Sean Dyche (Picture: Getty Images)
The Toffees have been found to be in breach of the Premier League’s profitability and sustainability rules, which allow clubs to lose a maximum of £105m over a three-year period or face sanctions.
The 10-point deduction is the biggest sporting sanction ever handed out by the Premier League and Everton intend to appeal, saying they are ‘both shocked and disappointed’ by the finding.
Former Crystal Palace owner Jordan believes the appeal will have at least some success, telling talkSPORT: ‘I thought they’d get 3-6 [points] and that may well be the outcome post-appeal.’
Jordan thought it would be less severe punishment as Manchester City are facing 115 charges of breaking financial fair play rules, so if this is how the Premier League is punishing Everton, the champions could be in for an enormous punishment.
’10 points is a significant penalty and I’m not surprised they’re appealing it and they’ll probably argue it down. They’re gonna get a points penalty, it’s not an argument on whether it will get removed away.
‘I thought there might be an element of the Premier League bottling it because the next cab off the rank will be Manchester City and once you’ve set a precedent of points then you’ve got that in your armoury and you’re gonna use it again.
‘So Manchester City will be looking at this with interest.’
Simon Jordan feels Everton have been treated harshly (Picture: talkSPORT)
Jordan went into some detail on how Everton fell foul of the rules, believing that the way they went through the processes mean that the punishment seems very harsh.
‘The situation with Everton is much more binary, Manchester City is a much more convoluted set of cases,’ he explained. ‘Everton’s is about allowable adjustments. They made an adjustment of the circa £250m that they went over financial fair play by putting in a whole load of Covid losses.
‘Every club did it, but the scale of what Everton did was much greater than other football clubs.
‘That argument is that they’ve lost the ability to sell players at certain values as a result of the Covid market place and that created a problem.
‘Everton were allowed to put in things like new adjustments for building of a new stadium, previously wasn’t in there, and they got just under the £105m (upper loss) threshold.
‘But they used some heavyweight, high-end positioning around the devaluing of certain players and clearly that hasn’t been able to be stood up.
‘Quite why that makes it 10 points? If the argument is that Everton have falsified their accounts and there’s real subterfuge in this, rather than they’ve overcooked it in terms of what they think the valuations are.
‘It does feel that 10 points is heavy duty. Because their accountants must be able to put up arguments, they must have been able to put them up to file them through Companies House because they’ve signed these accounts off.
‘Auditors will have gone through these valuations and adjustments have reasonable sustainability.
‘So it becomes an argument on whose accountancy point of view is right. So if that’s the argument it’s turned on then 10 points is a bloody heavy penalty.’
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’10 points is a significant penalty and I’m not surprised they’re appealing it.’