The case was as “serious as it gets”, dealing with off-the-books payments, serial title-winners and deliberate dishonesty.
Where have you heard that before? While there are significant differences between Chelsea’s secret payments case, which has earned them a £10m record fine from the Premier League, and Manchester City’s looming “115” verdict, some experts believe Monday’s judgements paves the way for a realistic scenario where the latter is punished by fines and a transfer ban rather than a whopping points deduction if they’re found guilty.
“It [potentially] gives the Premier League a little bit of a problem when it comes to future cases because [other clubs] will refer to this in terms of how to deal with sanctions,” says Stefan Borson, football finance expert and Head of Sport at law firm McCarthy Denning.
He believes Chelsea have had a “brilliant result” in avoiding the sporting sanctions slapped on Everton and Nottingham Forest for their breaches of Profitability and Sustainability Rules (PSR).
Football finance expert Kieran Maguire agrees. “Given that City have been charged with off-book payments as part of the 115 [charges] you would imagine they would be pleased with this verdict,” he told The i Paper.
It is 15 months since an independent commission into the City case concluded and there remains no indication that a verdict on multiple charges related to breaches of financial fair play rules is close. Few now expect it before the end of the current season.
But seasoned experts in football governance believe there is reason for City cheer in the way Chelsea have been dealt with for making £47m of secret payments to third parties and unregistered agents in the years between 2011 and 2018.
The Blues’ new ownership self-reported the offence, avoiding any points deduction despite what analysts view as transgressions that are “as serious as they come”.
Chelsea were punished with a record fine (Photo: PA)Manchester City have had lurid headlines about relegation, a possible 60-point deduction and even have titles taken from them – so a big fine and transfer ban would feel like a let-off if the charges are found to be proven. The club have always denied wrongdoing.
“They are different situations. I don’t think City would be able to argue, with a straight face, for exceptional cooperation mitigation so that is an immediate differentiator,” Mr Borson says.
“But this case does undermine the seriousness of concealment and deliberate acts when it comes to financial matters of football clubs, so long as there is no consequential breaching of PSR.
“So City will be able to at least construct an argument for why a big points deduction is not a starting point in their case if they are found guilty. Based on this case they could argue the starting point should be a fine if only some of the allegations are proven.”
One Premier League executive agreed, telling The i Paper that the punishment felt “lenient”.
The view of sources close to the Premier League is that comparing the Chelsea case to that of Everton or Nottingham Forest’s PSR breach – or City’s looming charges – is like “comparing oranges and apples”.
This was a sanction hearing – where wrongdoing was admitted by Chelsea – rather than an independent commission like the one City went through. Chelsea’s new ownership group disclosed offences that would never have been uncovered without their “extraordinary cooperation”.
And the Premier League has stressed that even with the secret payments taken into account, the Blues would not have breached PSR in any of the years under scrutiny.
At the very least, though, the Chelsea case has given those eagerly awaiting the City verdict food for thought.
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