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Olympique Lyonnais Relegated to Second Division Due to Debt

The historic French club Olympique Lyon has been relegated to the Second Division (Ligue 2) due to financial mismanagement and failure to comply with financial regulations.

The decision to demote the club was made by France’s National Directorate of Management Control (DNCG) following a meeting held on Tuesday, June 24, 2025. The meeting reviewed the club’s financial situation, and after hearing from Olympique Lyonnais, it was concluded that the club must play in the Second Division for failing to clearly explain its financial structure and settle debts amounting to €175 million.

Once a giant in French top-flight football, Olympique Lyonnais came under scrutiny after it was revealed that its parent company, Eagle Group, owed €175 million to various entities.

Despite attempts by Eagle Group’s president, John Textor, to reduce the debt by selling several players, and even selling his shares in the English club Crystal Palace, the efforts did not bear fruit.

Olympique Lyonnais has been granted seven days to appeal the decision if they are dissatisfied with the ruling.

Founded in 1950, this will be the club’s first time playing in the second division. Olympique Lyonnais previously won the French Championship seven times in a row.

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