Everton face a 12-point deduction after an investigation into alleged breaches of financial rules by the Premier League club, according to a report on Wednesday.
The Daily Telegraph said Premier League chiefs have asked an independent commission to impose the severe sanction, which would be the largest points penalty in the history of the competition.
Losing 12 points would leave Everton on minus-five points at the bottom of this season’s table.
Sean Dyche’s side are currently in 16th place with seven points after losing six of their first nine games.
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The Premier League referred Everton to the commission in March over an alleged breach of its profitability and sustainability rules over a period ending with the 2021-22 season.
Top-flight clubs are permitted to lose a maximum of £105 million ($127 million) over a three-year period or face sanctions.
The Club is contesting the allegation of non-compliance and says it is ready to defend its position to the commission.
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