The Premier League will scrutinise suspicious transfers by clubs that tried to balance their books by June 30, according to the Guardian.
After seeing Everton and Nottingham Forest suffer point deductions for breaching Profitability and Sustainability Rules (PSR), Premier League clubs were determined to avoid sanctions next season.
Premier League accountants worked overtime as clubs splashed nearly £250 million on players in just four days before June 30, which is the end of the financial year.
Several clubs were desperate to comply with PSR, which allows them permittable losses of £105 million over three years.
Aston Villa, Chelsea, Leicester City, Newcastle United, Everton and Nottingham Forest were particularly active. They face the looming threat of PSR sanctions next season.
Several transfers raised eyebrows, with young players such as Tim Iroegbunam and Lewis Dobbin moving between Everton and Villa for a reported £9 million each.
Chelsea signed Omari Kellyman from Villa for £19m and sent Ian Maatsen the other way for £37.5m. The true value of these deals is debatable, with some people suggesting they were inflated to manipulate financial records.
The Professional Footballers’ Association chief executive, Maheta Molango, called the potential loophole of selling homegrown players for pure profit nonsensical, and football finance expert Kieran Maguire agreed.
The Premier League intervened before the deadline, sending a letter clarifying fair transfer valuation rules and warning that they would investigate these deals, with potential penalties for inflated fees.
A new spending cap expected next year might not solve the issue entirely. Maguire anticipates clubs might exploit loopholes in the UEFA-style model, which allows spending 85% of revenue plus player sale profits.
The Premier League transfer market may be entering a new era of financial gymnastics, with clubs seeking creative ways to navigate spending restrictions.
