With both Manchester City and the Premier League claiming victory over the Associated Party Transactions verdict by an independent tribunal, the war between both parties is heating up.
The Independent’s chief football writer, Miguel Delaney, yesterday wrote that a source described Manchester City’s ongoing legal action against the Premier League as a “war” and that Premier League club executives fear the competition’s governance “could effectively go into stasis.”
While Manchester City believe they secured a significant victory over the Premier League after the Tribunal concluded current Associated Party Transaction (APT) Rules are anti-competitive, the Premier League have countered by stating the ruling is actually a clear endorsement of their rulebook.
But the APT is only a small part of a much bigger legal tussle between Manchester City and the Premier League.
The tribunal’s verdict does not directly address the 115 separate charges of financial misconduct brought against City by the Premier League.
The APT dispute is an isolated matter, and the outcome of the tribunal’s decision does not impact the Premier League’s ongoing investigation into City’s alleged financial rule breaches.
As a result, Man City still face significant challenges in defending themselves against these charges, which could lead to severe penalties if found guilty.
Background on the 115 Charges
The Abu Dhabi club are accused of 115 violations of the Premier League’s financial regulations, which span nine years from 2009 to 2018. These charges cover various aspects of financial misconduct, making it one of the most extensive disciplinary actions in the history of English football.
City, who have dominated English football with four consecutive Premier League titles and a historic 2022/23 treble that included the Champions League and FA Cup, have consistently denied any wrongdoing. The club maintains that a “comprehensive body of irrefutable evidence” will support its defence.
The Premier League’s investigation, which culminated in February 2023 with the announcement of charges, has been ongoing for over 18 months. Compared to other recent Financial Fair Play (FFP) cases involving clubs like Everton and Nottingham Forest, which dealt with individual breaches over shorter periods, Manchester City’s case is far more complex, covering multiple violations over nearly a decade.
Legal Proceedings and Hearing
Much of the past year and a half has been consumed by legal groundwork, focusing on the rules governing the hearing’s format, evidence disclosure, and witness identities. In September 2024, the formal hearing began at the International Dispute Resolution Centre in London. A three-person panel, selected by Murray Rosen KC, will review evidence presented by Manchester City’s legal team and Premier League representatives. This panel could include any of the 15 members from the Premier League’s judicial panel, along with external experts for arbitration cases.
The complexity of the cases, along with Manchester City’s alleged non-cooperation with the Premier League, has delayed the hearing. These allegations of non-compliance are also a significant part of the charges. A final ruling is not expected until early 2025, though a decision is anticipated before the conclusion of the 2024/25 season.
While the 115 charges are distinct from City’s legal victory in the APTs case, the potential consequences of the Premier League’s investigation could be far-reaching if the club is found guilty.
What Are the 115 Charges Against Manchester City?
Man City’s 115 charges were primarily related to accusations of inflating sponsorship revenues and underreporting salaries and image-rights payments. In 2021, the Premier League won a legal battle to force City to disclose information the club had tried to keep confidential, and this data is expected to be critical in the case. Although some reports suggest there may be as many as 130 breaches, the official count remains 115, divided into the following five key categories:
Fifty-four Charges for Failure to Provide Accurate Financial Information (2009/10 to 2017/18)
Man City allegedly failed to provide accurate financial information over a nine-year period, which is crucial for complying with Premier League financial regulations.
Fourteen Charges for Failure to Provide Accurate Reports on Player and Manager Compensation (2009/10 to 2017/18)
These charges relate to City’s failure to fully declare payments to players and managers, violating Premier League reporting standards.
Five Charges for Failure to Comply with UEFA Regulations, Including Financial Fair Play (FFP)
The Sky Blues were also accused of breaching UEFA’s FFP regulations, which govern club spending relative to their income.
Seven Charges for Breaching Premier League Profitability and Sustainability Rules (PSR) (2015/16 to 2017/18)
The Citizens allegedly failed to comply with the league’s financial sustainability rules over three years.
Thirty-five Charges for Failure to Cooperate with Premier League Investigations (December 2018 to February 2023)
The club was also accused of not cooperating fully with the Premier League’s investigation into their financial activities, spanning over four years.
Possible Punishments if City Are Found Guilty
Should Manchester City be found guilty, the Premier League’s rules provide the independent panel with potential punishments. These could vary from financial penalties to more severe sporting sanctions. Potential consequences include:
Suspension from playing in the Premier League
Points deduction
Expulsion from the Premier League
Ban on registering new players
Requirement to replay certain league matches
Fines
Could Mancity appeal a guilty verdict?
If the panel rules against Manchester City, the club has the option to appeal under Premier League rules. However, the Court of Arbitration for Sport (CAS) is not an available route for appealing this decision, limiting City’s options for further legal recourse.
The final outcome of the case will not only impact Man City’s future in English football but could also reshape the Premier League’s financial regulatory framework moving forward.
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