Lyon 'provisionally relegated' and hit with transfer ban amid mounting £417m debt

Our community members are treated to special offers, promotions and adverts from us and our partners. You can check out at any time. More info French giants Lyon have been banned from making any deals in the January transfer window and are provisionally relegated from Ligue 1 at the end of the season unless they can turn their financial situation around.

The National Directorate of Management Control (DNCG) dished out the punishment to the team owned by American businessman John Textor after a hearing on Friday. Les Gones won seven league titles in a row from 2002 to 2008 and reached the UEFA Champions League semi finals twice during that period. Textor, who also owns shares in Crystal Palace in the Premier League and Brazilian top league leader Botafogo, has had a difficult two years in France owing to the lack of financial stability at the club since his arrival.



Lyon have recently reported financial debt of up to €505.1 million. The relegation is set to take affect come the end of the current season.

"The meeting went well. We have no problems with the continuity of the model or with financial viability," Textor said after the hearing." He also announced a public presentation for Saturday where he will show the documents he presented to the DNCG.

The DNCG maintains strict control and regulation on professional football club accounts so as to avoid overspending and clubs going into administration. Lyon currently sit fifth in Ligue 1 on 18 points and recently visited Ibrox in the Europa League, running out 4-1 winners over Rangers..