Premier League rules bar anyone made bankrupt from holding the position of chairman, director or shadow director at any football club.
An insolvency report, confirmed Oyston's was made bankrupt on August 18 - the same day he announced his resignation as chairman and director.
Oyston’s sudden departure shocked fan and colleagues as he walked away from the role which he had held for 11 years.
But Oyston - son of the club's majority shareholder Owen Oyston - vowed to stay on as the club's chief executive until a replacement was found. It is not yet known whether Mr Oyston's position of chief executive would fall under the category of shadow director.
Premier League bosses are now preparing to hold talks with Blackpool Football Club. The Premier League brought in its "fit and proper person" test in 2004 to try to prevent clubs from being taken over by dishonest owners.
It applies to people wishing to become directors or take a shareholding of more than 30 per cent, and primarily relates to an individual's criminal record or whether they have been bankrupt.
The Premier League said: “We are speaking to the club to clarify his position in relation to his new role there and the full circumstances of the bankruptcy."