Manchester City have responded to allegations that they have broken financial rules by calling them “entirely false”.
A UEFA investigation is being conducted that could result in the Premier League champions being banned from the Champions League for one season.
City are alleged to have broken Financial Fair Play regulations by inflating the value of a multimillion-pound sponsorship deal.
A one-year ban from the European competition has been recommended by UEFA financial investigators, according to The New York Times.
City responded by saying: “The accusation of financial irregularities are entirely false, and comprehensive proof of this fact has been provided to the investigatory chamber.”
- Man City players mock 'victims' Liverpool
- Man City planning £200m spending spree
- Arsenal or Man Utd could replace Man City in CL
There are eight members of the investigatory chamber, with City admitting they are “extremely concerned” that those involved have already found them guilty of breaching FFP rules.
The investigatory process will be overseen by Yves Leterme, who is the chairman and chief investigator of the chamber.
Ex-Liverpool chief to decide City's fate
And among the eight members is Liverpool’s former chief executive Rick Parry.
Parry held the post at Anfield from 1998 to 2019. He is also a former Premier League chief executive.
Per the Telegraph, Parry declined to comment when asked if there may be a conflict of interest regarding his involvement.
Parry is joined on the chamber by sports law and regulatory law experts and other legal academics from six other UEFA nations.
Among them is Greek national Petros Mavroidis, who told CNN that a decision hasn’t been made on City.
The final decision will be made by Leterme, the former Belgian prime minister.
City have been under investigation since German magazine Der Spiegel published documents obtained by Football Leaks which cast doubt on their FFP actions last November.
A one-year ban from the Champions League would likely take place in the 2020-21 season, and would be met with a major legal countermove by Man City.
The Telegraph say they are ‘certain’ to appeal any UEFA ban.