Leicester might be returning to life in the Championship with a points deduction.
The club was referred by the Premier League to an independent commission on Tuesday for alleged breaches of financial rules in the English Football League — the three divisions below the top flight — in the 2023-24 season.
Leicester also has been accused by the Premier League of alleged breaches of its obligation to provide its annual accounts by December 31 last year and to “provide full, complete and prompt assistance to the Premier League in response to the league’s inquiries.”
The Premier League has acted after an arbitration tribunal decided that the top-flight competition has jurisdiction to investigate and refer the club to an independent commission for its breaches of rules in a different competition — the EFL.
The Premier League previously charged Leicester for breaching financial regulations by overspending in the 2022-23 season, but the club successfully argued it was no longer a representative of the Premier League, owing to its relegation that season, by the end of that year’s accounting period on June 30.
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Because of this latest tribunal decision, the Premier League is trying again to punish Leicester for overspending, this time in the 2023-24 season, the year after relegation and when the team was in the Championship.
“The tribunal confirmed that the Premier League has the power to investigate an alleged breach of the Profit & Sustainability Rules because the EFL validly transferred responsibility for its investigation to the Premier League in June 2024, when the club was promoted from the Championship,” the Premier League said.
“The Premier League continues to have jurisdiction even though Leicester City will be relegated to the Championship at the end of this season,” it added.
Leicester’s return to the Championship was confirmed on April 20 with a loss to Liverpool.
“The club intends to engage cooperatively in this matter now that the Premier League’s jurisdiction has been established for the period ending FY24,” Leicester said.
“However, we will not be able to comment further on these proceedings until they are concluded, due to their confidential nature,” the club added.
