EPL might be sued for £200m

The Premier League are facing the extraordinary prospect of being sued for £200million by Leeds or Burnley for failing to uphold their own financial rules. The two relegation-threatened clubs wrote to the Premier League last week warning they reserve the right to take legal action due to the organisation’s failure to take any action against everton for the club’s extravagant spending, which has led to them posting losses of £371.8million over the last three years. Sportsmail revealed last month that everton’s relegation rivals were preparing to take legal action due to what they regard as a flagrant breach of the Premier League’s profit and sustainability rules, which limit clubs to losses of £105m over three years. They have sprung into action after Frank Lampard’s side ensured their survival with a stunning 3-2 win over Crystal Palace on Thursday night. Sportsmail revealed in March that the Goodison Park club have been seeking authorisation from the Premier League for all major financial transactions for more than 12 months to ensure they complied with the regulations, which has led Leeds and Burnley to conclude their best course of action is to sue the Premier League itself. In their annual accounts published last March, everton said £170m of their losses were due to Covid — compared to the £24m offset by Leeds and £40m by Newcastle — but in a statement issued last night insisted they had complied with all regulations. ‘We have worked so closely with the Premier League to make sure we are compliant, we are comfortable we have complied with the rules,’ a spokesman said. ‘external auditors have told us what we can and cannot claim against the pandemic. If they want to take legal action, they can do so by all means.’