Will Juventus be relegated? What happens now? Questions and answers after board members resign

There are many questions surrounding the chaos at Juventus after the resignation of board members, including club President Andrea Agnelli and here are some of the answers about the matter.

LIVE UPDATES: JUVENTUS CHAOS, BOARD MEMBERS RESIGN, WHAT WE KNOW SO FAR

First of all, what’s going on?

As explained on Monday night, this is not so much about the so-called Capital Gains investigation – inflating the transfer fees of player exchanges – but rather something far easier to prove and therefore penalise.

In May and June 2020, 23 players in the squad signed agreements to reduce their salaries by four months during the COVID-19 pandemic to help the club get through this difficult period.

Instead, it was reported and it seems as if Juve are struggling to prove otherwise, that the players gave up only one month’s salary. They seemingly continued to be paid wages ‘in the black’ – allowing the players and club to avoid taxes, but also falsifying the salary bill to make it seem as if the books were balanced. If there is indeed evidence of this, it would be financial fraud.

Will Juventus be relegated like in 2006?

It is still too early to know which implication this case will have on the sporting side. Juventus and other clubs involved in the sporting trial regarding inflated transfer values were cleared of allegations in April 2022, but it remains to be seen if the case will be re-opened following the latest developments.

If it does happen, then nothing could be taken for granted, but as of today there isn’t a new sporting trial so Juventus – as a club – are not in danger of facing any consequence. However, the situation is ongoing and 16 of their directors, including former sporting director Fabio Paratici, are currently under investigation and could face a criminal trial for alleged false accounting.

If a new sporting trial takes place, the Bianconeri could be relegated just on one condition.

Juventus were relegated in 2006 after a match-fixing scandal, but it was ruled by a sporting court which at the moment is not involved.

Will Juventus be sold?

No. The Elkann-Agnelli family will continue to run the club even if Andrea stepped down as President. Exor, the holding company with a controlling stake in the club, has already named a new CEO and the successor of Agnelli and will soon name the new board of directors. The shareholders’ meeting will take place on December 27.

However, fans who called for club legend Alessandro Del Piero to become President will be disappointed. What emerges from the appointments of the new President and CEO is that John Elkann wants to have specialised technical figures inside the club who have the skills to navigate the chaos and ultimately fix the financial situation. Juventus registered a record loss of over €250m for 2021-22.

Is this situation linked to the Ronaldo deal?

Not entirely. Clearly, the signing of Cristiano Ronaldo in 2018 brought a substantial financial burden which got almost out of control with the COVID pandemic in 2020.

However, the ex-Manchester United striker is somehow involved as he was one of the players who allegedly received hidden payments after the peak of the pandemic in March 2020. Investigators reportedly found an undisclosed document signed by the Portuguese superstar which basically allowed him to receive payments despite declaring that he and other team members would give up on four months’ wages.

Investigators believe Juventus players and staff members received money without communicating it to FIGC or to the stock exchange market. La Stampa reported in October that CR7 refused to meet the Turin prosecutor to answer questions about the matter.

What happens next?

The club’s shareholders’ meeting, will still take place on December 27, while the new board of directors is on January 18, 2023. The club have already appointed a new CEO and Exor have named their candidate to replace Andrea Agnelli.

READ MORE – WHO ARE JUVENTUS’ NEW PRESIDENT AND CEO?

Maurizio Arrivabene has resigned along with nine other board members but will remain in charge until the shareholders’ meeting in January.

After denying any wrongdoing in their balance sheet, Juventus will have to fill a new financial statement following the guidelines of CONSOB, the Italian body in charge of supervising activities in the stock exchange market, which asked for clarification on the club’s balance sheet at June 2021.

Because of CONSOB’s request, Juventus postponed the shareholders’ meeting to late December and then to January 2023.

“Juventus will continue to cooperate with supervisory and industry authorities, without prejudice to the protection of its rights in relation to disputes against the financial statements and communications of the Company by CONSOB and by the Prosecutor’s Office,” the Bianconeri said in a statement on Monday.