campaigner Caroline Parker

It feels like something big is about to happen and we could be at end game.

It is mixed emotions because we don't know what the future holds, the fact the judge has cleared a path for a sale and said that the side issue with Rob Couhig can be resolved separately to the sale is really positive news.

The club don't have any excuses now to not get a sale done.

There is clarity now but the problem is that we don't know what to think, we're often left in the dark and left to piece the jigsaw ourselves.

We still have a lot of questions as to what will be the final date and what action the EFL will take but we just hope we can get a new owner, we have all had enough.

Please, can this be the beginning of the end of Dai Yongge at Reading.