The Premier League has released an official statement confirming that Manchester City have been found guilty of breaching the competitions’ financial rules over a nine-season period.
It noted that most of the charges are in relation to its failure to co-operate with the League’s investigation.
The independent commission found that between seasons 2009/10 and 2017/18:
– Manchester City arranged ‘sham’ contracts (which misrepresented the true agreement between the parties) with a number of its commercial partners, as well as relying on ‘sham’ agreements with others, to artificially inflate the club’s revenues and reduce its costs.
– The club filed misstated accounts and concealed the true state of its finances from its auditors and football regulators.
– Manchester City was significantly in breach of both the Premier League’s and UEFA’s spending limits.
– During the Premier League’s investigation, Manchester City committed multiple breaches of its duties of co-operation and utmost good faith towards the League (three of the four alleged breaches were upheld).
The independent commission determined that City arranged “sham” commercial deals with a number of its sponsors during the period, which were part of a disguised funding scheme, whereby those companies were only required to pay a portion of the relevant sponsorship fees.
The remainder was funded by Abu Dhabi United Group Investment & Development Ltd (ADUG), which owned the club.
As a result, City failed to accurately report its income and expenditure for the purposes of the Premier League’s Profitability and Sustainability Rules and UEFA’s Club Licensing and Financial Fair Play Rules.
Richard Masters, Chief Executive of the Premier League, said: “The core decision establishes the facts of what happened at Manchester City during this period. It details how the club systematically broke Premier League Rules for nearly a decade.
“It also vindicates the Premier League’s decision to pursue this case against Manchester City. While the process to date has been both long and difficult, the League has remained determined that the facts be established independently.
“It is a key responsibility of the Premier League to ensure that the Rules, approved by the clubs themselves, are upheld to protect the integrity of the competition. It is paramount that the League remains competitive and fair for all clubs and for the fans. We take that role extremely seriously.
“This disciplinary case, and this decision, are the most significant in Premier League history. There are elements of the case that remain to be decided, including, importantly, what sanction must follow for these breaches. Now we have the Commission’s decision, we are committed to moving swiftly through the remainder of the process, to provide certainty for the League, our clubs and fans.”
Source: Sport – Daily Post Nigeria
