The new Independent Football Regulator (IFR) chair David Kogan has said he will resign if there is any Government interference in the Manchester City case.
Prime Minister Andy Burnham, formerly the Mayor of Greater Manchester, admitted he would be “really concerned” if the City owners decided to sell up after the club was found guilty of breaching Premier League spending rules.
Political Pressure and Investment Concerns
Burnham revealed he had a meeting with City chairman Khaldoon Al Mubarak and that the Abu Dhabi ownership has pumped millions into regenerating the area. That has led to warnings that the United Arab Emirates could halt investment into the United Kingdom depending on the severity of City’s punishment.
The IFR has the ultimate power of stripping ownership from clubs. City are appealing the verdict but could face a huge points deduction or even being expelled from the Premier League.
Kogan's Stance on Independence
Kogan said: “Let me be really, really clear about this. You’ll be aware that the original legislation brought in by the Conservative Government had in it a reference which we have to take some regard of some British trade relationships. That was removed from the legislation.
“Actually this was specifically discussed when it was going through Parliament so we are absolutely bound by one thing and that one thing is regulating football and regulating football clubs.
“Considerations beyond that are beyond our view and are not going to be part of any decision that we make about any outcome of any club that we regulate.
“Our independence is absolute and my independence personally is absolute. I made it very clear last year that if have any form of Government interference on the way we operate is going to result in me resigning from this role and I stand by that completely.
“I should say, to be crystal clear, we’ve come under absolutely no political pressure on this or any other topic and I don’t expect to in the future. Ministers know full well that we are going to act completely independently.”
Appeal and Potential Sanctions
City have lodged an appeal but there is no exact time scale when the final verdict will be delivered by a new independent panel. The sanctions can be dished out even before the appeal is completed.
They have been found guilty of creating “sham” contracts to over inflate commercial contracts to give them greater spending power over their Premier League rivals. It has caused a huge backlash from other clubs who are demanding strong action.
The new regulator has power to force a sale of a club if there has been criminal activity or they deem the ownership to be unsuitable. If it is proved City’s ownership have been complicit in false accounting the IFR could strip them of the club. The IFR’s new powers mean every club will have to apply for a licence with that process starting from next month.
City’s licence will not be in doubt while the appeal process goes on but that could change if the appeal fails.
Kogan added: “We have powers within the legislation which allow us to review the owners and directors and also senior executives and also whether those owners are fit and proper people to run clubs going forward.
“What we would do in that particular instance - we would already be across any accusations against that club and therefore we would be having a view of whether a licence could be awarded.
“We haven’t had that prospect yet because we don’t start licensing clubs until November but we will be looking at the criteria that we have put forward in the presentation as well as any other circumstances that may affect them.
“But let’s be clear, there’s an appeal process going on and we don’t know what the outcome of that appeal process might be so we can’t make any precipitation judgements on any individual case at this stage.
“The process is currently going through an appeal process and until we know the outcome of the appeal because it’s possible that Manchester City would argue - and this is what they’ve said right the way through - that they’ve got clear right on their side. That has to be tested by the new independent commission.”
