PL charge City for alleged breaches of financial rules

[Mr-Mertle]

I've always struggled with this "over-inflated sponsorship deal" debate.

Surely it's up to the sponsor how much they feel the deal is worth?

I personally never heard of the Etihad group prior to 2008.

I'm pretty sure that it's as much of a household name as Percil these days.

The Etihad one in particular has no legs to stand on. Both UEFA and CAS determined the deal with Etihad is fair value and aren't related parties. I'm sure the PL's argument is that they ARE related parties, but a tough hurdle to climb.

 

[bennyboy]

Hopefully not free buses to York away ;)

Not enough buses in the world for that one.

 

[halfcenturyup]

Well having read that instead of being confident I’m a little bit despondent now.

Relax. PB was talking hypothetically.

Afaik, nobody is questioning the value of the sponsorships. And the club proved to CAS that ADUG didn't pay any money to Etihad.

(You can stop reading here if you like)

But, if you have a moment, just consider what the PL is suggesting. They are saying Etihad entered into a sponsorship agreement at fair value but could only pay 8 milion of it and had to get funds from ADUG for the other 60 million. This is the Etihad that is funded by the government of Abu Dhabi, not known to be short of cash, and that funded losses at that time of a billion a year. They would make that arrangement for 60 million? It doesn't make any sense to me, no matter what evidence they think they have.

Add to that my opinion, that, assuming we accept the sponsorship was at fair value, the accounts give a true and fair view just as they are, then even that doesn't really matter. For reference, the club's accounts don't have to be either accurate (no accounts are accurate, they all have things wrong with them), or give a true and fair view of the club's financial position for PL purposes. They have to give a true and fair view to any "normal" reader of the accounts, say someone potentially trying to invest in the club. To that reader of the accounts, showing a fair value sponsorship as equity would actually distort the view given by the accounts, because they wouldn't show the true potential for income generation. Even if Mansour, in my opinion, delivered bags of cash over to Etihad himself on the backseat of his Maserati. Because it is the fair value of the contract and the fact the contract was fulfilled by both parties that determines the true and fair accounting treatment, not how it was funded. The PL may want a different treatment for their purposes, but the accounts, imho, are fine just as they are.

 

[Stoned Rose]

Same here, i have always thought it really odd.

If the Police interview you over a crime you are entitled to reply with "No comment"

So say you are accused of a robbery, brought in for a Police interview and answer "No comment" to every question. Assume this goes to court but the prosecution can't provide any evidence to prove the case, the case gets dismissed and thats it, the judge doesn't dismiss the case but give you 2 years for not giving the police the answers they wanted.

S49 of the Regulation of Investigatory Powers Act 2000 likes this.

 

[abu13]

S49 of the Regulation of Investigatory Powers Act 2000 likes this.

I have absolutely no idea what this is :)

 

[denislawsbackheel]

I've always struggled with this "over-inflated sponsorship deal" debate.

Surely it's up to the sponsor how much they feel the deal is worth?

I personally never heard of the Etihad group prior to 2008.

I'm pretty sure that it's as much of a household name as Percil these days.

Do you mean Persil?

 

[schfc6]

Didn’t know where to put this. But FFP changing with the wind in Europe.

I’d joke that they’ll come after us for inflating the Sterling fee if I didn’t think they might..

UEFA to introduce emergency rule blocking clubs from inflating transfer fees

The governing body's executive committee are set to vote on amendments to financial fair play rules during meeting next week and reports suggests a new proposal in wake of Juventus scandal could see an end to clubs selling players for more than the market says they are worth

www.mirror.co.uk

 

[journolud]

It might put a stop to the rags getting ripped off paying over the odds for shite players

 

[abu13]

Didn’t know where to put this. But FFP changing with the wind in Europe.

I’d joke that they’ll come after us for inflating the Sterling fee if I didn’t think they might..

UEFA to introduce emergency rule blocking clubs from inflating transfer fees

The governing body's executive committee are set to vote on amendments to financial fair play rules during meeting next week and reports suggests a new proposal in wake of Juventus scandal could see an end to clubs selling players for more than the market says they are worth

www.mirror.co.uk

The whole thing is an utter clusterfuck, while FFP sounds reasonable it is also anything but fair.

Uefa and the PL have dug a hole they can't get out of now.

 

[Mr Fraser]

Unless there is buy out clause surely acceptable fee decided by club until out of contract