Jurgen Klopp claims he had a conversation with Liverpool club chiefs in which the question "Can we get Jadon Sancho?" was asked.
Liverpool were showing an interest in the 20-year-old when he was looking for a way out at Manchester City.
Klopp concedes that Liverpool quickly learnt they wouldn't be able to snap up the forward, because 'English clubs don't like to sell to other English clubs'.
But the German praised the fact Sancho was heading to the Bundesliga, which he described as wonderful, and a team he knows very well in Borussia Dortmund.
Klopp said in 2019: "Buying English players is a smart idea because we would never have a chance to get Sancho.
"We are not blind – we saw him, we liked him and then we think: 'Can we get him?' No.
"Because English clubs don't sell to other English clubs.
"I don't know exactly what the reason is for that but they don't do it. Now they can go to Germany, which is a wonderful league."
Sancho has spent the past three years at Dortmund, following his £8million transfer in 2017, but the England international is ready to return home.
He has been strongly linked with a transfer to Manchester United, but reports in Germany claim the forward would prefer a move to Liverpool.
Sancho is of the impression he'd win silverware more easily at Anfield, whereas it may take a few years at Old Trafford.
But as things stand, Liverpool are not in a financial position to sign £100m-rated Sancho.
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