The Court of Arbitration for Sport (CAS) has ratified the fine of 500,000 euros on FC Barcelona imposed by UEFA for the incorrect use of some levers that it made in 2022. The CAS has rejected the appeal of the Blaugrana club against the sanction, with reasons for erroneously declaring profits “from the disposal of intangible assets (other than player transfers) that are not relevant income according to the regulations.”
That is, UEFA does not recognize as relevant income those from the sale of television rights that the club made in 2022, when it activated the first lever to recover its financial solvency. The first chamber of the Club Financial Control Body (CFCB) sanctioned Barça in July 2023.
After examining the financial years from 2019 to 2022, the UEFA chamber came to the conclusion that FC Barcelona intentionally violated its regulations, by computing as relevant income those from the sale of audiovisual rights for an amount of 267 million euros. , corresponding to the reporting period that ended in 2022.
The sale of audiovisual rights includes 10% of the club’s television rights related to the Spanish League championship for a period of 25 years, according to the CAS ruling.
The club chaired by Joan Laporta appealed the sanction before the appeals chamber of the same UEFA body, considering it disproportionate for operations that LaLiga considered appropriate, but their claim was dismissed in October of last year and they transferred the case to the CAS.
This arbitration court based in Lausanne (Switzerland) resolved the case on September 18, and made public its ruling this Friday, in which it concluded that Barcelona violated UEFA’s sustainability and financial fair play regulations.
The CAS considers that FC Barcelona violated articles 58 (1 and 2) of the UEFA Club Licensing and Financial Fair Play Regulations and 77.01 (e) of the Club Licensing and Financial Sustainability Regulations. “The supposed uniqueness of the legal structure of FC Barcelona and the reasons for the sale do not influence the regulatory framework that must be applied,” the ruling argues.
The CAS justifies, to maintain the UEFA sanction, that the infraction committed by Barça “is serious”, so it is fair to apply a “severe sanction” of 500,000 euros. “The intentional nature of the infringement together with the significant impact of an overestimation of the relevant income in the amount of 267 million euros in a single season make the infringement serious, also justifying a severe sanction,” the ruling states.
The CAS also rejects Barça’s argument that it was a first offense. “It cannot be considered a mitigating factor. Rather, if it were a second offense, it could be taken into account as an aggravating factor. In fact, article 26.02 of the Rules of Procedure of the UEFA Club Financial Control Body (CFCB) establishes that repeat offenses are considered an aggravating circumstance.”
And the CAS argues that the high penalty of 500,000 euros should be considered a punishment or lesson so that the Blaugrana club does not reoffend: “The imposition of a fine of less than 500,000 euros would probably not be a strong enough deterrent to prevent a important club such as FC Barcelona declares intentionally incorrect income with a significant impact on its balance sheet results.” That is, putting the fine in the context of the club’s expected income for the 2024-25 and 2025-26 seasons, “it is not obviously and grossly disproportionate to the infraction, but rather it considers that said sanction is relatively light.”
In addition, Barça will have to pay 10,000 Swiss francs for UEFA expenses in this procedure.
#CAS #ratifies #UEFAs #euro #fine #Barça #misuse #levers