Been through this one before, Celtic used it to pay off players as they left, Rangers have used it to supplement players wages, which is much more illegal...
That was my understanding, by trying to circumvent the footballing authorities they have broken one of the main rules of competing in the league (on appealing to outside authorities when the SFA and SPL have panels to appeal decisions too). Can only assume a bigger punishment will be imposed because of this.
Bigger punishment like what?
They have 4 options:
1) accept the club has been punished enough.
2) suspend the club from competing in the Scottish Cup.
3) suspend the clubs SFA membership - killing the club in the process and with it Scottish football.
4) expel the club from the SFA - killing the club in the process and with it Scottish football.
They do of course have an option 5. Appeal this decision and suffer further embaressment in the courts.
Tell me, which options do you think are realistic?