Everton could actually be hit with 21 point deduction as another threat rumbles on in background
Every Everton fan and his dog has read the headlines this week about the Premier League recommending a 12-point ban for the club if they’re found guilty of breaking profit and sustainably rules.
The Telegraph reported on 25 October that the Blues face “severe sanctions” if they are deemed to have broken Financial Fair Play regulations after recording major losses during Farhad Moshiri’s ownership.
It is understood that over a three-year period, the Toffees have suffered losses of £304million when the Premier League only permits £105million in losses.
Everton have used things like new stadium costs and COVID-19 to argue they haven’t broken any rules but the Premier League is pushing for a hefty sanction should the Merseyside club be found guilty.
If the worst-case scenario does happen and Everton are hit with a 12-point deduction, they would be in the relegation battle because as it stands right now, they would be sent to the bottom of the table on minus five points, 11 points away from safety.
But what if that points deduction could be made worse?
The Premier League also punishes clubs for going into administration and there’s a possibility of that also happening at Goodison Park this season.
Portsmouth are the only team to have ever gone into administration in the history of the Premier League and in March 2010, they were deducted nine points, adding to their problems on top of £65million debts. They ultimately ended up in League Two and haven’t played in the top flight since that season.
If Everton have 21 points taken off them this season, that would be catastrophic and would pretty much consign them to relegation to the Championship.
How much of a threat is administration for Everton?
At the moment, Miami-based investment group 777 Partners are trying to convince the Premier League they are the future fit and proper owners of Everton Football Club.
However, there are issues emerging in the takeover with The Mirror reporting on Friday (27 October, page 67) that while 777 claim to have sent off all relevant documents to the Premier League, they have not yet provided up-to-date audited accounts.
It is understood that this has thrown the whole takeover into “serious doubt”.
If Moshiri cannot sell Everton, the club could find itself in administration.
The Daily Mail reported on 23 September that a £20million loan from 777 last month “won’t be enough to cover the club’s losses to the end of the year”.
Everton fan and financial expert The Esk shared via the Mail on 19 September that the Toffees could be in administration at the end of 2023.
It’s grim and we know that Evertonians don’t like reading the facts about the club’s issues right now but something doesn’t seem right with 777.
