- Man City in legal battle over financial irregularities
- If successful, will allow ‘unlimited spending’
- Man City face 115 charges
WHAT HAPPENED?
City are challenging the Premier League’s associated party transaction (APT) rules in court, arguing that they are ‘unlawful’. If the club are successful, it would mean the current rules which place a cap on sponsorship would be lifted. Football Insider’s Pete O’Rourke warns that this would allow further flexibility to work within the Premier League’s profit and sustainability rules and grant City extra freedom to invest heavily on transfers.
WHAT O’ROURKE SAID
On Football Insider’s Inside Track podcast, O’Rourke explained: “For the rest of the Premier League it is quite concerning that if Man City were to win this case, they could have unlimited spending power. Look at them right now, they are almost untouchable in the Premier League. Is the Premier League going to become like Ligue 1 in France, with PSG just being the dominant force? Manchester City are already the dominant force in the Premier League, with so much success on the pitch as well.”
THE BIGGER PICTURE
City have won the last four Premier League titles – five in the last six years – and have secured a relative stronghold on the division. Despite this, the club argue that the existing rules are discriminatory and represent a ‘tyranny of the majority’. There have been further calls for the club, who face 115 charges of financial irregularities, to be expelled from the league.
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WHAT NEXT FOR MAN CITY?
The legal case between the Premier League and Manchester City will take significant time to resolve. This case against of the existing rules by City is an unprecedented challenge of existing financial rules and, whatever the outcome, will have significant consequences for the Premier League. The threat of City being granted ‘unlimited spending power’ will concern clubs who will point to the existing 115 charges as an example of the club already using their financial muscle unfairly.
