Fabio Capello has resigned as Juventus coach. The embattled Turin club announced on their website that they had accepted his offer to step down, fuelling speculation he is set to take over at Real Madrid.
Juventus are currently being investigated for alleged match-fixing at a trial in Rome. The prosecution on Tuesday recommended the club be relegated to Serie C.
A statement on the club website, www.juventus com, confirmed the news of Capello`s departure.
It read: 'Juventus Football Club has accepted the resignation of Fabio Capello, in accordance with his wishes, and thanks him for the work that he has done.'
Newly-elected Madrid president Ramon Calderon claims Capello has agreed to take charge at the Bernabeu
'He (Capello) has gone to Turin to resolve his contractual situation with Juventus,' Calderon said on Monday. 'He will be here in the next few days to begin his new work.
'We don't have many days because the pre-season with all the players begins at the end of July. He has no problems leaving Juventus because he has a series of clauses that allow him to do so. Real Madrid will not have to pay a fee to get him.'
Capello, a former Madrid coach, has led Juventus to the last two Italian titles although they may be taken away should the club be found guilty of match-fixing.
In his first spell in charge in the Spanish capital, Capello led the club to the Primera Liga title in the 1996-97 campaign.
The announcement of his departure from Juve comes just hours before Italy play tournament hosts Germany in the World Cup semi-finals.
The Azzurri squad features several Juve players, including likely starters Gianluigi Buffon, Fabio Cannavaro, Gianluca Zambrotta, Mauro Camoranesi.
