Nottingham Forest likely won’t face scrutiny over their last-minute sales before the June 30th accounting deadline if they can prove the transfers were “at arm’s length.”
Finance expert Stefan Borson shared his insights with Football Insider, indicating that Nottingham Forest’s only risk lies in the Premier League requesting transfer paperwork that doesn’t align with their account of the deals.
Nuno Espirito Santo’s side is reportedly close to their allowable losses limit again, having faced a points deduction last season. The club needed to generate substantial profit before the June 30 deadline.
The Premier League reminded all 20 top-flight clubs about the “good faith” regulations regarding transfers before the deadline. Forest was involved in late deals, including Odysseas Vlachodimos’ £12.5 million switch to Newcastle United and Elliot Anderson’s £35 million move in the opposite direction. Orel Mangala also moved to Lyon for £15 million, while Moussa Niakhate left for the French club in a £27 million deal.
Borson acknowledges that Forest’s deals seem like “big” prices but suggests the Premier League is unlikely to challenge them.
He explains that if the deals are truly “at arm’s length,” they won’t face scrutiny. The real issue arises if any of these deals are found to be connected or if the paperwork doesn’t match the club’s narrative.
Referencing a past problem with Brennan Johnson, Borson notes that inconsistencies between the club’s story and the paperwork led to issues.
However, he believes that as long as Forest can demonstrate their transactions are arm’s length, they will avoid challenges.
He does find it curious that Lyon, despite not appearing to have significant resources, has made substantial purchases, including those of Benrahma and Mangala.
Despite this, he thinks Forest will face no challenges if their deals hold up under scrutiny.