The case involves Club Real Atlético Garcilaso de Cusco (Garcilaso) appealing sanctions imposed by the Peruvian Football Federation (FPF) for allegedly fielding an ineligible player, Carlos Ariel Neumann Torres, during the 2017 Torneo Descentralizado. The dispute arose after Garcilaso won matches against Club Sport Alianza Atlético de Sullana (Alianza) and Club Juan Aurich (Aurich), who later contested the player's eligibility due to registration issues. The player had been loaned from Club Guaraní de Paraguay to Garcilaso under a loan agreement valid until June 30, 2017, with an employment contract running until August 19, 2017. On July 13, 2017, Garcilaso extended the loan agreement via FIFA's Transfer Matching System (TMS), which Guaraní confirmed the next day. Alianza and Aurich argued the player's registration was irregular, leading the FPF's Comisión de Justicia to sanction Garcilaso by deducting points and awarding them to the opposing clubs.
Garcilaso appealed to the Court of Arbitration for Sport (CAS), asserting the player was properly registered. The Sole Arbitrator found that the player was validly registered, the loan extension was correctly processed through TMS, the International Transfer Certificate (ITC) remained valid with the FPF, and there was no deregistration. Consequently, the Arbitrator ruled the player was eligible, ordered the restoration of Garcilaso's deducted points, and revoked the points awarded to Alianza and Aurich. The decision emphasized no regulatory breaches occurred regarding the player's registration or eligibility.
The FPF had argued the loan extension constituted a new contract requiring registration during official transfer periods, while Garcilaso maintained the extension was validly recorded in TMS. The Arbitrator determined the loan agreement did not expire de facto, as the player remained with Garcilaso, and both clubs agreed to the extension without altering the original terms. FIFA's regulations do not explicitly require loan extensions to be entered during transfer windows, and the TMS accepted the extension without objection. The ITC also remained with the FPF, as no request was made to return it to the Paraguayan Football Association.
The case highlights the complexities of player registration and loan agreements in football, particularly when interpretations of procedural rules differ between clubs and governing bodies. The Arbitrator's ruling upheld the validity of Garcilaso's actions, reinforcing that sanctions should not apply when no regulatory violations are proven. The decision underscores the importance of adherence to registration procedures and proper documentation to ensure player eligibility and competitive integrity.
Ultimately, the CAS overturned the FPF's decision, restoring Garcilaso's points and adjusting the tournament standings. The case clarifies that loan extensions do not require new registrations if properly documented and processed through official systems like TMS, ensuring transparency and fairness in player transfers. The ruling reaffirms the need for clear contractual terms and compliance with both national and international football regulations.