Premier League: Manchester City kept €1 billion in costs secret

Manchester City breached the Premier League's financial rules over nine years, it emerged on the Premier League website on Tuesday. Earlier reports had revealed the English giants were found guilty of no fewer than 114 breaches of the financial regulations.

For the first time, the Premier League have now issued a statement. Among other things, they accuse Manchester City of signing fake contracts with commercial partners, with the agreements between all parties incorrectly represented. That allowed the club to reduce costs on paper and increase income.

By breaking the rules, Manchester City were able to keep €1.05 billion in costs hidden from regulators. The club's financial position was also made to look more favourable than it really was, which meant consequences failed to follow for years.

For years, the Citizens also spent far more than the Premier League and UEFA permitted. Manchester City are also accused of failing to cooperate with the investigation, which took four years.

An independent commission will deliver its verdict at a future hearing. Manchester City, who insist they are innocent, have until this Friday to appeal against the charges.

Despite that, Manchester City are "disappointed and surprised" by the ruling of the independent commission. "The club rejects the Premier League’s allegations and possesses an extensive body of irrefutable evidence in support of its positions in this case," the club website reads.

Behind the scenes, the club's hierarchy are now examining what legal steps can be taken. Manchester City already knew about the guilty verdict in July, ESPN reported on Tuesday. That is a striking revelation, given how much the club spent in the last transfer window.