Liverpool had sold Rhian Brewster to Sheffield United in 2020 for a sum of £23.5 million.
He has since gone on to make 63 appearances for the club but Liverpool Echo reports that the Blades failed to make a recent payment relating to the Brewster transfer.
The EFL imposed a transfer embargo on Sheffield last month and it is being reported that it was for a defaulting on payments to another club.
The amount that is still to be paid to Liverpool is unclear but the default payment contributed to Sheffield having the embargo imposed upon them.
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