Illegal Transfer Spending: Soccer Giants Paris Saint-Germain Face UEFA Sanctions

Britain\’s Financial Times reported on Wednesday that PSG is facing sanctions after a preliminary investigation found that sponsorship deals worth $247.2 million were overvalued. PSG\’s representatives, who are scheduled to meet with UEFA officials next week, said in a statement Thursday that UEFA has a clear and transparent vision of its finances and that the investigation is ongoing. The statement said the club is in constant contact with UEFA and plans to plead its case before European soccer\’s governing body on April 20.
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Last summer\’s transfer window was the biggest show of buying power in the six years since PSG was acquired by the State of Qatar through the Qatar Sports Investment Fund. In particular, a record $275 million was spent on the transfer of Brazilian forward Neymar from Barcelona. The Paris club came under the scrutiny of European soccer authorities with the acquisition of young French international Kylian Mbappe from AS Monaco.
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Such huge transfer fees, especially one-time transfers, sparked numerous debates among European pundits and fans, raising questions about the ethics of spending such huge sums, along with talk of so-called transfer inflation. Since then, the amount of money spent on transfers has been considered inflated, and PSG has previously been accused by Javier Tebas, head of the Spanish La Liga, of allegedly structuring contracts with players intentionally in order for the club to circumvent the Financial Fair Play rules34;. have been accused of Financial Doping. If PSG were to be prosecuted, it would not only face heavy financial penalties, but would also likely forfeit its right to participate in the Champions League, an important competition for the club.