The long-standing issue of football club debts in Cyprus took a new turn following a letter from the Ministry of Finance to the Cyprus Football Association (CFA) and the First Instance Licensing Committee, and a scathing joint statement from five clubs accusing the government of political interference.

On Wednesday, the Ministry sent the CFA detailed data concerning the debts owed by clubs to the Social Insurance Fund (TKA) and the Tax Department, data which should have been made available to the Licensing Committee no later than last Friday, before its deliberations on whether the clubs had met their payment obligations to the state.

The Committee had officially requested the information via two letters to the Ministry, seeking clarity on the clubs’ compliance with the April 2023 debt repayment scheme. However, according to the Ministry’s Director General Andreas Zachariadis, the following five clubs still owe substantial amounts to the Tax Department: APOEL, Anorthosis, Apollon, AEL, and Ethnikos Achnas.

Additionally, these five clubs—along with another seven (Nea Salamina, Omonia 29M, Othellos, Omonia Aradippou, EN Zakakiou, Doxa Katokopias, Olympiakos Nicosia, and PAEK)—owe significant amounts to the Social Insurance Fund. Ethnikos Achnas, while in debt, is currently enrolled in an active repayment agreement, which a club official claims is being strictly followed.

In a joint statement issued yesterday evening, the five primary clubs denounced the government, claiming it is acting with political motives against historic teams, which they say have made long-standing contributions to society and sport.

The clubs sharply criticized the MoF for claiming, during a Parliamentary Finance Committee session, that it was unaware of previous repayment agreements negotiated between the Tax Commissioner and club representatives. “This is a mockery of public opinion,” the statement read, citing the Tax Commissioner’s confirmation in Parliament that he had twice recommended the clubs remain in the repayment scheme due to their demonstrated consistency.

The statement also alleged that the Ministry failed to respond to those letters, just as it failed to reply to CFA’s own repeated requests for updates on club tax compliance.

The clubs pointed to a previous comment by Finance Minister Makis Keravnos to Brief, in which he said: “It is not possible for the Ministry to handle dozens of tax issues daily. If the Commissioner determines there is a viable repayment proposal with specific timelines, then the clubs should remain in the scheme and repay their debts.”

They questioned what political motives may be at play, calling on the President of the Republic—who recently stated that sport is a key investment for Cyprus—to back up his words with action.

The situation now raises questions over how the Licensing Committee and CFA will respond to the Ministry's letter.

Nik Nikolaou, a member of the Licensing Committee, told MPs it would be inappropriate to comment on what action the Committee might take. However, he clarified that the Ministry was informed about the issue before its May 15 letter.

Christakis Christofides, Chairman of the Licensing Committee, told Brief the Ministry's letter has already received an official electronic reply and that the Committee would now review both the Ministry’s correspondence and its forthcoming responses. He noted that debt compliance is assessed quarterly, and the May evaluation covered debts through March. The next review is scheduled for September 1, covering the April–June quarter.

Christofides questioned why the MoF delayed sending the TKA data, even though it had received it on May 23—the very day the Committee met. He also stated that the Tax Department data was available to the Ministry well in advance.

During the Finance Committee meeting, Tax Commissioner Sotiris Markides noted that football clubs, unlike businesses, received no pandemic-related financial support, despite playing in empty stadiums during COVID-19 restrictions.

He also highlighted that clubs are still waiting for financial assistance promised from increased betting revenue tax, which exceeded €1 million in January and February 2025, compared to just €600,000 in the preceding two months.

According to Tax Department data, the five clubs’ outstanding debts are:

• APOEL: €11.6 million

• AEL: €5 million

• Apollon: €4.8 million

• Anorthosis: €4.2 million

• Ethnikos Achnas: €100,000

Markides told MPs that he retains the legal right to freeze the bank accounts of non-compliant clubs. “Is that what Parliament wants?” he asked, receiving no response. He stressed that he applies the law equally to all entities and individuals.

“It’s not right to punish someone who is trying to fulfil their obligations with a clear commitment and schedule,” he said. He added that the five clubs have already repaid roughly 50% of their old debts.

The issue was placed on the committee’s agenda by three DISY MPs, though the debate took place after the CFA had already issued its licensing decision—prompting some to question the session’s overall usefulness.