US Senate Permanent Subcommittee on Investigations chair Richard Blumenthal issued a subpoena to PIF's USSA International LLC ©Getty Images

The United States Senate's Permanent Subcommittee on Investigations has issued a subpoena to an American subsidiary of Saudi Arabia's Public Investment Fund (PIF) related to its investigation into the controversial merger of the PGA Tour and LIV Golf.

The Saudi-backed LIV Golf launched in 2021 and caused a schism in men's golf with more than 30 members of the North American-based PGA Tour lured to the lucrative rival circuit.

The PGA Tour sparked anger in June when, after more than one year criticising LIV Golf and banning rebels from its events, it performed a stunning U-turn and agreed to a shock merger which sparked anger among players and supporters who had stayed loyal.

The Permanent Subcommittee on Investigations has been conducting months of investigation into Saudi involvement in American business endeavours, with PIF officials refusing to provide testimony.

PIF governor Yasir Al-Rumayyan, who is expected to chair the new golf entity and is also chairman of English Premier League football club Newcastle United, and LIV Golf chief executive Greg Norman, a two-time major winner from Australia, are among the officials who declined to testify at a hearing in July.

Subcommittee chair Senator Richard Blumenthal has now demanded documents from PIF's USSA International LLC on the "framework agreement" between the PIF and PGA Tour by October 13.

PIF governor Yasir Al-Rumayyan is expected to chair the new golf entity after the shock merger of the PGA Tour and LIV, but has declined to testify as part of the Subcommittee's investigation ©Getty Images
PIF governor Yasir Al-Rumayyan is expected to chair the new golf entity after the shock merger of the PGA Tour and LIV, but has declined to testify as part of the Subcommittee's investigation ©Getty Images

"As I also wrote to Governor Al-Rumayyan on August 16, PIF cannot have it both ways," Blumenthal said.

"If it seeks to reap the benefit of commercial engagement with United States markets and entities, it must be subject to the laws and oversight of Congress."

Blumenthal claimed that LIV Golf "appears to be a classic attempt at a practice known as 'sportswashing'", and greater visibility of the PIF's US investments was required to "guard against efforts like this".

The merger agreement must be approved by the PGA Tour's Policy Board by the end of the year.

American players who joined LIV were particularly vilified because of alleged Saudi links to the 9/11 terror attacks in 2001.

Other criticisms towards the Mohammed bin Salman regime include homosexuality and same-sex marriage being outlawed according to Saudi Arabia's uncodified Islamic law, its record on women's rights, the Saudi leadership's role in the bombing of Yemen, restrictions on free speech and use of the death penalty.