The UK audit regulator has confirmed it is leading inquiries into accounting irregularities at Manchester City. While no formal investigation has started, the regulator is making inquiries into the case.
An independent commission which looked into Manchester City found that the club gave a misleading impression of the scheme used to disguise the origin of shareholder funds injected into the club to its auditors, who were unaware of the scheme.
Addressing the situation on X, a critic wrote that the regulator's letter exposes gaps in its ability to compel evidence from the club and pursue directors who fall outside its disciplinary rules.
The statement added that the government has a responsibility to explain why reforms to close these gaps were abandoned and what will now be done to strengthen accountability.
Manchester City have said they will appeal against the commission's decision, arguing that it contains material errors of law, principle and fact and is unsafe.