Monday, February 26, 2024 – Everton have leapfrogged Nottingham Forest and Brentford in the Premier League table appeals board reduced their 10-point deduction to six, giving them four back.
The Toffees had been docked 10 points for breaking spending
rules in a period ending 2021-22, after out-spending the allowed £105million
losses by £19.5m.
But the club have insisted they had mitigating factors which
should be taken into account. Those included what losses were permissible, such
as stadium costs, loss of investment due to the Russian war, and also
Covid-related downfalls.
Everton then appealed their 10-point loss on grounds of
unfairness, saying the punishment was ‘disproportionate’. A three-man appeal
panel heard a three-day hearing in late January and earlier this month.
The Toffees were not allowed to present new evidence in that
hearing but did make several legal representations, led by ’super silk’
Laurence Rabinowitz KC against a 10-point penalty imposed for breaches of
financial rules has been reduced to six points after an appeal.
The appeal board said they had made their decision after
ruling that the commission made 'legal errors' on two of the nine grounds
brought up by Everton over their Premier League sanctions.
Everton say they are ’satisfied’ with the outcome and
insisted it felt 'vindicated' in their move to pursue an appeal.
'While the Club is still digesting the Appeal Board’s
decision, we are satisfied our appeal has resulted in a reduction in the points
sanction,' the club said.
'Everton can confirm an Appeal Board has concluded that the
points deduction imposed by an independent Premier League Commission in
November be reduced from 10 points to six points, with immediate effect.
'While the Club is still digesting the Appeal Board's
decision, we are satisfied our appeal has resulted in a reduction in the points
sanction.
'We understand the Appeal Board considered the 10-point
deduction originally imposed to be inappropriate when assessed against the
available benchmarks of which the Club made the Commission aware, including the
position under the relevant EFL regulations, and the 9-point deduction that is
imposed under the Premier League's own rules in the event of insolvency.
'The Club is also particularly pleased with the Appeal
Board's decision to overturn the original Commission's finding that the Club
failed to act in utmost good faith. That decision, along with reducing the
points deduction, was an incredibly important point of principle for the Club
on appeal. The Club, therefore, feels vindicated in pursuing its appeal.
'Notwithstanding the Appeal Board's decision, and the
positive outcome, the Club remains fully committed to cooperating with the
Premier League in respect of the ongoing proceedings brought for the accounting
period ending in June 2023.
'The Club is still considering the wider implications of the
decision and will make no further comment at this time other than to place on
record its thanks to our Fan Advisory Board and other fan groups throughout
this process, and to all Evertonians for their ongoing support and patience.'
The Toffees made their appeal hearing before an independent
commission earlier this month after the club described the initial 10-point
penalty as 'wholly disproportionate'.
The Premier League released their own statement confirming
the reduction.
'An independent appeal board has concluded that the sanction
for Everton FC's breach of the Premier League's profitability and
sustainability rules (PSRs), for the period ending Season 2021/22, will be an
immediate six-point deduction.
'This follows the club's appeal of an independent
commission's decision in November 2023 to impose a 10-point deduction for the
club's breach of the PSRs.
'The appeal was heard over three days earlier this month, by
an appeal board comprising Sir Gary Hickinbottom (Chair), Daniel Alexander KC
and Katherine Apps KC.
'Everton FC appealed the sanction imposed against it on nine
grounds, each of which related to the sanction rather than the fact of the
breach, which the club admitted.
'Two of those nine grounds were upheld by the Appeal Board,
which has substituted the original points deduction of 10 for six.
'This revised sanction has immediate effect and the Premier
League table will be updated today to reflect this.'
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