Leicester have been referred to an independent commission for breaching profit and sustainability rules (PSR) and failing to submit audited finances.
If found guilty the Championship high-flyers could face a points deduction.
The Foxes are also subject to a separate financial probe by the English Football League (EFL).
Leicester, who were relegated at the end of last season, said they were “surprised” and “disappointed” by the timing of the Premier League’s actions, when the club is not in the top flight.
The club added they would “defend” themselves “from any unlawful acts by the football authorities, should they seek to exercise jurisdiction where they cannot do so”.
Leicester are yet to make their accounts for their last season in the Premier League publicly available, but in the 12 months up to May 2022 they lost a club record £92.5m.
A year earlier, in the season when they lifted the FA Cup for the first time, the club reported a pre-tax loss of £33.1m.
Top-flight rules permit clubs to make losses of £105m over a three-year period, or £35m per campaign, before facing sanctions.
At the turn of the year, Leicester looked certain to bounce straight back up to the Premier League, topping the Championship table and with a 13-point gap over third place Southampton.
But a run of poor form – including one win in their last five league games – has seen Leeds overtake them at the top.
SOURCE – Leicester City: Premier League charges Championship club with alleged breaches of financial rules – BBC Sport
