Leicester City have successfully appealed against a decision that could have led to a 10-point deduction after being found in violation of the Premier League’s Profit and Sustainability Rules.
Last season, Leicester were charged with breaching PSR, which are designed to ensure that clubs operate within their financial means.
The club argued that their relegation to the Championship exempted them from penalties, since they were no longer in the Premier League when they submitted their accounts.
However, an independent commission dismissed this argument and upheld the charges against Leicester.
Leicester City appealed the decision, and an independent panel has now ruled in their favour.
According to BBC, the panel found that the Premier League did not have the jurisdiction to punish the club, as their accounting period ended after their relegation to the EFL Championship.
This ruling prevents a potential 10-point deduction that could have impacted the club’s future in the Premier League.
The PSR rules have already had significant consequences for several Premier League clubs.
Last season, Nottingham Forest and Everton faced points deductions for similar breaches, highlighting the strict enforcement of these financial regulations.
The rules have made clubs cautious in their transfer dealings this summer, forcing them to sell players and raise significant funds to balance their books.
Despite the stringent enforcement of PSR on smaller clubs, there is growing discontent among fans and smaller clubs regarding the perceived lack of action against larger clubs like Manchester City. Manchester City faces 115 charges of financial breaches, yet they continue to go unpunished, leading to a belief that smaller clubs are being unfairly targeted while giants remain untouched.
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