Stefan Borson: Man City could land compensation after agreeing Premier League settlement
Manchester City could be in line for compensation after reaching a settlement with the Premier League.
Man City have been in a battle with the Premier League over the past year regarding the associated party transaction (APT) rules.
Man City have now reached a settlement with the Premier League, with The Times reporting on 8 September Pep Guardiola’s side are in line to complete a “hugely lucrative” long-term deal with Etihad Airways as a result.
Deals with Etihad Airways and First Abu Dhabi Bank were blocked in 2023 for not being fair-market value under the APT rules.
Former Man City financial adviser Stefan Borson exclusively told Football Insider the First Abu Dhabi Bank deal was likely worth seven figures to the club.
Premier League’s condititions in Man City settlement revealed
Man City successfully challenged the APT rules following a two-week private arbitration hearing in the summer of 2024, with the tribunal ruling the regulations in place were unlawful last October.
Following amendments by the Premier League, the Manchester giants challenged the APT rules again in February this year before the parties came to a settlement last week.
Speaking exclusively to Football Insider, Borson said: “You have to work on the basis that I don’t think City would have settled if they hadn’t have got something that they wanted out of the settlement process.
“We know that the parties agreed a mutual announcement that said City accept that the rules are now valid and binding, so that was one of the conditions for the Premier League.
“City wouldn’t have chosen to say that, so that was what the Premier League got out of it. They also get the closure of the situation.
“I think the sorts of things that City possibly received was a settlement of the costs, so I don’t know at what level, but at some level that they felt was fair.
“Potential compensation in respect of perhaps the First Abu Dhabi Bank adjustment that was made and found to be unlawful. That could have been worth in seven figures.
“We know what happened in that one from the first APT judgment that it was approved at a lower level.
“They said that City had to adjust it for what the Premier League considered fair-market value, so I think that could have been part of the bundle.”
Man City could land up to £1.5billion from their new 10-year deal with Etihad Airways after bringing their dispute over the APT rules to an end.
Man City waiting to hear 115 charges verdict
In a separate legal battle, Guardiola’s side are still waiting to hear the verdict in their 115 charges case.
Man City were dealt 115 charges by the Premier League in February 2023 for allegedly breaching the financial fair play (FFP) rules over a nine-year period between 2009 and 2018.
An independent commission hearing started in September last year and ended in December, with the panel still considering its verdict.
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