Chelsea’s Sanctions for Historical Breaches
Chelsea Football Club has been fined £10m and received a suspended ban from registering new players for two transfer windows. This decision follows breaches of rules related to payments to agents between 2009 and 2022. The club’s current owners, Todd Boehly and Clearlake Capital, self-reported 74 breaches of Football Association rules upon purchasing the club in 2022.
The club admitted to making £47m in undisclosed payments to unregistered agents and third parties concerning transfers between 2011 and 2018. These breaches occurred during the tenure of former owner Roman Abramovich. The FA stated that the £10m fine will be invested into grassroots football.
An earlier independent commission had imposed a suspended six-point deduction, which was set to last until June 30, 2027. However, this deduction was “set aside” on appeal and replaced with the suspended transfer ban. The FA indicated that the £10m penalty is considered “an appropriate penalty” designed to punish the club, deter similar misconduct, and uphold the integrity of the game.
Details of the Investigation and Penalties
The original fine was initially set at £26m but was reduced by a third to £17.25m due to the club’s self-reporting and “exceptional and unprecedented” cooperation. It was further cut by another third to £11.4m for an early guilty plea, and then to £10m because of fines already imposed on the club by UEFA and the Premier League for related matters.
The transfers that raised concerns during the takeover process reportedly included deals for players such as Eden Hazard, Samuel Eto’o, and Willian. There is no suggestion of wrongdoing on the part of these players. The Premier League had previously fined Chelsea £10.75m and issued a one-year transfer ban, suspended for two years, related to secret payments to agents and breaches concerning the registration of youth players.
In July 2023, Chelsea was also fined £8.64m by UEFA for incomplete financial reporting by the previous owners in 2018 and 2019. At least six suspect payments to offshore companies linked to transfers were identified in that investigation. The club’s statement confirmed that the conclusion of the FA process brings all regulatory proceedings against the club to a close, expressing gratitude to UEFA, the Premier League, and the FA for their engagement.
Context of Abramovich’s Ownership and Sale
All the breaches relate to the period when Roman Abramovich owned Chelsea. Abramovich was sanctioned by the UK government in March 2022 over alleged links to Russian president Vladimir Putin, which he has denied. He was granted a special license to sell Chelsea after Russia’s invasion of Ukraine, with the condition that he would not benefit from the sale.
The £2.5bn proceeds from the sale have been frozen in a UK bank account since the transaction. While Abramovich does not have access to these funds, they still legally belong to him. Reports in 2023, based on leaked documents from Cyprus, alleged a money trail linking Abramovich to a secret £26m deal in 2010. Abramovich has previously denied any financial relationship with the Russian leader.
In March, Chelsea also received an immediate nine-month academy transfer ban and a £750,000 fine concerning the registration of academy players between 2019 and 2022. The regulatory commission noted that had the club not brought these matters to the attention of the FA, it is unlikely they would have been discovered.
Source: bbc.com
