Queens Park Rangers midfielder Sandro did not have a work permit last season.
The Sun reported that the former Tottenham man, who won 17 caps for Brazil between 2009 and 2012, had been deported from the UK.
The £10million midfielder has not been deported and is actually on holiday in Brazil, but they have admitted he did not have a work permit.
"The club is in dialogue with the Home Office in a bid to resolve the matter," said the club in a statement.
An investigation by the Home Office revealed that Sandro did not have a work permit and it has suspended Rangers' sponsor licence, which allows clubs to apply for visas for non-EU players.
The suspension means that QPR will still be able to sign non-EU players but non of them will be able to play until the suspension is lifted - Sandro can't play until he has a working visa.
A Home Office spokesperson said: "Sports clubs that benefit from the immigration system must ensure they have robust compliance systems in place or risk losing their privilege to sponsor players and workers.
"We continually monitor all sponsors on the register and we will take action where we find evidence that compliance duties are not being fulfilled."
Sandro has since Tweeted about the issue:
Hope everything will be sorted soon! Love England too much...— Sandro Raniere (@sandroraniere) June 16, 2015
Sandro played 17 times for QPR last season.
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