EFL chairman hints at Leicester City PSR action amid 'nonsensical' problem
EFL chairman Rick Parry has described Leicester City’s PSR dispute as a “live case”, suggesting the governing body will try to overturn the appeal board’s judgement.
In September, City were deemed not to be in breach of Profit and Sustainability Rules for the 22-23 season. An appeal board ruled the Premier League did not have jurisdiction to charge City, who were, by the letter of the Premier League’s rules, not a member club at the point at which their finances could be assessed.
Both the Premier League and EFL reacted strongly to the appeal’s board judgement. In a statement, the EFL said at the time: “We share the frustrations of the Premier League. It cannot be right that clubs potentially escape the scrutiny of the agreed rules and sanctions due to movement across the divisions.”
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The EFL also said they would refrain from commenting further until a possible appeal by the Premier League had concluded, or if they themselves took action. On Tuesday, Parry indicated that the EFL are still pursuing that route.
It seems there will be an attempt to make changes to the governance and implication of PSR to avoid future cases like City’s. Parry described the lack of consistency as “nonsensical”.
Asked if City had “pulled the EFL’s pants down over PSR”, Parry told talkSPORT: “We’ll see. It’s a live case. I did say that one of the things we lack is consistency across the Premier League and EFL. It’s pretty nonsensical. That is still a major challenge and one that we have to address.
“We have similar rules but we have completely different ways of enforcing them, which is bonkers. Why we don’t have one single independent unit covering both leagues is a mystery because it would be the easiest thing to set up and we could have done it years ago.”
Back in April, shortly after City were first charged with an alleged PSR breach by the Premier League, the EFL chief executive Trevor Birch wrote to the Premier League, asking them to quickly conclude their investigation so they could issue a points deduction to the club before the Championship season concluded. City applied for an interim injunction to stop the EFL imposing a points deduction on them, but that wasn’t needed, as the EFL consulted their own lawyers and realised they did not have the jurisdiction to act on Premier League rules, subsequently retracting the intentions set out in Birch’s letter.
City also have their 23-24 finances to consider. The club were placed under an embargo by the EFL, who had deemed them likely to breach PSR for last season. However, the club then sold Kiernan Dewsbury-Hall to Chelsea for £30m and received compensation for Enzo Maresca’s move to Stamford Bridge before the June 30 deadline, easing their worries. Still, they have to submit their finances for the season to the Premier League for assessment by December 31.