Sheffield Wednesday are facing the prospect of a 15-point penalty after breaching English Football League financial regulations through repeated failures to pay players' wages on time.
The Championship club has missed salary payment deadlines in five of the past seven months, prompting the EFL to prepare charges that will be heard by an independent disciplinary commission.
Under current regulations, clubs can receive a three-point deduction for each instance of late payment, which in Wednesday's case could total 15 points.
The commission will consider mitigating circumstances and previous sanctions imposed on other clubs when determining the final penalty, with precedents ranging from Reading's one-point deduction in 2023 to Wigan's eight-point punishment during the 2023-24 season.
Sheffield Wednesday are in crisis and are facing possible punishment from the EFL | PAOwner Dejphon Chansiri has come under intense criticism for the club's financial management, with wages due on 29 September not reaching all senior players by the month-end deadline of midnight on 30 September.
Whilst junior players and administrative staff received their salaries, along with some senior squad members, several first-team players remain unpaid, constituting a breach of EFL regulations.
The extensive nature of Wednesday's financial violations could influence the disciplinary commission to impose severe sanctions, particularly given the club's lengthy record of regulatory breaches.
Sources suggest the eventual penalty will likely fall between the precedents set by Reading and Wigan, though the commission retains discretion to implement the maximum punishment given the repeated nature of the offences.
The club currently operates under five separate transfer embargoes, preventing them from registering new players until all outstanding financial obligations are met.
**SIGN UP FOR OUR FREE DAILY GB NEWS SPORTS NEWSLETTER HERE**
Dejphon Chansiri has challenged Sheffield Wednesday fans to help save the club | GETTYThese restrictions mean Wednesday cannot sign free agents unless they possess fewer than 16 "permitted players" - those who have started three or more matches at their current competitive level throughout their careers.
With the squad already containing 16 such players, the club faces severe limitations on recruitment options whilst the embargoes remain in place.
Manager Henrik Pedersen must work with the remaining squad at Hillsborough, unable to strengthen his team despite the challenging circumstances created by the ongoing financial crisis.
LATEST SPORTS NEWS:
Supporters have organised demonstrations ahead of Saturday's lunchtime fixture against Coventry at Hillsborough, expressing their frustration with the club's financial mismanagement.
The protests reflect growing anger amongst the fanbase over the ongoing crisis under Chansiri's ownership and its impact on the team's stability.
Sheffield Wednesday have been placed under an five separate transfer embargoes
|GETTY
On the pitch, Wednesday secured a 2-2 draw at Birmingham City on Tuesday evening, a result that lifted them to third from bottom in the Championship table after eight matches.
The point gained at St Andrew's provides minimal relief from their precarious position, with the threat of a substantial points deduction potentially plunging them deeper into relegation danger.