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Man City’s £830.69 Million ‘Sham’ Deals: The Independent Commission Called Their Defense ‘Untrue’ and Now HMRC Is Watching

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Manchester City got hammered with 114 guilty charges by an independent commission on Tuesday, a bombshell finding for breaches of the Premier League’s financial rules stretching all the way back from the 2009-10 to the 2017-18 seasons. This isn’t just a slap on the wrist, it’s a full-blown financial scandal, and now the taxman wants a word.

The “Sham” Money and City’s Fight Back

The independent commission’s findings are brutal. They found City guilty of artificially inflating revenue through what they called “sham” sponsorship agreements, all with the help of their owners. We’re talking about the club utilizing “devices” to “disguise the true extent of certain club liabilities.” This whole setup, they say, was designed to make the club *look* like it was playing by Premier League and UEFA financial rules.

But hold up, City isn’t just taking this lying down. They’ve been denying guilt every step of the way and have already signaled they’re lodging an appeal by Friday. Their big argument for the appeal? They’ll claim key sponsorship deals were actually funded by the Abu Dhabi government, not directly by the club’s owners, the Abu Dhabi United Group (ADUG). Apparently, ADUG, which belongs to Sheikh Mansour, allegedly “topped up” commercial deals as part of a “disguised funding scheme” to the tune of a staggering £830.69 million. That’s some serious cash! City’s chairman, Khaldoon Al Mubarak, is even talking about “irrefutable evidence” to back their claims of innocence.

“Untrue” Claims and a Government Tax Probe

Here’s where it gets wild. The independent commission, after digging into all the evidence, straight-up rejected City’s argument that the Abu Dhabi government funded the sponsorships. They called it “untrue,” saying it was an “explanation” the club “concocted well after the event in an attempt to obscure and conceal the realities of the disguised funding scheme.” Ouch. City, naturally, is firing back, claiming the commission’s decision has “clear material errors, of law, principle and fact, and is unsafe.”

And if that wasn’t enough drama, His Majesty’s Revenue and Customs (HMRC) has now been urged to scrutinize the tax implications of this whole Manchester City case. The chair of a cross-party group of MPs has told the tax authority to get on it. Dame Meg Hillier, who chairs the Treasury Committee, wants “reassurance from HMRC that you are seized of the importance of these issues and the public interest in this case.” Even City’s principal sponsor, Etihad Airways, is considering legal action against the Premier League, claiming the release of the commission findings had “damaging implications” and “categorically rejects any finding, conclusion or implication that suggests the airline has ever been involved in improper commercial arrangements.” This is getting spicy, folks. Even though Premier League rules actually allow state-owned bodies to sponsor clubs, the nature of this “disguised funding” scheme is clearly under the microscope.

So, as City races to file their appeal by Friday, the stakes are skyrocketing. The independent commission has dropped its verdict, City’s fighting it tooth and nail, and now the government’s tax department is sniffing around. This isn’t just a soccer story anymore, it’s a full-blown financial and legal saga, and every eye will be on how this appeal plays out and what HMRC decides to do next.

This article was created with AI assistance and published under Seattle On Tap’s editorial standards. See our Editorial Policy.

Originally reported by Yahoo Sports.

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