The Premier League have referred Everton to an independent commission over an alleged breach of financial fair play rules.
The Premier League are yet to reveal specific details of the club’s alleged breach asides saying it occurred in the period ending with the 2021-22 season.
The Toffees denied wrongdoing and said they were prepared to robustly defend their position having posted financial losses in several recent seasons.
In March 2022, Everton announced losses of £120.9m for the 2020-21 season which meant losses over a period of three years for the club totalled £372m – more than three times the £105m permitted under Premier League rules.
The club maintain that they remain in a secure financial position thanks to owner Farhad Moshiri – and blamed the Covid-19 pandemic for part of the losses.
Everton are also in the process of building their new Bramley-Moore Dock stadium.
They remain in a perilous position in the top flight, sitting 15th in the table – two points above the relegation zone.