Manchester City faces an uncertain future after being accused of serious violations

The English Premier League accused the club, which was acquired by the Abu Dhabi United Group for Development and Investment, owned by Sheikh Mansour bin Zayed Al Nahyan, of committing more than 100 violations of its financial rules between the 2009-2010 and 2017-2018 seasons, and it was referred to an independent investigation committee.

The England champions have also been accused of failing to cooperate with investigations by the League.

In the event that the conviction is proven, the penalties range from a warning to deduction of points, and even the League’s recommendation to exclude the club from the tournament.

City, which last month topped Deloitte’s list of the world’s richest clubs, seems confident of its ability to weather the storm, insisting there is “irrefutable” evidence supporting its case.

It is not the first time that the club has entered into legal controversy over financial issues, as City was fined 60 million euros ($ 64 million) in 2014 for breaching the UEFA Financial Fair Play regulations.

The club was also banned for two years from UEFA competitions in February 2020 by European football’s governing body for “serious financial breaches of fair play”, but the punishment was overturned by the Court of Arbitration for Sport later that year.

Last year, City manager Pep Guardiola made it clear he would walk away from the club if he found out he had been lied to by the club’s owners, a worst-case scenario for City, who have won four of the last five Premier League titles under his leadership.

– ‘Industrial scale’ –

Henry Winter, chief football writer for The Times, said City faced “allegations of wrongdoing on an industrial scale… If proven, the penalty that might follow should be designed to deter others who think they can copy from City’s book.” .

But Simon Chadwick, professor of sports and geopolitical economics at Schema Business School in Paris, said broader issues are at play.

He indicated that the British government would soon publish a white paper, an advisory document, that might form the basis of legislation, which is expected to support the creation of an independent football regulatory body.

“The Premier League is caught between a rock and a hard place because it feels pressure from government to take a more aggressive approach to finance and governance, but also realizes that government is essentially letting him do his dirty work for it,” Chadwick said.

Football finance expert Kieran Maguire also sheds light on the political context of the government’s campaign to change the management of football.

He explained, “The English Premier League opposes the existence of an independent regulator in football, and I do not want to take the path of a huge conspiracy, but the Premier League wants to prove to all interested parties that it is able to preserve its home.”

“If the British competitive advantage in football is not undermined, you will not have a signal being sent to Abu Dhabi, the United States, Saudi Arabia and others that Britain will impose strict rules on foreign investors,” he added.

Neither Maguire nor Chadwick believe City face a realistic prospect of relegation, with the latter believing a settlement is the most likely outcome of what might be a long run.

Are there broader repercussions for the clubs actually supported by countries such as City and Paris Saint-Germain, which is owned by Qatar?

“This is a struggle of our time,” said Chadwick, who stresses the importance of foreign money in English football. “It’s a national federation trying to impose rules on non-local organizations that operate across international borders, often with the support or help of state governments.”

“The British government and the English Premier League cannot arouse discontent, push and drive away potential foreign investment, especially post-Brexit, during this very difficult economic period,” he added.

Chadwick believes the eventual outcome of the Manchester City case will be one that “shows capitulation on the part of the Premier League and the British government”.

“But the way it will ultimately be woven in will be that the government and the Premier League have protected their assets and upheld certain principles of good governance.”