Manchester City charges: Premier League clubs seek legal advice over possible compensation
Premier League clubs are seeking legal advice about compensation after Manchester City were found guilty of the vast majority of 115 breaches of financial rules they had been accused of by the Premier League.
The news that City had been found guilty was broken by the Athletic,, external which reported that 114 of the 115 counts were upheld.
No official announcement has been made by the Premier League, which has declined to comment.
Manchester City were accused of a wide-range of rule breaches which centred around claims that they inflated sponsorship revenue from connected companies and made other "off the books" payments to circumvent football's financial rules.
And one possibility emerging is that rival Premier League sides may take legal action for compensation, claiming they have been impacted by City's actions.
One source, who held a senior executive position at one Premier League club before moving to another, said they expected clubs to submit individual compensation claims against Manchester City.
Such a move is not unprecedented. In June, Everton were told they must pay Burnley £35m after they broke profit and sustainability regulations (PSR) over a three-year period.
Everton have appealed, with sources saying they would "robustly and thoroughly" contest the ruling, but it provides an interesting backdrop to the Manchester City case.
Other Premier League clubs have been formally told about the independent panel's decision. A select group of club directors were informed by email and had to sign a non-disclosure agreement before they could read the document, a source told the BBC. It is not yet known when the decision of the panel will be announced officially.
Manchester City deny wrongdoing but being found guilty on the most serious charges means they could be looking at a points deduction serious enough to relegate them, large fines or even expulsion from the Premier League
A sanctions hearing will need to take place to decide the punishment. That has not happened yet and could take months.
An appeal would then take place - and while it is possible the punishment is not made public until after that, there remains the possibility that any sanctions will be communicated before any appeal takes place
Dive deeper
- Premier League clubs are seeking legal advice about compensation after Manchester City were found guilty of the vast majority of 115 breaches of financial rules they had been accused of by the Premier League.
- The news that City had been found guilty was broken by the Athletic,, external which reported that 114 of the 115 counts were upheld.
- No official announcement has been made by the Premier League, which has declined to comment.
- Manchester City were accused of a wide-range of rule breaches which centred around claims that they inflated sponsorship revenue from connected companies and made other "off the books" payments to circumvent football's financial rules.
- And one possibility emerging is that rival Premier League sides may take legal action for compensation, claiming they have been impacted by City's actions.