'We are going to be a part of football's future' - football oversight chief David Kogan
The team's ongoing struggles are seen as a "significant problem" and the football regulator is looking to gain the ability to investigate clubs in such situations, the newly appointed chairman the official has announced.
Through a comprehensive talk, the regulator, who was recently selected, expressed "sympathy" towards the club's followers.
Kogan met with four supporters' associations connected to the Championship side in recent days.
The team have been struggling on and off the field in this season, with the club delaying salary disbursements on five separate occasions, including in September.
"Evidently Wednesday represents a major concern for the league and a significant problem for football," the chairman stated.
"The club represents one of the iconic names for football in England and in recent days we have met fan representatives.
"We are seeking authority... which will permit us to bring the club and similar situations referred to us if they need to be investigated and acted upon."
Economic Challenges and Proprietorship Status
Wednesday's embattled owner the current owner indicated in the summer he would be open to selling the club at their home ground, but he has failed to complete a sale with prospective buyers.
Delayed salary payments on time in March and May led to sanctions by the English Football League (EFL) in summer, preventing the club from carrying out any player acquisitions for the subsequent signing windows, although those limitations were removed in the end of the transfer window.
Official's Viewpoint
Kogan said: "The job [of the regulator] is there for the fans of Sheffield Wednesday, teams facing challenges where fans are dedicated to a community organization that has existed throughout their lifetimes in numerous instances.
"I have absolute sympathy for the club's situation, as I do for each organization that over recent decades have faced collapse, or nearly ceased operations, for reasons that have nothing to do with the fans themselves."
Questioned about whether the authority might compel an proprietor to divest a club if they are considered unfit, the chairman responded: "If your question is 'would we intervene in the final instance?', the response would be once we gather the evidence and understand the situation, we will."
But Kogan stressed that compelling proprietors to divest clubs would be treated as a "last resort" and the regulator would prefer to work with them.
"The final option we would consider is commence engagement with an particular organization, an individual owner, without being in a position to cooperate with that owner to try and resolve the issues that the club's facing and the owner's facing," the regulator explained.
"In actuality, when you look back over the history of football, over the past few decades there have been certain proprietors, not many, but particular people who have shown negligence in the manner they have operated their clubs and ultimately decline to assume obligation for the long-term prospects."
Sheffield Wednesday supporters have been protesting against owner Dejphon Chansiri during the current campaign
'Mistakes could erase significant advances'
The chairman convened with officials from numerous teams to explain the responsibilities of the oversight body this week and stated it constituted a "forward-thinking discussion" with a "substantial involvement" from the grassroots to elite level.
"The role holds considerable importance, because should mistakes occur, if the world of football gets it wrong, the extraordinary progress that's been made might evaporate rapidly," Kogan said.
"And that's what nobody wants in the terms of English football is a huge success story - we've got to keep it going.
"Considerable investment entering the sport and has come into football for the recent generations, because certainty is lacking it will continue to come into football, which is among the factors explaining I think we have to maintain a focused outlook on risk and of course, of the next two or three years."
Premier League Concerns
The Premier League opposed the formation of an authority because of concerns about detrimental effects on the Premier League's sporting equality, but the chairman responded: "I completely endorse the prosperity and expansion as an financial organization of the top division.
"As someone who appreciates the worry about compromising the division as a high-quality offering of England. But simultaneously, if you engage with division representatives after today's meeting, they would have had a high level of reassurance -and, indeed, they have been informing us confidentially they have a significant confidence."
Partisan Associations
The regulator remains subject to a "full inquiry" by the Commissioner for Public Appointments after he revealed he contributed money to the opposition group in recent years.
The chairman contributed funds to government minister Lisa Nandy's leadership campaign, along with that of the government leader.
"I have fully disclosed my previous political affiliation [with Labour], and that ideological connection terminated the day the parliamentary committee confirmed my selection," Kogan said.
"I am no longer involved in any type of partisan engagement."
