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“Stunning twist” prepares for “launch” of “new legal challenge” with “new actions” imminent
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“Stunning twist” prepares for “launch” of “new legal challenge” with “new actions” imminent

Manchester City could “launch a new legal challenge” after their Premier League rivals voted in favor of changes to the APT rules.

At the beginning of 2023, Man City has been accused of breaking more than 100 Premier League financial fair play rules. After four years of investigation into their conduct between 2009 and 2018, they were referred to an independent commission.

Since this revelation, Pep GuardiolaThe Manchester United side were embroiled in a bitter battle with the Premier League as they insisted they were innocent.

This case has already dragged on longer than most would like, but it is a complicated situation and the potential consequences are serious. If found guilty, they could face a huge fine, points deduction, transfer ban, expulsion or be stripped of their Premier League titles.

Earlier this year, Man City launched another legal battle against the Premier League as they campaigned for the removal of rules on associated party transactions.

This separate hearing was likely to radically modify their FFP file. If they were successful, it is understood that a significant portion of their charges would become redundant.

READ: Pep Guardiola at Man City: A damning indictment of inferiority for each of the Big Six

While the FFP case is still ongoing, the APT hearing has already ended. Man City did not force the removal of the rules, but some elements of the rules were ruled to be illegal.

This forced the Premier League to change its regulations and opted to revert to the original rules implemented in 2021.

Man City opposed the move, but A majority of 16 Premier League teams’ clubs voted in favor of the changed rules on Friday.

Aston Villa, Newcastle United and Nottingham Forest supported City. A Premier League statement said: “At a meeting of Premier League shareholders today, clubs approved changes to the League’s rules on associated party transactions (APT).

“The changes to the rules respond to the findings of an arbitration tribunal following a legal challenge to the APT system by Manchester City earlier this year.”

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“The Premier League’s consultation with clubs has carried out a detailed study, based on multiple opinions from independent experts and senior counsel, to draft rule changes that address the necessary changes to the system.

“This concerns the integration of shareholder loan valuation, the removal of some of the changes made to the APT rules earlier this year and changes to the process by which the relevant information from the “data bank” of the League are shared with the advisors of a club.

“The purpose of the APT rules is to ensure that clubs cannot benefit from commercial agreements or cost reductions that are not at fair market value (FMV) by virtue of dealings with associated parties. These rules were introduced to provide a robust mechanism to safeguard the financial stability, integrity and competitive balance of the League.

A follow-up report Football Insider complaints Man City will “review their APT situation before taking further action” and “may launch a new legal challenge” after this “stunning turn of events”.

“Sources have told Football Insider that Man City could now look to challenge the APT rules again, as the amendments largely come from seeing the Premier League return to the original 2021 rules.

“Sources have told Football Insider that Pep Guardiola’s side will now likely look to take stock and review the situation before deciding whether to move forward with any further legal action.”