The Premier League reportedly rejects Manchester City’s accusations that they “misled” the other 19 English top-flight clubs over Monday’s ruling on Associated Party Transactions (APT) rules.
The Premier League have reportedly rejected Manchester City‘s accusations that they “misled” the other 19 English top-flight clubs over Monday’s ruling on Associated Party Transactions (APT) rules.
Man City have claimed a landmark victory after a tribunal found that the Premier League’s APT rules, based on commercial deals involving clubs’ owners, to be unlawful.
APT rules are designed to make sure that any deals that a club does with a company connected to its own owners is fair market value, with the rules ensuring that any deals agreed have not been inflated, which could give clubs more to spend under current financial rules.
While Man City say their legal action had “succeeded”, the Premier League – led by chief executive Richard Masters – have stated that the tribunal rejected the majority of the Citizens’ challenges and “endorsed the overall objectives, framework and decision-making of the APT system”.
It has since come to light that Man City’s general counsel Simon Cliff has sent a letter to the other 19 Premier League clubs accusing the league of “misleading” them over Monday’s ruling, saying their statement contains “several inaccuracies”.
However, Sky Sports News reports that the Premier League rejects the notion in Cliff’s letter.
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Man City accuse PL of “misleading” other 19 clubs
As quoted by Sky Sports News, Cliff wrote an email which read: “Regrettably, the summary is misleading and contains several inaccuracies. Of even greater concern, however, is the Premier League’s suggestion that new APT rules should be passed within the next 10 days.
“When the Premier League consulted on and proposed the original APT Rules in late 2021, we pointed out that the process (which took several weeks) was rushed, ill-thought-out and would result in rules that were anti-competitive.
“The recent award has validated those concerns entirely. The tribunal has declared the APT rules to be unlawful. MCFC’s position is that this means that all of the APT rules are void, and have been since 2021.”
Cliff added: “While it is true that MCFC did not succeed with every point that it ran in its legal challenge, the club did not need to prove that the APT rules are unlawful for lots of different reasons.
“It is enough that they are unlawful for one reason. In the event, the tribunal found the APT rules are unlawful for three different sets of reasons.”
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The Premier League have stated that changes to the rules, that they are required to make as a result of the tribunal, could be made “quickly and effectively” and a meeting with all 20 clubs has been called for next Thursday to discuss those amendments.
However, Cliff has said that this is not the time for a “kneejerk reaction” in revising the rules and has warned that it could in fact lead to further legal proceedings. The need for “careful reflection” on how to proceed has been advised.
What happens next for Man City and the Premier League?
Man City initially had two commercial deals with Etihad Aviation Group and First Abu Dhabi Bank blocked by the Premier League, but the tribunal have said that the Premier League must look at those deals again.
It is possible that the Citizens could sue the Premier League and try to get compensation, as they will presumably feel that the blocking of both deals prevented the club from bringing more money into the club.
In addition, it remains to be seen how the verdict from this legal case could have implications for the separate case relating to the 115 financial charges levelled at Man City by the Premier League – the hearing on this matter is ongoing and began in mid-September.