Crystal Palace chairman Steve Parish has condemned UEFA’s decision to demote the FA Cup winners from the Europa League to the Conference League as “one of the greatest injustices” in European football history. The ruling, announced on Friday, stems from American businessman John Textor’s ownership stakes in both Palace and French club Lyon.
Palace earned their Europa League spot by defeating Manchester City 1-0 in May’s FA Cup final, claiming their first major trophy in the club’s 164-year history. However, UEFA’s Club Financial Control Body (CFCB) ruled that Textor’s 43 per cent stake in Palace, combined with his majority ownership of Lyon, violated multi-club ownership regulations.
The decision came despite Palace missing UEFA’s crucial 1 March deadline to resolve the ownership conflict, and Lyon’s successful appeal against relegation to Ligue 2 earlier this week, which reinstated their Europa League qualification.
‘Terrible Injustice’ Claims Parish
In an exclusive interview with Sky Sports News, Parish launched a scathing attack on UEFA’s ruling, vowing to appeal through the Court of Arbitration for Sport whilst calling on UEFA president Aleksander Čeferin to intervene directly.
“Obviously we’re devastated,” Parish said. “We’re devastated for, most importantly, the supporters. It’s a bad day for football. It’s a terrible injustice. We’ve been locked out of a European competition on the most ridiculous technicality.”
Parish strongly rejected suggestions that Palace and Lyon operated as part of a multi-club ownership structure. “Everyone knows we’re not part of a multi-club setup. We don’t share any staff. I think we’ve shown John had no influence over our club. This is a ludicrous decision.”
The Palace chairman described the regulation as a “crazy rule” that the club had inadvertently triggered. “We’ve caught a tripwire. We’re caught up in a rule that wasn’t put there for us,” he explained.
Ownership Complications
The controversy centres on John Textor’s Eagle Football Holdings, which owns 77 per cent of Lyon whilst holding a 43.9 per cent stake in Palace. UEFA regulations prohibit any party from holding more than 30 per cent in multiple clubs competing in the same European competition.
Palace had argued that Textor exercised no “decisive influence” over the Premier League club’s operations. The south London club highlighted that they shared no staff, players, loans or transactions with Lyon.
Textor has reportedly agreed a £190 million deal to sell his Palace stake to New York Jets owner Woody Johnson, subject to Premier League approval. Additionally, Textor stepped down as CEO and board member of Lyon in June, transferring control to Michele Kang.
However, UEFA ruled these changes came too late, insisting all ownership modifications needed to be completed before the 1 March deadline to qualify for the following season’s competitions.
Historic Victory Tarnished
The demotion casts a shadow over Palace’s historic FA Cup triumph at Wembley, where Eberechi Eze’s 16th-minute strike secured victory against Manchester City. The win ended a 120-year wait for major silverware and marked the club’s first European qualification.
Dean Henderson’s penalty save from Omar Marmoush proved crucial in the victory, whilst the goalkeeper controversially escaped a red card for handling outside his area earlier in the match. The triumph was particularly poignant for Parish, who saved the club from potential liquidation in 2010.
Palace’s success under Oliver Glasner had transformed expectations, with European qualification suddenly more realistic than relegation battles. The Austrian manager had built an exciting team featuring Eze, Marc Guéhi, Adam Wharton and Jean-Philippe Mateta.
Wider Implications
Palace are not alone in facing UEFA’s stricter enforcement of multi-club ownership rules. Irish club Drogheda United were removed from the Conference League due to ownership conflicts with Danish side Silkeborg IF, whilst Hungary’s FC DAC 1904 Dunajská Streda faced similar exclusion.
The Eagles’ demotion means they must now navigate Conference League qualifying playoffs rather than guaranteed group stage participation. Nottingham Forest, originally scheduled for the Conference League, will be promoted to the Europa League pending Palace’s appeal outcome.
Sky Sports‘ chief correspondent Kaveh Solhekol explained the ruling’s basis: “Lyon, who finished sixth in the French first division and have enormous debts – around €400m – will play in the Europa League. Palace, who have never broken any FFP rules, have been demoted.”
Appeal Process Ahead
Palace must file their CAS appeal swiftly, with a fast-track hearing required before Conference League qualifying playoffs begin in August. The draw for the Europa League is also scheduled for August, adding urgency to the proceedings.
Parish called for immediate UEFA intervention: “It will change. Nobody’s going to stick with this rule. I don’t understand why the panel have come to the conclusion they’ve come to. We’ve proved to them beyond all reasonable doubt that John didn’t have decisive influence over anything to do with the football club.
The CFCB is chaired by Sunil Gulati, former president of the US Soccer Federation and Columbia University economics professor. The panel’s workload has increased significantly due to growing multi-club ownership structures across European football.
As Palace prepare their appeal, the case highlights the complexities of modern football ownership and UEFA’s determination to enforce separation between clubs with shared investors, regardless of practical influence or operational independence.
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