Real Madrid could be scrutinized for overspending ‘unexplained amount’ of €122 million: Reports

The club has spent €122 million in "unexplained costs", which has caught the eyes of the financial watchdogs.

Real Madrid could be scrutinized for overspending ‘unexplained amount’ of €122 million: Reports

Real Madrid president Florentino Perez (Credit: Getty)

Real Madrid is facing questions over €122 million in unexplained costs in their latest financial results. The Spanish giants published their financial results for the year ending June 30, 2022, on Wednesday. They showed that the club had made a profit of €874 million. However, the results also showed that €122 million in costs had been allocated to a sub-category of “other operating expenses” without any explanation.

This has led to speculation about the nature of these costs and whether they could be related to financial fair play (FFP) regulations. FFP is a set of rules designed to ensure that clubs do not spend more money than they earn. Clubs that break these rules can be fined or even banned from European competition.

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Madrid have been accused of breaking FFP rules in the past, and they were fined €100 million in 2014. The club has always denied breaking FFP rules, and they have said that the €122 million in unexplained costs in their latest financial results are related to “normal business activities.”

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However, some experts have questioned this explanation. They have said that the costs could be related to player transfers or other financial transactions. The Spanish football federation (RFEF) is reportedly investigating the unexplained costs. It could take action against Los Blancos if it finds that the club has broken FFP rules.

Related: Real Madrid boss Carlo Ancelotti charged with ‘tax fraud’ of €400k by Spanish authorities

Carlo Ancelotti’s replacement at Real Madrid

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Ancelloti could leave Real Madrid next year (Credit: Goal.com)

Carlo Ancelotti looks set to leave Real Madrid for Brazil next year. The club is now looking for his successor. According to reports, Xabi Alonso is the number one option to replace Carlo Ancelotti in 2024. Christian Falk reported in his exclusive column with CaughtOffside that Xabi Alonso appears to be the ‘number one option’ lined up by Florentino Perez to replace Carlo Ancelotti at the helm of Real Madrid in 2024.

Falk said, “We believe Xabi Alonso is the number one option to replace Carlo Ancelotti in 2024. I think at the moment he is one of the biggest solutions and has the best chance to get this job. This is his club and I think that Alonso wouldn’t say no if an offer came next year.” Thus, he is the likeliest option for the club.

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Real Madrid is also considering reappointing Zinedine Zidane for a third time to replace Ancelotti. Current Arsenal manager Mikel Arteta and past Bayern Munich boss Julian Nagelsmann are also in the running. It remains to be seen who replaces the Italian. However, it will be quite a daunting task to follow him up after his success at the club.

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