Manchester City Could Oblige ‘Unlimited Compensation’ to fellow EPL clubs Over FFP Charges.
The English champions Manchester City have been charged with alleged 115 rules breaches of Premier League FFP terms of ‘Profit and Sustainability Rules’. Reportedly, the independent commission has been set up for the hearing of Manchester City’s charged violation of financial laws and could start next month in September. This means the Premier League clubs will have to lodge their legal objection against the City before the judgement of the Independent Commission.
In a recent turn of events, Citizen’s former financial advisor Stefan Borson has claimed that the club might be forced to pay an ‘Unlimited compensation’ if the charges are proven against City in the hearing of the Independent Commission.
“It’s not suing, the Premier League clubs agree to only arbitrate disputes between themselves, which is effectively private hearings of the type they are going through with the associated party transactions,” Borson told Football Insider
“Likewise, under the FA rules, all parties agree only to arbitration. This won’t be suing in the courts and there won’t even be the possibility for appeal to the Court of Arbitration for Sport, so there are very limited ways in which clubs can take action against each other.”
He added, “In this case, under the Premier League rules prosecuting City, rule W.51.5 gives the independent commission hearing City’s case the power to award unlimited compensation to any other parties.
“You would think it’s likely that if there are findings against City, that the clubs would want to explore routes in which they could indeed get compensation out of either the independent commission themselves or at a follow-up arbitration down the line.”
“It is going to be very complicated if there are findings against City and other clubs express a desire to seek compensation. That process in itself is going to be extraordinarily complex and time-consuming. At the moment, we really have got no collar on how that might work.”