Thursday, June 30, 2022

LaLiga files lawsuit against Manchester City over alleged FFP breach

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LaLiga said it had filed a complaint with Uefa against Manchester City, alleging that the Premier League champions “continually breach current Financial Fair Play (FFP) rules” laid down by European football’s governing body.

The Spanish league said in a statement it filed its complaint against City in April, while a separate case was launched against French champions Paris Saint-Germain last week.

LaLiga added that their complaints could be “augmented with new information”. It comes as City announced on Monday the signing of Borussia Dortmund striker Erling Haaland, who has also been a target from Spanish giants Barcelona and Real Madrid.

LaLiga president Javier Tebas last month accused PSG of “cheating” FFP regulations when he renewed star striker Kylian Mbappe’s contract, who has been linked with a move to Spanish champions Real Madrid for over a year became.

In their statement, LaLiga claimed that City and PSG’s alleged breach of FFP rules is transforming the “ecosystem and sustainability of football”.

LaLiga also targeted the “state-funded” clubs, with PSG owned by state-owned Qatar Sports Investments and City owned by Abu Dhabi. “LaLiga understands that the irregular funding of these clubs is either through direct cash injections or through sponsorship and other deals that do not reflect market conditions and do not make commercial sense,” the statement continued.

LaLiga said it has hired law firms in France and Switzerland to take legal action before French authorities and the European Union “as soon as possible”.

In 2017 and 2018, LaLiga also filed complaints against City and PSG for breaching financial fair play rules, leading to sanctions from Uefa. However, City and PSG appealed to the Court of Arbitration for Sport (CAS), which ruled in favor of the two clubs, a decision the Spanish league called “bizarre”.

LaLiga also announced that they are “assessing various legal options in Switzerland” against PSG president Nasser Al-Khelaifi over “potential conflicts of interest” arising from his different roles as head of the French club and his different roles in Uefa, the European Club Association and BeIN Sports revealed.

Information from Reuters was used in this report

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