Richard Masters 'sends' Liverpool letter as Man City launch 'new legal challenge'
Liverpool's rivals, Manchester City, have reportedly sought to challenge the Premier League's updated rules around Associated Party Transactions (APT). In a separate case to their 115+ charges of alleged financial misconduct, they are said to be seeking another arbitration hearing on a matter they successfully challenged last year but still see the resulting changes as 'unlawful'.
APT rules are designed to prevent how much money companies associated with English top-flight clubs' ownership can feed into said club. Liverpool watched on as Man City began a challenge last June after arguing they were part of 'a tyranny of the majority'.
Spectacularly, upon its conclusion in October, both Premier League and Etihad Stadium chiefs claimed victory as some sections were deemed to breach EU competition law. It resulted in a vote one month later amongst all 20 clubs to pass through alterations, with 16 clubs in favour. Man City were one of the four who disagreed, believing that the vote should not have even taken place.
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Now The Times have published a new report on the drawn-out matter, revealing that the reigning champions have made a fresh legal challenge against November's rule changes, which they still see as 'unlawful'. They are therefore seeking another arbitration hearing, having threatened more legal action if the league 'rushed' amendments that would come into force be an independent panel had time to publish their findings on the dispute. These findings are said to be expected later in the month.
Included in The Times is a letter supposedly sent by Premier League chief executive Richard Masters to all member clubs providing an update on this matter.
The letter reads: "On January 20, 2025, Manchester City FC began a further arbitration to challenge the APT rules. As you will see, the new challenge relates to the amendments to the APT rules that clubs approved at the 22 November 2024 shareholders’ meeting. Manchester City FC seeks a declaration that the amendments approved by clubs in November (and therefore the current APT rules in force) are unlawful and void.
"The Premier League remains strongly of the view that the amendments passed in November were lawful and the APT rules comply with all competition law requirements. We consider that the new arbitration must be resolved as soon as possible and, to that end, have agreed that the same tribunal should be appointed to hear the new case. The parties are currently corresponding in relation to further directions.
"The APT rules remain in full force and effect and clubs remain required to comply with all aspects of the system."
The next Premier League shareholder meeting is pencilled in for Thursday, February 13. With Liverpool wary of the impact the rules could have on them, they are also keeping watch from a distance of news about their rivals' 115+ charges of alleged financial misconduct.
Man City have always strongly denied all charges levied against them and took part in a legal battle with the Premier League between September and December last year. The outcome of the trial is still yet to be announced.