State Regulation v Self Regulation and the Scottish Football Example

I would like to share some thoughts with all of you, without going into great detail. It is not my intention to predict the outcome of the disciplinary process against Rangers FC. It would not be appropriate for the administration of justice. But some facts need to be considered and such consideration needs to touch upon the relevant rules currently in place.

I have been following closely the legal strategy of Rangers FC and without commenting, I would like to identify some submissions that may help us realise whether Rangers are indeed receiving a proportionate punishment.

FACT 1: Rangers owe money to creditors. Penalty: Ban from European football with potential loss of income. A punishment with 'double' character. 

FACT 2: Rangers into Administration. Penalty: Deduction of 10 points with removing a further opportunity to challenge for the SPL title. Further loss of income. A punishment with a potential 'triple' character.

FACT 3: Disciplinary Panel ruled on 'Bringing the Sport into Disrepute'. Penalty: Transfer embargo and if it could be set aside [because of the Court of Session ruling], Expulsion, Suspension or Termination of Membership may be applied. A punishment with a 'multiple' character.

FACT 4: Rangers submitted an Application to the Court of Session which means that they breached FIFA & UEFA rules. Penalty: Possible sanctions as No 3 above, but with the implication of 'double punishment', although the SFA rules allow for a combination of the above.

FACT 5: Rangers are being investigated for the use of 'double' contracts. If the allegations are proven, further punishments may be imposed. It is not appropriate to suggest, at this point in time, what the sanctions could be.

There are more facts under analysis but I would refrain from exposing a potential submission that could be used further to elaborate the legal position in terms of sanctions. The question remains, however, whether the above sanctions and the ones that could potentially be added, give rise to further arguments in terms of proportionality. I have not heard Rangers raising this argument, although, legal matters must remain confidential prior to a court hearing. Nevertheless, the Devil's Advocate could submit that the punishment, so far, and the one that may be on its way, may pose a problem in terms of proportionality.

We have of course to consider, whether this kind of self-regulation is appropriate under the circumstances. The Court of Session in Scotland has already indicated that to a certain extent it isn't, although this ruling is open to further interpretation. But we must remember that the Court of Session did not rule on whether the rules of the SFA are improper, but instead it ruled that they have been used improperly. This is a significant distinction which points to the perennial discussion of whether the governing bodies could be trusted to do their job properly.

Whatever your conclusions are, there is only one FACT that remains undisputed: Scottish football has been severely damaged.

I wish you all a good month and a happy summer.

Dr. Gregory Ioannidis

1 June 2012


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