RELEGATED QPR have insisted they will fight any attempt by the Football League to impose a fine on the club for Financial Fair Play breaches.

Legal proceedings between QPR and the Football League are still going on and an independent arbitration panel will decide on whether QPR are liable.

QPR could face a fine of up to £58million for FFP breaches but are challenging the legality of the rules.

A joint statement from QPR and the Football League said: “Legal proceedings are ongoing as between Queen’s Park Rangers and the Football League.

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“QPR challenges the legality of the Football League’s Championship financial fair play rules and any charge against QPR (if any) for breach of FFP Rules shall not be commenced pending the outcome of that challenge.

“The proceedings are confidential in nature and neither party is entitled to comment upon the proceedings until the independent panel has delivered its decision.”

The outcome of QPR’s challenge could yet have a knock-on effect on the rest of the Football League’s FFP regulations.

Blackburn Rovers are currently under a transfer embargo after falling foul of the new rules.

Like Rovers, QPR submitted their 2013/14 accounts to the Football League - they were in the Championship during that season but were promoted to the Premier League.

At the heart of the issue is a £60million income injection classed as an “exceptional item” in the accounts which was to write off loans.

Without that money being put in by the owners, the club would have reported a loss of £69.7million making them liable for huge FFP fines.

The Football League position is understood to be that such equity injections by club owners are not permitted and therefore the club should be dealt with as though it had made a £69.7million loss. It is over this issue that QPR has started legal proceedings.

Rangers were relegated following Sunday’s 6-0 loss at Manchester City. Ex-boss Harry Redknapp believes the failure hinged on not build ing a squad capable of survival, saying: “Nine of the eleven were playing in the Championship last year.”