Manchester City to appeal after commission finds financial breaches

Manchester City arranged sham commercial agreements, misstated their accounts and concealed the true state of their finances from auditors and football regulators, according to a decision published by the Premier League.The independent commission upheld all charges concerning serious financial breaches between the 2009/10 and 2017/18 seasons, along with three of four allegations relating to City’s failure to co-operate with the League’s investigation.Premier League chief executive Richard Masters 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.”City rejected the findings, maintaining that evidence supports their position and that the commission’s decision contains errors of law, principle and fact.The club said: “The Club is innocent of the accusations made by the Premier League and a comprehensive body of irrefutable evidence exists in support of all of its positions, relating to this case.”City said they would pursue an appeal and challenge the decision through appropriate regulatory and legal channels, while stressing that the disciplinary process remains unfinished.The commission found that several commercial partners paid only part of the sponsorship fees recorded by City, with the remainder funded by Abu Dhabi United Group Investment & Development Ltd, which owned the club.Other arrangements funded by the owner enabled City to report lower operating expenses than they had incurred, while a circular transaction involving Fordham, which purchased the club’s players’ image rights, also formed part of the scheme.According to the commission, these arrangements inflated revenues and reduced costs by more than £900m during the affected period, creating the appearance that City complied with financial rules.The commission concluded that “by its conduct the club clearly intended to circumvent the PL Rules”, finding that accurate accounts would have shown substantial breaches of Premier League and UEFA spending limits.It also found that City had “made concerted efforts to stop and frustrate the PL investigation” during the four-year inquiry, breaching duties to co-operate and act in utmost good faith.Masters added: “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.”City challenged the fairness of the process, saying they had respected due process for eight years on the understanding that the Premier League Board and executive would act as an independent and impartial regulator.No sanction has been imposed, and a separate private hearing will determine the consequences of the commission’s findings, subject to City’s appeal.Premier League rules give commissions broad discretion over penalties, including fines, points deductions and other sporting sanctions, but the outcome of this case remains undecided.City have until Friday, October 2, to appeal, while the League says it wants the remaining proceedings, including any appeal and publication of decisions, concluded as soon as possible.Masters said: “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.”The Premier League began investigating City in December 2018 and referred the case to an independent commission in February 2023, before a 42-day hearing concluded in December 2024.The published ruling establishes the commission’s findings, but City’s challenge and the separate sanctions process mean the final consequences remain unresolved.