Man City hit by fresh scandal: La Liga president Javier Tebas reports Premier League champions to EU over 'Enron' style financial deception

La Liga president Javier Tebas has dropped a bombshell and revealed he has reported Manchester City to the European Union and asked for an investigation into some of the club's financial dealings. Tebas has even claimed he thinks the latest scandal involving the Premier League champions is similar to the Enron scandal in the United States which was saw the energy company hide huge losses and ultimately led to the collapse of one of America's biggest corporations.

He told the Financial Times Business of Football summit: “All they do is they think about how they can avoid the rules and regulations. We have reported this to the European Union with facts and figures. The UK might not be part of the EU but City have commercial activities in Europe and in July 2023 the EU ruling said that they could look at state-aided companies, whether they are based in the EU or not. So we asked for City to be checked. It’s very important that all clubs are subject to the same transparency rules and governance on both the sporting and financial side. We haven’t had a reply so it must be under the investigation phase. The City case is one where we believe they have put the losses on the companies that are not officially part of City Football Group. You remember the case in the USA, the Enron case. They put losses into different companies. These are similar cases. We also reported City about sponsorship and capital contributions. They have a scouting company, a marketing company. That’s where they have very high expenses. They invoice City for less money. City have costs that are less than if they didn’t have this circle of companies around.”

Despite Tebas' allegation, according to The Mirror, the reigning English champions strongly refuted the charges and cited their accounts - which are a public record- as proof of no foul play. The latest allegation hit the Cityzens as they await the verdict on their 115 Financial Fair Play charges.

Pep Guardiola's side will be back in action on Saturday as they host Championship side Plymouth Argyle in a fifth round FA Cup clash.