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Football, Connected

LALIGA CONDEMNS PSG AND MANCHESTER CITY FOR VIOLATING FINANCIAL FAIR PLAY RULES

June 17, 2022
|
Clubs & Rightsholders,Commercial & Sponsorship,Finance & Regulation,Social Responsibility
LaLiga continues to fulfil its responsibility to defend financial fair play and sustainable football in Europe.

This week, LaLiga has filed a complaint with UEFA against PSG, which adds to another against Manchester City in April, on the grounds that these clubs are in continuous breach of the current financial fair play rules.

LaLiga considers that these practices alter the ecosystem and sustainability of football, harm all European clubs and leagues, and only serve to artificially inflate the market, with money not generated within football itself.

LaLiga understands that the irregular financing of these clubs is carried out either through direct injections of money or through sponsorship and other contracts that do not correspond to market conditions and do not make economic sense.

The complaint against Manchester City was lodged with UEFA in April and the complaint against PSG was filed last week, and it cannot be ruled out that in the coming days any of these complaints will be broadened with the addition of new information.

In addition, LaLiga has hired law firms in France and Switzerland, including the French law firm of lawyer Juan Branco, with the aim of taking administrative and legal action before the relevant bodies in France and the European Union as soon as possible.

In Switzerland, LaLiga is looking into different representation options due to possible conflicts of interest for Nasser Al-Khelaïfi arising from his various roles at PSG, UEFA, the ECA and BeIN Sports.

This is not the first time that LaLiga has reported these anti-competitive practices to UEFA. The Spanish organisation has always been at the forefront in the defence of economic control. In 2017 and 2018, it filed submissions with UEFA against PSG and Manchester City for breaching financial fair play, which resulted in UEFA sanctions against both “state clubs”, although these were subsequently overturned by bizarre CAS rulings.

LaLiga’s allegations, as well as the recent statements made by the Spanish clubs’ association in this regard, are based on data, plus detailed monitoring and analysis of the audited accounts of the two clubs.

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