Sven-Goran Eriksson has revealed he offered to pay Blackburn compensation following a sudden change of heart after signing a contract to take charge at Ewood Park.
Instead the Swedish coach opted to move to Italy in the late 1990s to take charge of Rome-based Lazio.
Eriksson, who returns to Blackburn on Sunday as Manchester City manager, recalled his about-turn.
"I had signed a contract with Blackburn and phoned up (club owner) Jack Walker and asked if it was possible to change my mind," said the former England boss.
"I met him twice in England and Italy and told him I was prepared to pay compensation.
"He took the contract, did this (ripped it up) and said we would be friends forever.
"I do not feel bad about it. It happened many years ago.
"The first time I went back to Blackburn in my previous job, I wondered what people might say. But nothing happened."
Blackburn were labelled a violent side by Arsenal boss Arsene Wenger recently.
But Eriksson has nothing but admiration for the job carried out by his managerial counterpart Mark Hughes.
The two men's paths frequently crossed when Hughes was in charge of Wales.
Eriksson said: "I met him at many grounds when we were both looking at players.
"He is doing a great job at Blackburn. They are a good team, very strong. It will be a good test for us.
"I am not worried about what people say about them. We will just try and play our football."
City have hit the ground running under Eriksson, winning three of their four league games and progressing in the Carling Cup in midweek at the expense of Bristol City.
He is pleased with their progress.
"We made a lot of changes in midweek but still played some excellent football and got a victory, " he said.
"Perhaps we should have scored more goals but the performance was good for confidence.
"I am very happy with the way we have started although there is a long way to go.
"I did not really have any expectations when I arrived as we had not signed anyone.
"Then all the players started coming in and we began to play some excellent football.
"We are in a good position now and I would be happy if we were to retain that spot come Christmas."
Eriksson looks certain to recall his key players following the Cup victory.
Goalkeeper Kasper Schmeichel looks likely to replace Joe Hart between the posts after a bright start to his league career.
Eriksson said: "They are two young players and there is not much between them.
"But I think it would be seen as bad management by taking Kasper out of this game."
Brazilian midfielder Geovanni is expected to shake off a calf injury in time for the match.
Eriksson, who returns to Blackburn on Sunday as Manchester City manager, recalled his about-turn.
"I had signed a contract with Blackburn and phoned up (club owner) Jack Walker and asked if it was possible to change my mind," said the former England boss.
"I met him twice in England and Italy and told him I was prepared to pay compensation.
"He took the contract, did this (ripped it up) and said we would be friends forever.
"I do not feel bad about it. It happened many years ago.
"The first time I went back to Blackburn in my previous job, I wondered what people might say. But nothing happened."
Blackburn were labelled a violent side by Arsenal boss Arsene Wenger recently.
But Eriksson has nothing but admiration for the job carried out by his managerial counterpart Mark Hughes.
The two men's paths frequently crossed when Hughes was in charge of Wales.
Eriksson said: "I met him at many grounds when we were both looking at players.
"He is doing a great job at Blackburn. They are a good team, very strong. It will be a good test for us.
"I am not worried about what people say about them. We will just try and play our football."
City have hit the ground running under Eriksson, winning three of their four league games and progressing in the Carling Cup in midweek at the expense of Bristol City.
He is pleased with their progress.
"We made a lot of changes in midweek but still played some excellent football and got a victory, " he said.
"Perhaps we should have scored more goals but the performance was good for confidence.
"I am very happy with the way we have started although there is a long way to go.
"I did not really have any expectations when I arrived as we had not signed anyone.
"Then all the players started coming in and we began to play some excellent football.
"We are in a good position now and I would be happy if we were to retain that spot come Christmas."
Eriksson looks certain to recall his key players following the Cup victory.
Goalkeeper Kasper Schmeichel looks likely to replace Joe Hart between the posts after a bright start to his league career.
Eriksson said: "They are two young players and there is not much between them.
"But I think it would be seen as bad management by taking Kasper out of this game."
Brazilian midfielder Geovanni is expected to shake off a calf injury in time for the match.
Copyright (c) Press Association
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