Rangers owner Craig Whyte is "not fit and proper" to hold a position at a football club, according to a report published on Thursday by the Scottish Football Association.
Whyte took over the running of the club in May 2011 but his tenure has been blighted by financial uncertainties, culminating in club being placed into administration and deducted 10 points last month.
The SFA said it will be writing to Whyte in relation to Lord Nimmo Smith's findings after a two-week inquiry and will seek a response within a week.
Rangers meanwhile face a charge of bringing the game into disrepute.
The charge relates to "obligations and duties of members, financial records, official return, division of receipts and payment of expenses".
The SFA has also told Rangers' administrators Duff and Phelps that they must pay Dundee United for Scottish Cup tickets.
Rangers was recently forced to pay Dunfermline Athletic £83,000 for owed for ticket sales, while Whyte is currently being pursued for the £9m he contractually promised upon taking over at Ibrox.
Lawyers acting for the administrators have gained a court order to seize a preliminary £3.6m from Whyte's solicitors Collyer Bristow.