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Manchester City held early-stage settlement talks with the Premier League, a move that could’ve helped mitigate the massive sanctions the team may be facing had the discussions not broken down, according to people with knowledge of the matter.

The discussions were held prior to the revelation that Abu Dhabi-backed Manchester City had suffered a seismic defeat in the case, the people said, asking not to be identified discussing private information. The talks, which haven’t previously been reported, quickly fell apart, with Manchester City consistently proclaiming its innocence, the people said.

The settlement would’ve focused on a sizeable financial payment, rather than relegation and stripping of titles, the people said.

Late last month, a Premier League-appointed commission found that Manchester City artificially inflated its financial results by more than £900 million ($1.2 billion), padding revenue from “sham” commercial deals with cash from Abu Dhabi to skirt so-called fair-play rules. Potential punishments include a points deduction, heavy fines or even expulsion from the Premier League. The club is appealing the commission’s verdict.

Given the scale of the Premier League’s case, with Manchester City accused of more than 115 financial charges, any settlement would’ve likely only decreased the size of the case, rather than resolved it, the people said.

Representatives for Manchester City and the Premier League declined to comment. Premier League rules state that, following the appointment of a new three-person appeal board, a verdict of the appeal should be published by early February.

“The Club’s firm position is that, on multiple grounds, the opinion contains clear material errors, of law, principle and fact and is unsafe,” Manchester City said in a previous statement. “The Club is innocent of the accusations made by the Premier League and a comprehensive body of irrefutable evidence exists in support of all of its positions, relating to this case.”

It’s common for settlements to be struck in major financial disputes. Many deals reached by banks with regulators following the financial crisis involved billion-dollar fines, but didn’t include admissions or denials of wrongdoing.

Any potential Manchester City settlement would likely have been vehemently opposed by rival clubs including Arsenal and Liverpool FC, who lost out on Premier League titles during Manchester City’s relentless run of trophies.

The case has spread far beyond football. The charges have even caused splits in the UK government, with Prime Minister Andy Burnham’s comments thanking Manchester City’s owners for their investment riling politicians in his own party who want to keep the process independent of government influence.

The United Arab Emirates has poured more than £30 billion into major UK sectors, including defense, life sciences and technology, and Emirati officials have warned the UK government that the severity of the ruling could undermine their appetite for future grand-scale UK commitments.

Manchester City Held Settlement Talks With the Premier League