Manchester City are currently appealing a guilty verdict, amid reports that club chiefs reportedly reject the explanation for a dinner attended by Liverpool, Manchester United and Arsenal figures

Manchester City's hierarchy are said to 'reject an explanation' regarding a 2017 dinner gathering involving Liverpool, Manchester United and Arsenal, intensifying suspicions amongst fans that a 'Red Cartel' has been collaborating to engineer their demise.

The former Premier League title holders are contesting severe penalties after being found guilty of 114 financial charges, with an appeal currently underway.

United, Arsenal and Liverpool were three of just four clubs that appointed legal counsel to inform City that they had preserved their right to seek compensation should they be found guilty back in 2024. They are also believed to be amongst the Premier League sides pushing for City to face a significant sanction should their appeal fail.

And there is now growing anger amongst City fans over the apparent involvement of the three clubs.

For those City supporters who believe their club has been targeted by a 'Red Cartel' of rivals plotting to damage their team, a photograph taken by a restaurant patron at a New York establishment co-owned by Hollywood star Robert De Niro serves as Exhibit A in their argument.

The photograph was taken in October 2017, predating the Premier League's filing of 115 charges against City for breaching the league's financial rules in February 2023, but occurring within the 2009-18 period examined by the investigation which culminated in them being found guilty on 114 counts last month, reports the Express.

Liverpool proprietor John W. Henry, Ed Woodward, Joel and Avram Glazer, and Ivan Gazidis, Arsenal's chief executive at that time, were pictured at a dinner one week before a Premier League ballot on future broadcasting income.

Tottenham, City and Chelsea were not present at the event, though this may be explained by the fact that the three clubs in attendance were American-owned, whereas City (Abu Dhabi), Chelsea (Russian) and Spurs (British) were not.

According to ESPN, that rationale has never convinced City, with CEO Ferran Soriano alluding to a 'conspiracy theory' at the pinnacle of English football as he rejected the commission's verdict. The comments were reportedly directed as much towards the leadership of Liverpool, Manchester United and Arsenal as towards the Premier League organisation itself.

ESPN stated that while the club has refused to comment on the purported "cartel", sources have verified that those at the highest level of the club remain convinced about their competitors' aims to create obstacles for them. A source connected to City was reported as stating: "From day one, United, Arsenal and Liverpool have been terrified of losing their ability to dominate everything from the Premier League to the transfer market.

"Chelsea was already a problem for them under Roman Abramovich, but Sheikh Mansour came along [in 2008] and changed everything again, and the red clubs have been in a battle against City ever since."

The narrative surrounding the 'Red Cartel' will not be helped by the assertions from Liverpool owner Henry and former Arsenal boss Arsène Wenger, who openly criticised City's financial practices in 2011, six years prior to the meeting taking place.

Wenger called upon UEFA to scrutinise City and accused them of manipulating the regulations. He said: "We must have done a bad deal. It raises the real question about the credibility of the financial fair play. That is what this is all about. They give us the message that they can get around it by doing what they want.

"It means financial fair play will not come in. It is as simple as that. I can understand how they do it but it raises the real question. The difficulty and the credibility of the financial fair play is at stake.

"Plus, if the financial fair play is to have a chance, the sponsorship has to be at the market price. It cannot be doubled, tripled or quadrupled because that means it is better that we don't do it and we leave everybody free. That can be defended as well, but if they bring the rules in they have to be respected."

Subsequently, taking to social media, the Liverpool chief said: "A club's best player has to be worth at least 10% of your naming rights. Mr. Wenger says boldly what everyone thinks."

The three top-flight sides found themselves in direct on-pitch rivalry with City during the nine-year period spanning 2009 to 2018, competing for Premier League championships. City proved triumphant throughout that era, with their supremacy continuing as Pep Guardiola's squad claimed four successive league crowns.

The Telegraph disclosed earlier this month that United, Liverpool, Arsenal and Tottenham were informed of the guilty verdict at an early juncture and had previously served City with legal notice regarding their right to seek damages.

City have challenged the Premier League's ruling, maintaining they hold 'irrefutable evidence' demonstrating they should have been exonerated of any wrongdoing.

The appeals commission must reach a conclusion within 12 weeks, as stipulated by Premier League rules, establishing a deadline of 21st January. The ramifications of City's behaviour continue to be unclear, with the potential for unprecedented points deductions, demotions and possibly even expulsion from the English Football League (EFL).