LONDON (AFP) - The Premier League has launched an investigation into the reports surrounding Manchester City's alleged financial misconduct.
Uefa, European football's governing body, said on Thursday (March 7) it is looking into "several alleged violations" concerning Financial Fair Play (FFP) at City.
That probe came after German magazine Der Spiegel, using material purportedly obtained from the whistleblowing outlet Football Leaks, alleged in November that City had set up sponsorship deals to circumvent regulations limiting how much money owners can put into a club.
A ban from Uefa competitions, including the Champions League, is a potential punishment if City are found guilty of FFP breaches.
City claim the allegations are "entirely false", but the Premier League have decided to open their own investigation of the English champions' financial matters.
As well as the issues under the Uefa microscope, the Premier League will also focus on City's academy player recruitment and third-party ownership.
"The Premier League has previously contacted Manchester City to request information regarding recent allegations and is in ongoing dialogue with the club," a Premier League statement read.
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"The League has detailed financial regulations and strong rules in the areas of Academy player recruitment and third-party ownership.
"We are currently investigating these matters and will allow Manchester City every opportunity to explain the context and detail surrounding them." City were fined €60 million (S$90 million) and subjected to squad, wage and spending caps in a 2014 settlement agreed with Uefa following a previous breach of the rules.
City manager Pep Guardiola, whose side are currently top of the Premier League, insisted on Friday that the financial probes wouldn't tarnish his legacy.
Guardiola has won the Premier League and two League Cups with City and is chasing an unprecedented quadruple this season.
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