Chelsea Faces Growing Points Deduction Threat as Damaging Financial Details Emerge

A finance specialist has cautioned that Chelsea's substantial financial reserves set aside to address potential Football Association sanctions might suggest the club faces sporting penalties alongside monetary fines.

The Blues received 74 charges in September for various violations concerning agent dealings and third-party ownership in historical transfers. These intricate violations are believed to center on questionable payments linked to transfers of Eden Hazard, Willian and Samuel Eto'o, all occurring exclusively during Roman Abramovich's ownership period.

The current BlueCo ownership consortium self-reported these issues to English football's regulatory body following their £2.5 billion ($3.3 billion) takeover in May 2022. Reports indicated that BlueCo allocated part of their acquisition cost as a "reserve fund" specifically designed to handle any penalties for violations from the Abramovich era.

Fordstam Limited, the entity that managed the sale mandated by U.K. sanctions on Abramovich due to his purported connections to Russian leader Vladimir Putin, disclosed this week that the "reserve fund" totaled £150 million and remains accessible through 2027.

Nevertheless, the most revealing detail from Fordstam's financial records dismissed any expectation of recovering the £150 million due to "uncertainty regarding its collectibility."

This acknowledgment served as one indicator while the substantial size of the reserved amount also sparked questions. Chelsea had anticipated receiving a penalty not exceeding £100 million. "There's uncertainty regarding why the provision amount is so substantial," football finance specialist and attorney Stefan Borson explained to The Guardian.

"The reserve fund won't solely cover financial penalties from fines. It might also address claims for resulting damages from sporting punishments, including loss of European qualification or [Premier League] prize money."

Shortly after Chelsea faced the FA's 74 charges, reports widely suggested the Blues anticipated avoiding sporting sanctions in exchange for financial penalties since they had voluntarily disclosed the violations. Nevertheless, growing worries now exist that Enzo Maresca's team might encounter point deductions or transfer restrictions.