Lyon Seeks to Remain in Ligue 1: Palace Awaits UEFA Decision

Lyon Seeks to Revoke Relegation to Ligue 2

Olympique Lyonnais hopes to reverse its relegation to Ligue 2, according to sources close to the club. The appeal hearing before the appeals committee of the DNCG, the regulatory body that oversees the finances of French football clubs, began this Wednesday. This hearing is crucial for Crystal Palace’s aspirations to compete in Europe for the first time in its history next season. The Premier League team qualified for the Europa League after winning the FA Cup in May. If Lyon maintains its place in Ligue 1, it is likely that it will also keep its place in the European competition, which could harm Palace. On June 24, the DNCG sanctioned Lyon and relegated them to Ligue 2 due to financial problems. The club filed an appeal and is presenting a new plan to the committee to convince them to revoke the original decision. The main problem is a debt of 541 million euros and an inflated wage bill without sufficient cash flow. To regain its place in Ligue 1, Lyon needs a cash injection of 100 million euros and to provide another 100 million as a guarantee for the next two years.

John Textor, owner of Lyon through its parent company Eagle Football Group and club president, was forced to resign from his position as president by his associates. Michele Kang, shareholder of Eagle Football Group and successful businesswoman, is now in charge. Textor also owns a stake in the Palace, through Eagle Football Group. He is currently in the process of selling a portion to Woody Johnson, owner of the New York Jets, for 190 million pounds sterling, but that agreement has not yet been officially confirmed. The verdict is expected this Wednesday evening. If the decision to relegate Lyon is upheld, the club will have to withdraw from the Europa League, in which it was going to participate this season. In fact, UEFA has already stated that Lyon will not be able to play in Europe if their relegation is confirmed. However, Lyon can appeal again, this time to the French Olympic Committee, the CNOSF, to try to remain in Ligue 1 and revoke their relegation. If that is unsuccessful, they have a last chance before a court. Meanwhile, the first team’s squad, made up of 26 players, began the pre-season on Tuesday.