BIRMINGHAM blamed Harry Redknapp and Gianfranco Zola for the historic nine-point penalty that plunged them into a Championship relegation fight.
The punishment dropped Blues to 18th after they admitted breaking EFL money rules.
PA:Empics Sport
PA:Press Association
And League insiders revealed Derby and Aston Villa are at risk of a similar breach.
Birmingham, now bossed by Garry Monk, accused former managers Redknapp and Zola of overspending on transfer fees and player wages.
The St Andrew’s outfit admitted they had breached the £39million three-year loss limit by £10m.
Last season alone they lost a staggering £37.5m and are the first club to be punished under the new profitability and sustainability rules.
But while Blues chief executive Xuandong Ren admitted the board ultimately took the blame, City told the three-man independent disciplinary commission: “This is a case of a club which employed the wrong managers.
“The managers overspent on transfer fees, loan fees, signing-on fees and player wages, having no or no adequate regard to the rules or the club’s financial health generally.”
The EFL’s profitability and sustainability regulations allow clubs to rack up maximum losses of £39m over three years.
But Birmingham, having lost under £8m over the 18 months to the end of 2016, went on a spurge over the next two windows.
This is a case of a club which employed the wrong managers
Birmingham chief executive Xuandong Ren
Under Zola, the club spent £7.45m on four players in January 2017 before he was sacked in April.
Redknapp came in and kept them up — but the Blues made nine permanent signings and five loan deals at a total cost of £23.75m, while adding £8m to the wage bill.
Paying off Zola and Redknapp — and their coaches — took their total losses to £48.8m.
Birmingham accepted they had broken the rules but failed in an attempt to get Monday’s hearing postponed after two club-appointed commission members resigned.
Ren revealed club owner Paul Suen “personally took the decision” to sack Gary Rowett and appoint Zola in December 2016 and to agree transfer budgets of £10m for him and then £22m for Redknapp.
No controls were imposed on the salaries offered and Ren conceded: “We ought to have ensured that we did not sign any new player if doing so would put us in breach of the P&S rules or create a serious risk of a breach.
“We failed to do that. The club accepts responsibility for that failure and for the breach.”
Ren also conceded in cross- examination it was “virtually certain” from June 2017 that the club would break the financial rules.
As a result, Birmingham were placed under a transfer embargo last summer.
Commission chair Charles Flint QC agreed it was “regrettable” it had taken seven months to bring the matter to a conclusion and that it was “desirable” for points deductions to be imposed earlier.
Birmingham have 14 days to appeal and ask for a new panel.
Meanwhile, EFL insiders warned Championship rivals Derby and Villa have until July to get their finances in order or risk punishment — but a points penalty would not impact them if they were to go up.
PA:Press Association
