Explained: Why Fulham have been handed transfer ban and fined over Fabio Carvalho signing

Fulham have been ordered to pay £75,000 ($94,000) by the Premier League, as well as handed a suspended six-month ban on registering academy level players currently or previously registered with a different club.

It all relates to Fabio Carvalho and a payment made to the midfielder's former youth team when he was sold by Fulham to Liverpool. The Portuguese was at Balham Blazers from the age of 11 until 13, at which point he joined the Cottagers. Under the terms of that move, his transfer to Liverpool in 2022 triggered a request from Balham for a payment. But they are not defined by the rules as a 'Transferor Club' and the payment of any sums is not permitted under Rule U.38. A request from Fulham to make a payment was rejected but a settlement agreement appears to have been reached anyway, which Fulham accepted was a breach.

A statement read: "The Premier League and Fulham FC have entered into a sanction agreement following the Club’s accepted breaches of the Premier League Rules in relation to player registrations. The Club will face a six-month ban (suspended for one year) from registering any Academy players currently or previously registered with another club and will pay a £75,000 fine. The suspended registrations ban commenced on 15 April 2024."

Carvalho endured an unsuccessful first half of the season on loan at RB Leipzig but has found his feet since joining Hull City in January when the former deal was cut short. Still only 21, he may consider a return to Liverpool in the summer under a new manager as a fresh chance to force his way into the fold.