'We will play a key role in football's future' - independent football regulator David Kogan
The team's ongoing struggles constitute a "major concern" and the football regulator is aiming to acquire authority to investigate clubs in similar circumstances, the newly appointed chairman the official has announced.
During an extensive discussion, the regulator, who was appointed on Monday, voiced concern towards Wednesday's fanbase.
The chairman convened with four fan organizations representing the Championship side in recent days.
The team have been facing challenges both on and off the pitch in this season, with the club missing wage payments on five separate occasions, including in September.
"Evidently Wednesday represents a significant problem for EFL and a significant problem for football," Kogan told.
"Sheffield Wednesday is one of the great brands for English football and recently we have met fan representatives.
"Our aim is to acquire the ability... which will enable us to take Sheffield Wednesday - and other clubs brought to our attention if they need to be investigated and dealt with."
Financial Struggles and Proprietorship Status
The team's struggling chairman the Thai businessman suggested earlier this year he would be prepared to relinquish control at Hillsborough, but he has not been able to secure a deal with prospective buyers.
Failure to pay player wages on time in March and May resulted in restrictions being imposed by the English Football League (EFL) in summer, blocking the team from conducting any transfers or loans for the next three transfer windows, although the ban was rescinded in August.
Authority's Position
The chairman stated: "Our role exists to serve the fans of Sheffield Wednesday, Bury or any football club where people are committed to a local institution that has represented their community in numerous instances.
"I fully appreciate the team's plight, as I do for each organization that since 1992 have gone to the wall, or approached financial ruin, for causes separate from the followers."
Inquired if the authority might compel an chairman to relinquish a club if they are judged inappropriate, Kogan said: "Should the inquiry concern 'would we intervene in the final instance?', the reply is once we collect the information and know what's going on, we will."
But Kogan stressed that compelling proprietors to divest clubs would be considered the final option and the oversight body would choose to cooperate with proprietors.
"The final option we would consider is commence engagement with an individual club, an specific proprietor, without having the opportunity to collaborate with that owner to try and resolve the issues that the club's facing and the proprietor's dealing with," Kogan said.
"In actuality, when you look back over the history of the sport, over the past few decades there have been particular chairmen, a small minority, but particular people who have shown negligence in the manner they have operated their teams and eventually decline to assume obligation for the future."
Owls fans have been demonstrating against the team's chairman in recent months
'If we get it wrong, extraordinary progress vanishes'
The regulator engaged delegates from multiple organizations to detail the scope of the regulator on Wednesday and stated it constituted a "forward-thinking discussion" with a "substantial involvement" from the lower divisions to the top flight.
"It's a job that's actually really important, because if we get it wrong, if the sport makes errors, the remarkable development accomplished could disappear swiftly," the regulator warned.
"And that's what nobody wants in the context of the English game is a huge success story - we need to continue the progress.
"There's an enormous amount of money flowing into the game and has been invested for the recent generations, because there's no guarantee it will continue to come into football, which is one of the reasons why I think we have to take a really clear view on potential dangers and naturally, of the coming seasons."
Elite Division Worries
The Premier League opposed the establishment of an oversight body because of concerns about detrimental effects on the elite division's competitive balance, but Kogan said: "I'm absolutely committed to the prosperity and expansion as an financial organization of the top division.
"As someone who appreciates the worry about compromising the top flight as an elite competition of the nation. But simultaneously, if you consult with top flight officials after today's meeting, they would have had a high level of reassurance -and, in fact, they have been informing us confidentially they have a high level of reassurance."
Partisan Associations
The chairman continues to confront a "full inquiry" by the public appointments commissioner after he acknowledged providing funds to the opposition group in the past.
The chairman provided financial support for government minister the minister's leadership bid, along with that of the now Prime Minister Sir Keir Starmer.
"I have fully disclosed my previous political affiliation [with Labour], and that party membership ceased the day the official body endorsed my nomination," the chairman stated.
"I currently have no participation in any type of partisan engagement."
