Cyprus to charge football clubs that owe 4 mln in VAT

The Cyprus Ministry of Finance is expected to file charges against first division clubs for failing to pay value added tax of up to 4 mln euros, news reports said Wednesday.

The charge sheet against the four clubs says they have failed to pay VAT dating back from 2007, which could result in their being struck off by the European soccer body UEFA, the Politis daily said.

At the same time, the island’s football league, KOP, announced that from next year the first division will be reduced to 12 clubs, with four relegated at the end of the 2013/14 season and only two being promoted from the second division.

Economic hardship has hit several clubs in Cyprus, with their management and fans embarking on fund-raising campaigns.

Meanwhile, the local sports media was buzzing with the news that Russian magnate Demetri Rybolovlev was seen in one of the VIP boxes during Monday’s league game between champions APOEL of Nicosia and Larnaca side AEK, suggesting that he might be interested to invest in a local club.

On the other hand, the ENAD basketball team from the Nicosia suburb of Ayios Dhometios, announced that it was withdrawing from the basketball premier league for 2013-2014 due to its poor finances.

The club, a pioneer in championship basketball on the island, will be allowed to play in the second division.