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.