AC Milan is in hot water with UEFA after failing to meet Financial Fair Play regulations.
UEFA have revealed their punishment for AC Milan after the Serie A side were found to have breached their Financial Fair Play regulations.
Investigations into Milan's finances have been ongoing for several months after they spent heavily on the likes of Leonardo Bonucci and Andre Silva last season, only to finish sixth in the league. They made a loss of around £140m in their transfer dealings, and are now set to be punished for their failure to meet UEFA's demands.
UEFA announced the news of Milan's sanctions on their official website, stating Milan have until the summer of 2021 to rectify their financial situation, or they will face an extended ban from European competition.
The statement says: "Accordingly, should the club not be break-even compliant at 30 June 2021, it will be excluded from participating in the next UEFA club competition for which it would otherwise qualify, in the two seasons 2022/23 and 2023/24.
"The club will also have EUR 12 million of its UEFA revenues from the 2018/19 UEFA Europa League withheld and will not be permitted to register more than 21 players for participation in UEFA competitions in the 2019/20 and 2020/21 seasons.
"This decision may be appealed to the Court of Arbitration for Sport, in accordance with Article 34(2) of the Procedural rules governing the UEFA Club Financial Control Body, as well as Articles 62 and 63 of the UEFA Statutes."
Milan may find that they must sell several of their players to raise money. The likes of Patrick Cutrone and Suso have found themselves linked with Chelsea and Liverpool respectively, while they may also be forced to reject permanent moves for Tiemoue Bakayoko or Gonzalo Higuain, who are both on loan at the club this season.