HMRC urged to scrutinise tax implications of Man City case

Manchester City will claim that key sponsorship deals were funded by the Abu Dhabi government, rather than the club's owners, as part of an appeal after being found to have breached financial rules.

It was confirmed on Tuesday that an independent commission had found City guilty of all charges relating to breaches of the Premier League's financial regulations between the 2009-10 and 2017-18 seasons.

City have repeatedly denied guilt, and signalled an intent to lodge an appeal by Friday.

The club was found to have artificially inflated revenue through "sham" sponsorship agreements with the help of its owners.

Abu Dhabi United Group (ADUG) - a private investment company belonging to United Arab Emirates vice-president and deputy prime minister Sheikh Mansour - was said to have topped up the value of commercial deals as part of a "disguised funding scheme" to the scale of £830.69m.

This, it was argued, enabled the club to appear to comply with Premier League and Uefa financial rules.

However, as first reported by the Daily Mail and Times, sources have told BBC Sport that City are expected to tell an appeal board that they have evidence showing the money directed to sponsors came from the Abu Dhabi government, rather than from ADUG.

The independent commission rejected this argument as "untrue" in its findings, saying: "We concluded that it was an 'explanation' that the club had concocted well after the event in an attempt to obscure and conceal the realities of the disguised funding scheme."

City have claimed the commission's decision contained "clear material errors, of law, principle and fact, and is unsafe".

Mansour is a member of the ruling family of Abu Dhabi, and the brother of UAE President Sheikh Mohamed bin Zayed Al Nahyan. ADUG took over City in 2008. Premier League rules allow state-owned bodies to sponsor clubs.

On Saturday, City chairman Khaldoon Al Mubarak referred to "irrefutable evidence" that he claimed supports the club's claims of innocence.

City's principal sponsor Etihad Airways has said it is considering legal action against the Premier League, claiming the release of the commission findings had "damaging implications…despite the airline not being named in the redacted published findings".

The UAE's state-owned national airline said "it categorically rejects any finding, conclusion or implication that suggests the airline has ever been involved in improper commercial arrangements".

Etihad is owned by sovereign wealth fund L'Imad which is chaired by the Crown Prince of Abu Dhabi, the son of the UAE president.

The Premier League declined to comment when contacted by BBC Sport.