by Kingseyi Thu Jul 19, 2018 2:08 pmAC Milan’s senior executives were at the world’s
top sports court on Thursday fighting to
overturn a European ban for breaking UEFA’s
financial fair play rules.
Managing director Marco Fassone, chief financial
officer Valentina Montanari and a team of
lawyers were set to lobby the Court of
Arbitration for Sport to overturn the Italian
club’s Europa League ban for the upcoming
season.
The hearing is expected to last a full day with a
decision due within 24 hours, a CAS
spokesperson has said.
AC Milan have spent a troubled 15 months since
they were bought by Chinese businessman Li
Yonghong from Silvio Berlusconi in April 2017.
The takeover was partly funded by a high-
interest loan of 300 million euros ($348 million)
from American hedge fund Elliott Management.
When Milan failed to make a repayment at the
start of July, Elliott moved to take over, a
process which is due to be ratified by club
shareholders on July 21.
The Chinese owners spent more than 200
million euros on players last summer and that,
combined with the terms of the Elliott loan,
triggered the interest of UEFA.
At the end of June, UEFA ruled that Milan were
in breach of “the break-even requirement.”
That specifically bars clubs from taking on debt
to fund day-to-day obligations such as wages
or transfer fees. UEFA banned the club from its
competitions.
Despite the investment in players, the club
finished sixth in Serie A and only qualified for
the Europa League, Europe’s second tier
tournament.
Fassone has blamed the club’s woes on
Berlusconi’s management.
The seven-time European champions are the
biggest club to have been punished under the
fair play rules.
top sports court on Thursday fighting to
overturn a European ban for breaking UEFA’s
financial fair play rules.
Managing director Marco Fassone, chief financial
officer Valentina Montanari and a team of
lawyers were set to lobby the Court of
Arbitration for Sport to overturn the Italian
club’s Europa League ban for the upcoming
season.
The hearing is expected to last a full day with a
decision due within 24 hours, a CAS
spokesperson has said.
AC Milan have spent a troubled 15 months since
they were bought by Chinese businessman Li
Yonghong from Silvio Berlusconi in April 2017.
The takeover was partly funded by a high-
interest loan of 300 million euros ($348 million)
from American hedge fund Elliott Management.
When Milan failed to make a repayment at the
start of July, Elliott moved to take over, a
process which is due to be ratified by club
shareholders on July 21.
The Chinese owners spent more than 200
million euros on players last summer and that,
combined with the terms of the Elliott loan,
triggered the interest of UEFA.
At the end of June, UEFA ruled that Milan were
in breach of “the break-even requirement.”
That specifically bars clubs from taking on debt
to fund day-to-day obligations such as wages
or transfer fees. UEFA banned the club from its
competitions.
Despite the investment in players, the club
finished sixth in Serie A and only qualified for
the Europa League, Europe’s second tier
tournament.
Fassone has blamed the club’s woes on
Berlusconi’s management.
The seven-time European champions are the
biggest club to have been punished under the
fair play rules.
