Highly unlikely considering they had that badge about 10 years before our current one which shows just how ridiculous this cease and desist from City is. There's numerous club badges that predate our latest badge which are similar.
The club was founded on the 25th April 2020, by Agent/Footballer Jorge Sotomayor, during the pandemic. One of six new clubs agreed to start the new season by the governing FA. The date tallies with the creation of Twitter, Facebook and Instagram accounts which were created between June and December 2020.
Link to Article
Follow Up Article
As mentioned above, from a global brand perspective a cease and desist letter to protect IP and brand is pretty standard - morally, ethically I'm not sure I'm fussed. As others have mentioned it's potentially flattering. But there is no doubt in my mind at least that it's a lazy attempt to piggyback on our successes. Using similar font's, a logo that borrows heavily from ours and kit colours that are also similar.
Oh and their website sancity.cl has been suspended
A good outcome for me is a friendly slap on the back and a bit of cash to help cover the costs of rebranding and set up some infrastructure. But I'm a big softie and don't run a globally recognised brand.