Manchester City is set to argue that key sponsorship deals were funded by the Abu Dhabi government, rather than the club's owners, as part of an appeal against charges of breaching Premier League financial regulations. The club was found guilty of all charges relating to breaches between the 2009-10 and 2017-18 seasons. City has repeatedly denied guilt and signaled an intent to lodge an appeal by Friday.
An independent commission found City guilty of artificially inflating revenue through "sham" sponsorship agreements with the help of its owners. Abu Dhabi United Group (ADUG), a private investment company belonging to UAE vice-president and deputy prime minister Sheikh Mansour, was said to have topped up the value of commercial deals as part of a "disguised funding scheme" to the scale of £830.69m.
City is expected to tell an appeal board that it has evidence showing the money directed to sponsors came from the Abu Dhabi government, rather than from ADUG. However, the independent commission rejected this argument as "untrue" in its findings. The commission said it was an "explanation" that the club had concocted well after the event in an attempt to obscure and conceal the realities of the disguised funding scheme.
City has claimed the commission's decision contained "clear material errors, of law, principle and fact, and is unsafe". The club's chairman, Khaldoon Al Mubarak, referred to "irrefutable evidence" that he claimed supports the club's claims of innocence. Premier League rules allow state-owned bodies to sponsor clubs.
Etihad Airways, City's principal sponsor, has said it is considering legal action against the Premier League, claiming the release of the commission findings had "damaging implications…despite the airline not being named in the redacted published findings". The UAE's state-owned national airline said it "categorically rejects any finding, conclusion or implication that suggests the airline has ever been involved in improper commercial arrangements".
Etihad is owned by sovereign wealth fund L'Imad, which is chaired by the Crown Prince of Abu Dhabi, the son of the UAE president. ADUG took over City in 2008. Sheikh Mansour is a member of the ruling family of Abu Dhabi, and the brother of UAE President Sheikh Mohamed bin Zayed Al Nahyan.
The Premier League declined to comment when contacted by BBC Sport. City's appeal is set to be a significant development in the case, with the club seeking to overturn the charges of breaching financial regulations.
Key points
- Manchester City will claim Abu Dhabi government backed key sponsorship deals as part of an appeal against Premier League financial breach charges.
- The club was found guilty of artificially inflating revenue through "sham" sponsorship agreements with the help of its owners.
- Etihad Airways is considering legal action against the Premier League over the release of the commission findings.
