The Independent Football Regulator (IFR) will hold the authority to compel Manchester City’s owners to sell the club if they are ultimately judged to have operated improperly, according to the watchdog’s chair, David Kogan.
Ongoing Appeal and Potential Penalties
Manchester City were previously found guilty by an independent commission of bypassing Premier League regulations through the establishment of sham commercial arrangements. The commission concluded these arrangements inflated revenues or cut costs by more than £900 million across nine seasons, alongside concerted efforts to obstruct the league’s investigation.
The club has appealed the verdict, arguing the decision contains clear material errors regarding law, principle, and fact, and is unsafe. Speaking on the podcast The Rest Is Football, as reported by Football | The Guardian, Kogan stated it was premature to discuss potential actions by his organisation while the appeal is active, though he confirmed the regulator’s ultimate authority.
“We have the power to ask an owner to step away from a club if we believe that they run a club in a way that is neither fit, fair or done with propriety,” Kogan said, according to Football | The Guardian. When asked if an owner could refuse to divest, Kogan answered: “No, no, no. We’ve got absolute power to do so.”
Investigation Stance and Regulatory Scrutiny
Regarding a potential IFR investigation into Manchester City, Kogan emphasized that rushing to conclusions would be a mistake before current questions are resolved. Kogan has previously promised to step down if political interference affects any IFR probe into the club, given potential diplomatic sensitivities between the United Kingdom and the United Arab Emirates. Manchester City are majority-owned by the Abu Dhabi United Group, an investment vehicle belonging to Sheikh Mansour bin Zayed al-Nahyan of the Abu Dhabi royal family.
Meanwhile, the United Kingdom’s accounting watchdog, the Financial Reporting Council (FRC), has initiated fresh scrutiny into the club’s finances. In a letter to a House of Commons committee, the FRC confirmed it assumed regulatory consideration of the situation on September 30, and is currently conducting preliminary enquiries to determine whether grounds exist for a formal investigation.
Source: Football | The Guardian
