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Lyon Fires Legal Salvo at John Textor Over Financial Scandal

Lyon Fires Legal Salvo at John Textor Over Financial Scandal

Arthur Jones
Arthur Jones
Published: Jun 9, 2026

Olympique Lyonnais have launched a scathing legal attack against their former president, John Textor. Following an extensive internal audit into his tenure, the French club have filed a complaint alleging serious financial misconduct and the misuse of corporate assets. The ongoing battle highlights hundreds of millions in questionable transactions under the American's reign.

Lyon Launch Legal Complaint Amid Allegations of Financial Mismanagement

Olympique Lyonnais and its parent company Eagle Football Group have submitted a formal legal complaint to the French justice system, according to RMC Sport, in a case that is widely understood to target former management under John Textor. The complaint relates to alleged misconduct during his tenure between May 2023 and June 2025, marking a significant escalation in the club’s internal governance review.

The filing reportedly focuses on potential offences including misuse of corporate assets and complicity in financial mismanagement. While the complaint is formally against unknown parties (“X”), Lyon’s current hierarchy is understood to be directly addressing decisions made during the previous ownership structure.

Internal Audit Uncovers Serious Financial Irregularities

The legal action follows an independent internal audit commissioned by the club’s board last December, with findings delivered in June by external legal advisers. According to documents reviewed by the board, investigators identified what they described as a “deliberate disorganisation of the company’s activities” and “systematic opacity in financial management.”

The report also highlighted financial flows amounting to several hundred million euros that appeared to lack clear economic justification, raised in the context of cash flow difficulties and delays in social security payments. These findings have intensified scrutiny over how the club was operated during the period under review.

Transfer Operations Under the Spotlight

Attention has also turned to transfer activity within the Eagle Football Group’s multi-club model, particularly dealings involving Brazilian side Botafogo. The audit reportedly flagged unusual financial movements, including Lyon’s payment of more than €40 million for Igor Jesus, despite the player never featuring for the French club.

Similar concerns were raised over the transfer of Luiz Henrique, whose move reportedly generated significant revenue despite limited direct sporting contribution to Lyon. The group has stated it will continue investigations and may pursue further legal action if additional evidence of financial misconduct emerges.

New Leadership Faces Major Reconstruction Task

Current club leadership under Michele Kang and Michael Gerlinger now faces the challenge of stabilising Lyon’s financial structure and restoring long-term sustainability.

With strict economic reforms underway and legal proceedings ongoing, the club is entering a critical restructuring phase. The outcome of these investigations could have significant implications for Lyon’s future ownership direction and broader financial strategy as it seeks to recover from what officials describe as a deeply damaging period.