Cash-strapped Birmingham City fall foul of EFL funding and ownership rules

Birmingham City

February 21 – English Tier-2 club Birmingham City could face a suspended points deduction after being charged with multiple counts of misconduct by the English Football League.

The Championship club and a “number of individuals” have been charged with alleged rule breaches as a result of an investigation into a takeover bid.

Unconfirmed reports say the charges refer to a prospective buyer, Paul Richardson, allegedly funding the club without EFL approval.

Richardson and the former Barcelona striker Maxi López withdrew their offer in December. The charges relate to alleged breaches of the owners’ and directors’ test.

Birmingham have been owned by China-based Birmingham Sports Holdings Limited since 2016.

“Having comprehensively reviewed all relevant issues, the EFL has now determined there is sufficient evidence to justify issuing various charges of Misconduct,” and EFL statement said.

“The charges allege that a number of people were allowed to and did act as Relevant Persons and/or acquired Control of the Club without the prior approval of the EFL, and associated breaches.”

Birmingham said in a statement that they acknowledged the decision of the EFL to bring charges and that no further comment would be made.

However, Richardson wrote on Instagram: “In response to the EFL statement issued today we will defend any alleged breaches of the regulations vigorously.”

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