Man City Guilty of ‘Sham’ Deals in £900m Finance Case

Manchester City have been found guilty of systematically breaching Premier League financial rules over nine seasons, with an independent commission concluding that the club used artificial commercial arrangements to inflate income and reduce reported costs by more than £900 million.

The findings cover the period from 2009-10 to 2017-18 and represent the culmination of an investigation that began in 2018. Premier League chief executive Richard Masters described the ruling as the most significant disciplinary decision in the competition’s history.

Commission Finds Deliberate Attempts to Bypass Rules

The independent panel concluded that City deliberately structured financial arrangements to avoid Premier League regulations and present a misleading picture of the club’s finances.

According to the league’s published findings, some sponsorship agreements were effectively “sham” arrangements in which commercial partners paid only part of the amounts recorded by the club.

The remaining money was provided by Abu Dhabi United Group Investment and Development Ltd, known as ADUG, which owned Manchester City during the period examined by the commission.

The panel found that this allowed funding from the club’s owner to be presented as commercial revenue.

More Than £900 Million Impact on Club Finances

Investigators also identified arrangements that enabled Manchester City to report lower operating expenses than those actually incurred, including costs connected with player and coaching salaries.

Taken together, the practices increased reported revenues and reduced costs by more than £900 million during the nine seasons under investigation.

The commission concluded that the resulting financial statements did not accurately reflect the club’s position and that important information had been withheld from auditors and football authorities.

Had the club reported its finances accurately, the panel found that Manchester City would have exceeded Premier League and UEFA spending limits by what it described as a “very substantial amount”.

City Accused of Frustrating League Investigation

The commission also found Manchester City guilty of repeatedly failing to meet its obligation to cooperate with the Premier League investigation.

According to the findings, the club made “concerted efforts” to obstruct and frustrate the inquiry after it began in 2018.

The disciplinary hearing itself took place between September and December 2024. The commission acknowledged that the length of time required to reach its decision was regrettable.

The panel considered extensive evidence, including documents submitted during the proceedings and more than 7,000 pages of verbatim transcripts covering testimony from witnesses and experts.

Premier League Calls Decision Historic

Masters said the ruling established what had happened at Manchester City during the period and showed that the club had systematically violated league regulations for almost a decade.

He said the decision also supported the Premier League’s decision to pursue the investigation despite the complexity and length of the proceedings.

Masters stressed that enforcing rules agreed by Premier League clubs was essential to maintaining a fair and competitive competition.

He described the case and the commission’s ruling as unprecedented in Premier League history, while noting that a crucial part of the process remains unresolved.

Separate Hearing to Decide City's Punishment

No punishment has yet been imposed. The independent commission will consider possible sanctions at a separate hearing.

The scale and nature of the breaches are expected to be central to that process, particularly the commission’s conclusion that Manchester City deliberately sought to circumvent financial regulations.

The Premier League said it intends to move quickly through the remaining stages of the case to provide clarity for clubs and supporters.

Manchester City has rejected the commission’s conclusions and confirmed that it intends to appeal.

The club said the ruling contains what it considers significant errors involving law, principle and fact, and argued that the decision is therefore unsafe.

Until the appeal and sanctions process is completed, the final consequences for Manchester City remain unresolved.

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30 September 2026