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Or maybe it is an FA ruling. This is from Lomana Lua Lua's Wikipedia page (so it's veracity comes with typical Wiki caveats, but also suggests my memory that it was an incident involving Portsmouth might have been right): "In February 2004, after returning from the 2004 African Cup of Nations...

The rules were changed a couple of years ago (see link) but thinking about it, this might be a Premier League ruling, in which case the Football League might not necessarily have made the same ruling: http://news.arseblog.com/2011/11/arsene-wants-loan-rules-changed/

Yes. It used to be a term of the loan where the parent club would put a clause in re whether the player could or couldn't play against them, but the FA (or League or whoever) made it a standard rule of all loan deals a few years ago that NO LOAN PLAYER can play against their parent club. It was...