Leicester City have 'reached an agreement' with the EFL over a dispute over claims that the club broke Financial Fair Play rules.
The Foxes have announced that they have agreed to pay £3,100,000 in order to settle the dispute over their financial records following the 2013/14 Championship campaign.
The club was reportedly adjudged to have to infringe the rules set out by the league as they won promotion to the Premier League. However, in a statement released by the club on Wednesday afternoon, the club told that the EFL are now satisfied that the club did not break any guidelines.
'All matters were taken into account'
The statement read: "The EFL and the Club have reached an agreement to settle a dispute between them, arising out of the financial results of the Club in 2013/14.
"The Club was deemed to have breached the EFL’s Championship Financial Fair Play Rules (“the Rules”) at the time, but proceedings were stayed pending the outcome of a legal challenge by Queens Park Rangers against those Rules.
"In reaching a settlement, the EFL acknowledges that the Club did not make any deliberate attempt to infringe the Rules or to deceive and that the dispute arose out of genuine differences of interpretation of the Rules between the parties. All relevant matters were taken into account when determining the quantum of the settlement."
The settlement of the dispute between the club and the league will come as a relief to most associated with the Foxes. Queens Park Rangers were also embroiled in a battle with the EFL over FFP rules and were reportedly ordered to pay a world-record fine of over £40m.
The rule in its simplest form states that Championship clubs are not permitted to make annual losses of over £8million. The Foxes posted losses of reportedly £20.8million following their victorious promotion campaign.
The resolution however allows the allegations against the Foxes to be dropped and they are now not under threat of any further fine.
The East-Midlanders were promoted with a club-record 102 points during the campaign and have remained in the Premier League ever since.