The Court of Arbitration for Sports (CAS) has annulled the ban placed on Manchester City that prevents them from participating in European competitions for two seasons.

According to a statement released by CAS on Monday, July 13, 2020, a panel of arbitrators in charge of the matter conducted a hearing for both parties following City’s appeal and concluded that “most of the alleged breaches reported by the Adjudicatory Chamber of the CFCB were either not established or time-barred” therefore “it was not appropriate to impose a ban on participating in UEFA’s club competitions for MCFC’s failure to cooperate with the CFCB’s investigations alone.”

The statement enlightened that the breach is entitled to a fine following the English club’s failure to cooperate earlier. The initial fine of € 27m has been reduced to €10m. They assured that “the final award with reasons will be published on the CAS website in a few days.”

City have accepted the ruling and commended the panel members for their diligence throughout the process.

“Whist Manchester City and its legal advisors are yet to review the full ruling by the Court of Arbitration for Sport (CAS), the Club welcomes the implications of today’s ruling as a validation of the Club’s position and the body of evidence that it was able to present.

“The Club wishes to thank the panel members for their diligence and the due process that they administered.”

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CAS revokes City's European ban

Full Statement:

The Court of Arbitration for Sport (CAS) has issued its decision in the arbitration procedure between Manchester City Football Club and the Union of European Football Associations (UEFA).

The case concerns an appeal filed by Manchester City FC (MCFC) against the decision of the Adjudicatory Chamber of the UEFA Club Financial Control Body (CFCB) dated 14 February 2020 in which it was deemed to have contravened UEFA’s Club Licensing and Financial Fair Play Regulations and sanctioned with exclusion from participation in UEFA club competitions in the next two seasons and ordered to pay a fine of EUR 30 million.

The Panel of arbitrators in charge of the matter, composed of Mr Rui Botica Santos (Portugal), President, Prof. Ulrich Haas (Germany) and Mr Andrew McDougall QC (France), conducted a hearing with the parties, their legal representatives, witnesses and experts on 8, 9 and 10 June 2020.

Following the hearing, the CAS Panel deliberated and concluded that the decision issued on 14 February 2020 by the Adjudicatory Chamber of the CFCB should be set aside and replaced by the following:

 a.) MCFC has contravened Article 56 of the Club Licensing and Financial Fair Play Regulations.

b.) MCFC shall pay a fine of EUR 10,000,000 to the UEFA, within 30 days as from the date of issuance of the arbitral award.

The CAS award emphasized that most of the alleged breaches reported by the Adjudicatory Chamber of the CFCB were either not established or time-barred. As the charges with respect to any dishonest concealment of equity funding were clearly more significant violations than obstructing the CFCB’s investigations, it was not appropriate to impose a ban on participating in UEFA’s club competitions for MCFC’s failure to cooperate with the CFCB’s investigations alone

However, considering

1. the financial resources of MCFC;
2. ii) the importance of the cooperation of clubs in investigations conducted by the CFCB, because of its limited investigative means; and
3. iii) MCFC’s disregard of such principle and its obstruction of the investigations, the CAS Panel found that a significant fine should be imposed on MCFC and considered it appropriate to reduce UEFA’s initial fine by 2/3, i.e. to the amount of EUR 10 million. The final award with reasons will be published on the CAS website in a few days