Gianni Infantino is facing growing pressure to step down after an alleged lover of the FIFA President was paid off by UEFA, which Infantino has called "categorically untrue".
The Telegraph said the woman received a six-figure sum after allegedly having an affair with him while he was the European governing body's general secretary.
The woman was a junior employee who received a promotion and a 30 per cent salary increase from Infantino during the period of their alleged relationship.
Michel Platini, then serving as UEFA president, appeared to be made aware of the situation and raised his concerns directly with Infantino.
The European governing body acknowledged the arrangement in a statement, saying: "We are aware of the allegations and can confirm a departure payment was made to the individual in question, coupled with the payment of fees for an MBA course at a local business school.
"The payment was in line with the regulations that existed for departing staff at the time."
Infantino first joined UEFA in 2000 as a lawyer, steadily rising through the organisation before being appointed secretary general in 2009.
He has been married to Leena Al Ashqar since 2001, and the couple have four daughters together.
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Following Sepp Blatter's downfall, Infantino won the FIFA presidency in 2016 and subsequently secured re-election in both 2019 and 2023.
Prior to the current turmoil, he had been widely expected to claim a fourth term at the FIFA congress in Morocco, scheduled for March.
The Telegraph also reported that complaints had been made regarding Infantino's conduct at FIFA, though the world governing body has strenuously rejected those claims.
FIFA responded to the allegations, with a spokesman telling the publication: "FIFA President Gianni Infantino strongly denies these allegations, and they are categorically untrue.
"Any insinuation of inappropriate conduct or violation of statutes or regulations is defamatory.
"No employee at Uefa and Fifa has ever raised a complaint regarding Mr Infantino's behaviour because there never was an incident where he was involved."
The situation mounts growing pressure on the 56-year-old, following his failed sell-off plan after having to scrap a £3.1billion stake in the World Cup to private investors after it drew widespread criticism across the football world.
UEFA has responded by threatening to withdraw from all FIFA tournaments for as long as Infantino remains in charge, a stance that would inflict severe commercial damage on the governing body.
Norwegian FA President Lise Klaveness has announced her intention to file a complaint with FIFA's Ethics Committee.
Despite the mounting opposition, Infantino retains considerable backing from football federations across Africa, South America and Asia - a coalition that could prove sufficient to repel any formal leadership challenge at the March election.
Following crisis talks on Wednesday, the governing body's hierarchy rallied behind Infantino, who has pledged to continue in the role despite the growing chorus calling for his departure.
The FA has voiced its concerns surrounding Infantino, withdrawing its letter of support for Infantino's re-election.
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