I think this is a interesting question, and the answer to that Geordie tosser’s question is “there is no reason at all in principle but this is what the majority of the league’s clubs decided should be the rule.” And the APT tribunal agreed that it was a legitimate position for the PL. to take.
But make no mistake, after 30 years of not having a rule that preclude dealings between associated parties, the majority of the PL decided that they should have such a rule within days of the Newcastle takeover being announced.
Go figure.
In the same way, after years of not having those sorts of regulations, UEFA decided it was necessary to introduce FFP at precisely the time City were looking to sign Kaka. Again, go figure.
There is undoubtedly an argument to be made that football should not be a complete free-for-all. There is equally an argument to be made that it should be.
It seems to me we have ended with the worst of both worlds, where regulations have been imposed which do not provide a level playing field, are of questionable legality, appear to be applied inconsistently from one club to the next, and where disciplinary charges appear to be motivated by personal animosity on the part of the PL chief executive.