Following a breach of FFP rules by AC Milan, the Union of European football association (UEFA), has handed them a two-season ban. The ban will take effect from the beginning of next season. AC Milan banned for two seasons by UEFA means that they would not participate in the Europa league for the coming season and even the one after that.
The club finished sixth in their league, Serie A, last season and they were supposed to participate in the Europa League next season. But when UEFA confirmed, after a thorough investigation, that they had breached the financial fair play rules, they will now be excluded from the competition for the next two years even if they qualify again.
The club which was taken over in 2017 by Chinese businessman Youghlong li, who collected a high-interest loan of 300 million for the American hedge fund. This prompted UEFA to put the club under close scrutiny and asked the club to clarify the financial strategy of the new owner and they were also required to sign a voluntary agreement where the club will commit to balancing its budget. All the strategy by the club to rectify the financial issues were turned down by UEFA and eventually, the Adjudicatory Chamber punished the club.
In a statement by UEFA, they explained that;
“The Adjudicatory Chamber of the Club Financial Control Body (CFCB), chaired by José Narciso da Cunha Rodrigues, has taken a decision in the case of the club AC Milan that had been referred to it by the CFCB Chief Investigator for the breach of the UEFA Club Licensing and Financial Fair Play Regulations, in particular the break-even requirement.
“The club is excluded from participating in the next UEFA club competition for which it would otherwise qualify in the next two (2) seasons (i.e. one competition in 2018/19 or 2019/20, subject to qualification).
“This decision may be appealed to the Court of Arbitration for Sport, in accordance with Article 34(2) of the Procedural rules governing the UEFA Club Financial Control Body, as well as Articles 62 and 63 of the UEFA Statutes.
“The full reasoned decision will be published on UEFA.com in due course.”
There were also some other spending that was made by the club in 2017 which prompted this action, but the club has promised to appeal.