An Independent League Arbitration Panel has allowed the EFL’s appeal against the outcome of an independent Disciplinary Commission in respect of misconduct charges brought against Derby County.
The panel concluded that the Disciplinary Commission was wrong to dismiss the League’s expert accountancy evidence, which demonstrated that the Club’s policy regarding the amortisation of player registrations was contrary to standard accounting rules.
More specifically, the panel determined that the Club’s policy was not in accordance with accounting standard FRS102 because it failed to accurately reflect the manner in which the Club takes the benefit of player registrations over the lifetime of a player’s contract.
The original Disciplinary Commission had already concluded that the Club did not adequately disclose in its financial statements the nature and or effect of its change in accounting policy, and there has been no appeal against that decision.
The Club and EFL will now have the opportunity to make submissions on the appropriate sanction arising out of those breaches.
Despite media speculation there is no definitive timescale for a determination on sanction though the League will press for a decision as soon as reasonably possible and will provide a further update at the appropriate time.
The EFL will be making no further comment on this matter at this time.