EPL: Chelsea under investigation over offshore payments made during Abramovich’s era
Chelsea are being investigated by the Premier League over alleged offshore payments made during Roman Abramovich’s ownership.
It is speculated that the London club breached ‘UEFA Club Licensing and Financial Fair Play regulations‘, by submitting “incomplete financial information” during the period between 2012 and 2019.
The investigation was launched after Chelsea’s new owners filed a complaint to the FA, Premier League, and UEFA over a number of financial transactions from between 2012 and 2019 that they uncovered during the takeover process. As well as the payments to offshore companies, at least one payment to a player’s family is understood to be under scrutiny.
Recall that Abramovich took over Chelsea in 2003 for £140m with the club winning just one First Division title in 1955, the 1971 UEFA Cup Winners’ Cup, and three FA Cups between 1970 and 2000.
But the Russian billionaire’s investment resulted in five Premier League titles, five FA Cups, three League Cups, two Champions Leagues, two Europa Leagues, two Community Shields, and one UEFA Super Cup. The final trophy Chelsea won under Abramovich was the Club World Cup in February 2022.
Abramovich’s 19-year tenure as Chelsea owner came to an end in May 2022. This came months after he was sanctioned by the UK government following Russia’s invasion of Ukraine. Downing Street said at the time that he had proven links to President Vladimir Putin.
Chelsea was then sold in a £4.25bn deal to a group majority-funded by Clearlake Capital, a Californian investment firm, and spearheaded by the LA Dodgers part-owner Todd Boehly.
Even though the offshore payments were made under the previous ownership, Chelsea, who were bought by the Todd Boehly-Clearlake Capital consortium for £2.5 billion in May last year, could face sanctions from the Premier League such as heavy fines and points deductions.
Sources with knowledge of the case have said that payments to about six offshore companies have been identified, which are believed to have been linked to the transfer of players. The payments, which run into seven figures, appear not to have been registered as part of the club’s annual financial reporting to the FA, Premier League, and UEFA.
Some of the offshore companies have been traced to football agents and intermediaries, but sources with knowledge of the case say it has not been possible to establish who is behind other companies. Some of the transactions are believed to have links with Russia.
Payments by Chelsea to the father of the Denmark defender Andreas Christensen, who was signed from Brondby in February 2012, are also expected to be investigated.
The “Football Leaks” documents published by the Danish newspaper Politiken in 2018 showed that Chelsea appeared to recruit Sten Christensen as a scout on the day that they signed the defender and paid him £656,640 over four years while he was still employed by Brondby as the Danish club’s goalkeeping coach.
The off-field news will come as a further blow for Chelsea fans after new-signing Christopher Nkunku was ruled out for three months with a knee injury.
The forward has thoroughly impressed in pre-season and was looking set to be a talisman for Mauricio Pochettino’s young squad.