Etihad to sue Premier League over Man City 114 financial breaches

Manchester City are preparing to appeal a £830.69 million funding judgment found against the club by an independent commission for alleged breaches of Premier League financial regulations. The commission concluded the club had artificially inflated revenue through sponsorship agreements and concealed liabilities. Manchester City denies wrongdoing and plans to argue that the disputed sponsorship payments were funded by the Abu Dhabi government, not their owners, Abu Dhabi United Group (ADUG).

The Premier League claims these arrangements constituted a disguised funding scheme to appear compliant with regulations. However, the commission rejected City's explanation, stating it was an account developed after the fact to conceal the true arrangements. City's Chairman Khaldoon Al Mubarak claims the club has "irrefutable evidence" supporting its position.

HM Revenue & Customs has also taken notice of the case, with the Treasury Committee chair requesting information on whether HMRC requested access to redacted documents within the commission's report. Etihad Airways, a principal sponsor, has rejected claims of improper commercial arrangements and is considering legal action over the publication of the commission's findings.

Manchester City's appeal will determine the validity of the commission's findings, while any separate examination by HMRC will determine whether the evidence raises issues within the tax authority's legal and regulatory remit.