Restrictive Chinese Government Could Pull Plug on AC Milan Owner's Investment in the Club

The owner of AC MIlan Yonghong Li could see his investment in the club recalled by the Chinese government as part of their crackdown on foreign expenditures.

The businessman purchased the club along with Sino-Europe Sports earlier this year, but his partners backed out and Mr. Li completed the €740m purchase thanks to a loan from U.S. hedge fund Elliott Management.

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There will be a congress on October 18 where the Communist Party will announce new restrictions on foreign investments.

As reported by Libero, via Football Italia, the Rossoneri could find themselves in a spot of bother, with €200m in danger of being recalled.

Milan need to pay back Elliott’s €253m by next October and if it isn't paid, then all of part of club is in danger of being transferred to the hedge fund.

Mr. Li is understood to be after securing other investors to help share the financial burden, as a means of getting round the difficult situation.

Milan's neighbours Inter were also taken over recently by Chinese investors Suning Holding Group but it is understood that they will be unaffected by the new restrictions.

The Rossoneri aren't going so well in terms of football of late - the club lie seventh in Serie A after losing three games already out of seven.