Leicester could face devastating points deduction after new twist – Borson
Leicester City are likely to be charged by the EFL for a profit and sustainability (PSR) breach if they are relegated from the Premier League this season.
That is the view of finance expert Stefan Borson, who exclusively told Football Insider Leicester must be classed as a Championship club on 30 June last year if they were not a Premier League side on that date.
Leicester were charged in March with a breach of the Premier League’s PSR rules for 2022-23, with a points deduction the likely punishment.
But they argued they were no longer a top-flight side when they submitted their accounts on 30 June last year following their relegation to the Championship.
After an independent commission dismissed those claims in July and ruled they could be charged by the Premier League, Leicester confirmed in a statement on 3 September their appeal against that ruling has been successful.
The Guardian reported on 18 September the EFL now wants to charge Steve Cooper’s side with a PSR breach if they are relegated to the Championship again.
Leicester have landed themselves in ‘tricky’ position
Borson suggested Leicester find themselves in a “tricky position” despite avoiding a points deduction this season.
“The lines are blurred,” Borson told Football Insider.
“We will just have to see, but I think it’s probable that they could be charged.
“The flip side of Leicester’s argument that they weren’t a Premier League team on 30 June 2023 must be that, therefore, they were an EFL team on that day.
“Therefore, that does seem to suggest the EFL would have some jurisdiction for that three-year period ending on that date.
“But clearly, Leicester will come up with arguments why that’s not true and I assume will put it to another panel, who will have to make a decision.
“But on the face of it, it does seem logical that there is no position where you are a member of no league.
“It seems pretty obvious that if you are not a Premier League team, then you are an EFL team at that point because you have been relegated to the EFL.
“We will have to just see how Leicester get around that situation.
“But on the face of it, I think they have got quite a tricky position now that they have argued definitively that they were not a Premier League team.”
In other news, Leicester have escaped ‘nine-point deduction’ – Expert.
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