West Ham United co-owner David Sullivan resigned as vice-chair after being accused of historical sexual misconduct, according to a report from the BBC. The newly established Independent Football Regulator (IFR) is now investigating whether the 77-year-old former porn baron is fit to own a club under its Owners, Directors and Senior Executives regime, and could force him to sell his 38.8% stake. Sullivan has denied the allegations and says he plans to sue the BBC for libel.

The 38.8% stake at the center of the regulator's probe

Sullivan remains West Ham's largest shareholder with a 38.8% stake, despite stepping down as vice-chair following the BBC's investigation. As the source reports, the IFR has descirbed the claims as 'extremely serious' and is using its statutory powers to urgently assess Sullivan's suitability . The regulator, which gained authority in December, can force owners it deems lacking in 'honesty, integrity, or the necessary skills and experience' to divest their shares — a power that could now be applied to Sullivan.

December's new regulator now tests its power over 'honesty, integrity, and experience'

The IFR's December 2024 empowerment marks a pivotal moment for English football governance. This is one of the first major tests of its ability to police club ownership beyond financial checks. According to the same report, fan relations at West Ham have been strained, with anti-Sullivan chants heard during matches last season. The regulator's intervention adds a new layer of tension: if it rules against Sullivan, it could set a precedent for how quicckly and forcefully the IFR acts on non-financial misconduct.

What the BBC uncovered — and Sullivan's plan to sue for libel

The specific allegations,as reported by the BBC, involve Sullivan preying on women for sex and requesting sexual favours from aspiring young models in exchange for work. Sullivan has publicly denied the claims,calling them false and sensationalized, and announced his intention to sue the BBC and other media outlets for libel. key open questions remain: what evidence does the BBC's investigation hold? How many accusers have stepped forward? And will a libel suit delay or derail the IFR's assessment?

Who might buy if the regulator forces a sale? Daniel Kretinsky's 27% and beyond

Sullivan's position is complicated by the club's ownership structure. Czech billionaire Daniel Kretinsky, who already holds a 27% stake, is seen by many as a likely candidate to increase his shareholding if Sullivan is forced out. Meanwhile, Karren Brady, a long-time associate of Sullivan, left West Ham in April, removing a key ally. The source notes that uncertainty surrounds the future, and a forced sale could trigger a bidding war — or leave Kretinsky as the dominant owner.