Chelsea have been hit with a transfer ban by FIFA which will prevent the club signing any new players for the next two transfer windows.
The Blues have been found guilty of inducing French teenager Gaël Kakuta to breach his contract with previous club Lens.
The 18-year old joined Chelsea from Lens two years ago after which the French club lodged a complaint with FIFA.
FIFA said in a statement: "The DRC found that the player had indeed breached a contract signed with the French club. Equally, the DRC deemed it to be established that the English club induced the player to such a breach.
"As a result the player was condemned to pay compensation in the amount of €780,000, for which the club, Chelsea, are jointly and severally liable, and sporting sanctions were imposed on both the player and Chelsea in accordance with art. 17 par. 3 and 4 of the Regulations on the Status and Transfer of Players.
"A restriction of four months on his eligibility to play in official matches has been imposed on Kakuta. Chelsea are banned from registering any new players, either nationally or internationally, for the two next entire and consecutive registration periods following the notification of the present decision.
"Furthermore, the club, Chelsea, have to pay Lens training compensation in the amount of €130,000."
Kakuta, a skilful left-winger, is viewed as Chelsea's most promising young player. He ended his first season as top scorer in the youth side and was voted Chelsea's Academy Scholar of the Year by staff and peers.
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The Blues have been found guilty of inducing French teenager Gaël Kakuta to breach his contract with previous club Lens.
The 18-year old joined Chelsea from Lens two years ago after which the French club lodged a complaint with FIFA.
FIFA said in a statement: "The DRC found that the player had indeed breached a contract signed with the French club. Equally, the DRC deemed it to be established that the English club induced the player to such a breach.
"As a result the player was condemned to pay compensation in the amount of €780,000, for which the club, Chelsea, are jointly and severally liable, and sporting sanctions were imposed on both the player and Chelsea in accordance with art. 17 par. 3 and 4 of the Regulations on the Status and Transfer of Players.
"A restriction of four months on his eligibility to play in official matches has been imposed on Kakuta. Chelsea are banned from registering any new players, either nationally or internationally, for the two next entire and consecutive registration periods following the notification of the present decision.
"Furthermore, the club, Chelsea, have to pay Lens training compensation in the amount of €130,000."
Kakuta, a skilful left-winger, is viewed as Chelsea's most promising young player. He ended his first season as top scorer in the youth side and was voted Chelsea's Academy Scholar of the Year by staff and peers.
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