Gloucester are set to report Sale to Premiership Rugby after the Sharks announced on Friday that Bryan Redpath had been appointed their director of rugby.

Redpath resigned as Gloucester's head coach in April after speculation linking him with Sale. His replacement at Kingsholm, Nigel Davies, will be announced on Saturday after a compensation package was agreed with his current employers, Scarlets. The Gloucester chairman, Ryan Walkinshaw, was meeting with his fellow directors on Friday afternoon as supporters urged him to take action against Sale. Gloucester struggled at the end of the campaign and missed out on a place in next season's Heineken Cup with the Sharks taking England's final slot.

Gloucester are concerned that Redpath was approached by Sale while under contract to them. They have been unable to gather any direct evidence but feel it is a matter Premiership Rugby should investigate, a course of action the directors were discussing.

Sale have maintained that the resignation of Redpath, who spent seven years with the Sharks as a scrum-half, was a coincidence and that when he resigned from Gloucester they had not made an appointment. "As soon as Bryan became available, we were keen to talk to him," said the Sale chief executive, Steve Diamond. "Following discussions, he agreed to be our director of rugby and we are delighted. He is absolutely ideal."

Davies was chosen to replace Redpath ahead of the former Bath head coach, Steve Meehan. He has been in charge of the Scarlets for the last four years, helping develop a number of emerging players, including George North, and he finished an 18-month stint with Wales as interim head coach at the end of 2007.

Meanwhile, the Rugby Football Union was still waiting to hear on Friday from London Welsh. The Exiles gave notice they would be appealing against the decision not to allow them promotion from the Championship for not meeting the minimum standards criteria.

Newcastle, who were spared relegation by the decision of the RFU's board of directors to deny London Welsh promotion, will themselves take action if the Exiles succeed in getting the decision overturned.

"While we have sympathy with both London Welsh and their supporters, the findings of the auditors were that the club did not meet the necessary criteria for membership of the Premiership and were not eligible for promotion," said the Newcastle director, Duncan Edward.

"If an appeal panel decided to ignore the findings of the auditors, it would open a can of worms and the effect would be chaotic. We have always acknowledged that we would be playing Championship rugby if whoever was to replace us met the criteria, but that is not going to be the case. If London Welsh win their appeal, we will be taking further action."