Chelsea have found themselves in hot water with governing body UEFA, with the body set to determine the Premier League high-flyers’ punishment in relation to overspending
Chelsea are in line for a UEFA fine after breaching limits on financial losses, it has been claimed. The European football governing body is understood to be unwilling to allow the Blues to include the sale of their women’s team as income.
The club sold their women’s team to a sister company for a sum in the region of £200million. They had previously sold hotels to another sister company.
According to The Times, Chelsea and UEFA are in talks over the punishment for the London club. The publication suggests a fine and a spending plan are the most likely outcomes.
It has been suggested that further breaches could bring about a ban from European competition. The final outcome of any settlement between the club and the governing body is expected in May, The Times reports.
Chelsea are competing in the UEFA Conference League this season. They finished top of the league phase table with maximum points and beat FC Copenhagen in the round of 16 to set up a quarter-final meeting with Legia Warszawa.
On Monday, Chelsea announced pre-tax profits of £128.4m, in part due to the “repositioning” of the women’s team. The club pointed to “a profit on disposal of subsidiaries of £198.7m,” understood to largely be down to the sale of the women’s team to BlueCo.
The Times notes that UEFA and the Premier League have different rules when it comes to selling assets to sister companies. UEFA sets a maximum of £170m worth of losses over a three-year period, and the removal of £200m from the income column takes the Blues over that threshold.
There will be more to follow on this breaking news story and Mirror Sport will bring you the very latest updates, pictures and video as soon as possible.
Please check back regularly for updates on this developing story.
Follow us on Google News, Flipboard, Apple News, Twitter, Facebook or visit The Mirror homepage.