Manchester City have been found guilty of all charges relating to alleged breaches of Premier League financial rules between 2009-10 and 2017-18, following an independent commission's investigation.
The Premier League said the commission found City had arranged "sham" commercial agreements with sponsors during the nine-season period as part of a disguised funding scheme. Under those arrangements, sponsors paid only part of the relevant fees, with the remainder funded by Abu Dhabi United Group Investment & Development Ltd (ADUG), then City's owner.
The commission also found further "sham arrangements" allowed City to record lower operating expenses than they actually incurred. According to the Premier League, the alleged schemes inflated the club's revenues and reduced its costs by more than £900m during the period in question.
Appeal and sanction timeline
The findings bring a major development in the long-running case, which was referred to an independent commission in 2023. The commission's process was separate from the Premier League and the club. The issue of sanctions will now be considered at a separate hearing involving the independent commission.
City, who have previously denied the allegations, have confirmed they will appeal the decision.
A Premier League statement reads: "Now that the charges have been proved, the issue of sanction will be addressed separately in a further hearing with the independent Commission. In accordance with Premier League rules, that hearing will remain private and confidential until such a time as publication of the outcome is permitted."
It could still be some time until a punishment is handed down, and will depend on the outcome of Man City's appeal. Rule W.92 says that an appeal shall be by way of a review of the evidence adduced before the commission and the parties shall be entitled to make oral representations.
Possible punishments
Given how many charges are involved, the new hearing is expected to take months, and potentially years. The Premier League said on Tuesday its "intention is that the full process (including any appeals and publication of relevant decisions) is concluded as soon as possible".
Rule W.95 states that, once the appeal is heard, a decision must be relayed to the parties within 30 days of the final day of the hearing. There is no timescale on the length of the hearing, though.
Premier League Rule W.64 sets out a range of potential punishments for clubs found guilty of financial breaches. These range from a fine, to a points deduction, suspension from competition and, the most serious, expulsion from the Premier League entirely.
The possible consequences for Manchester City have also raised the prospect of compensation claims from rival clubs. In November 2024, it was reported that Arsenal, Liverpool, Manchester United and Tottenham had formally reserved their rights to pursue compensation over potential losses they say could be linked to City's alleged breaches. The clubs' positions would allow them to consider claims depending on the eventual outcome and sanctions in the case.
