The Swede was cleared on Thursday of accusations he had misled the FA over his affair with Faria Alam but she is set to tell her version of events to a Sunday tabloid, adding another twist to the saga.

The FA's response to the original newspaper revelations of Eriksson's affair with Alam sparked a chain of events that led to the resignation of its chief executive Mark Palios after he too was revealed to have slept with her.

Communications director Colin Gibson was forced to quit after he was exposed trying to do a deal with the tabloids to get Palios off the hook.

Alam's publicist Max Clifford confirmed she had also resigned her post and she was reported to have agreed a deal in excess of 100,000 pounds (180,000 dollars) with the News of the World.

The FA said the affair had damaged the reputation of English football and promised a shake-up in the way the game is run here.

Eriksson's agent, Athole Still, said his client was delighted at the findings of a meeting which will see the man appointed coach in 2001 stay on - unless Alam makes startling revelations at the weekend.

"Sven is very pleased and relieved at the verdict of the FA Board which allows him to continue planning for the 2006 World Cup.

"I called Sven immediately after hearing the news and he was going out for dinner with England assistant coach Tord Grip," said Still.

"He just said 'good', with a nice chuckle."

In a statement, the FA said its Board had reached a "unanimous" decision after a six-hour meeting.

"In the case of Sven-Goran Eriksson, The Board decided on the basis of the report and on legal advice that there is no case for him to answer.

"In the case of Faria Alam, an employee without executive status within the FA, The Board has decided it is not appropriate to make any public statement with regard to her role in this inquiry.

"The FA announces that it has accepted Colin Gibson's resignation... Neither The FA nor Colin Gibson will be making any further statement."

However, the statement said a review of management procedures would take place.

"This entire episode has been regrettable for the reputation of football in this country but the board remain determined to restore the highest standards.

"Deficiencies surrounding management procedures have been exposed and the board is collectively resolved to see these corrected.

"An immediate review will be instituted with appropriate consultation."

Palios, who is separated from his wife, quit at the weekend after it emerged he had also had an affair with Alam.

Gibson resigned after a tabloid newspaper revealed he had offered to cut a deal to spill the beans on Eriksson in return for keeping Palios's part in the affair secret.

But the FA's statement also placed a question mark over the future of FA chairman Geoff Thompson who has been widely criticised for his handling of the incident.

The FA said it was appointing the chairmen of its two main boards, Dave Richards and Roger Burden, to "support (Thompson) in his role of leading the organisation during this period".

Eriksson's lucrative contract, extended before England were eliminated in the quarter-finals of Euro 2004 in Portugal, meant he could have been entitled to a compensation package deal worth 14 million pounds (25.5 million dollars).

England's next match is a friendly against Ukraine on August 18 at St James' Park.

They begin their qualifying campaign for the 2006 World Cup next to Austria and four days later play their second group match away to Poland.

Failure to get off to a winning start will intensify the pressure on both Eriksson and the FA.