Real Madrid, Barcelona and five other Spanish clubs are in trouble with the European Commission. The EC is undergoing an investigation into the teams who allegedly received illegal state aid, Spanish Foreign Affairs minister Jose Garcia-Margallo has announced.
The EC will begin the thorough investigation among the two Spanish giants along with Elche, Hercules, Athletic Bilbao, Osasuna and Valencia and determining if they had obtained the illegal grants from the Spanish government as federal assistance Garcia-Margallo said.
Although the Spanish government denies the allegations and Garcia-Margallo defends the accused teams, the Foreign Ministry spokesperson confirmed Garcia-Margallo’s comments despite refusing to be identified for political reasons.
The Spanish Foreign Affairs minister said in Brussels “it is obvious that the Government will defend the seven clubs which are all part of the brand Spain.”
The EC will take a look at the tax statuses of the four fan-owned clubs – Real Madrid, Barcelona, Atletico Bilbao and Osasuna – since they are all labeled as non-corporations and may have been receiving unreasonable tax breaks while also having the advantage of obtaining exlusive tax exemptions.
If the teams are found convicted of acquiring aid, they will have to repay the amount. The Spanish clubs will have four months to prove their innocence before a decision is finalized.
