Manchester City have been banned from signing certain Academy players for two years, the Premier League has announced.
City have also been fined £300,000 for breaching youth development rules relating to the signing of two players.
The ban means City will be unable to sign Academy players in the 10-18 age range who have been registered with another Premier League or Football League club in the preceding 18 months. The second year of the ban, due to begin on June 30, 2018, will be suspended for three years.
A statement from the Premier League read: "Following an investigation, the Premier League found evidence that the club's conduct prior to applying to register the players contravened League rules.
"This included evidence of contact between the club and members of each Academy player's family while those Academy Players were still registered with their previous clubs."
City will not be permitted to retain either player.
The statement added: "In each case, the Academy player was conditionally registered with Manchester City while the Premier League's investigation was ongoing.
"As a result of the club's breaches, the players' registrations will be terminated on a specified date, with no compensation rights retained by the club, and the club will not be permitted to re-register them as Academy players.
"In addition, Manchester City has offered to pay compensation to each player's previous club, and maintain educational provision for each player until the completion of his GCSEs."
City's punishment comes after Liverpool were also hit with a ban on signing Academy players for two years for a similar breach.
Source: PA
