EU examines Valencia's backing of football clubs
VALENCIA, Spain (AP)
The European Union is investigating the Spanish regional government of Valencia for its guarantee of loans taken out by local football clubs.
A government official told The Associated Press on Thursday that the EU requested information on loan guarantees made by the regional government for Valencia and lower-division clubs Elche and Hercules. The official spoke on the condition of anonymity because its government policy.
Last month, a court revoked the guarantee given by the regional government for a loan from Spanish bank Bankia to Valencia. Bankia, which has been bailed out by Spain's central government, has appealed the court's decision.
The EU was already looking into a real estate deal between Real Madrid and the city of Madrid.