Mexican club Leon have been banned from competing in this summer's Club World Cup in the United States for violating rules on multi-ownership, FIFA announced Friday.
A Fifa appeals committee ruled that Leon and another club from Mexico, Pachuca, failed to meet tournament regulations on the issue of multi-club ownership. Both sides are owned by Grupo Pachuca.
"Club Leon will be removed from the competition, with the club to be admitted as a replacement to be announced in due course," Fifa said in a statement.
Article 10.1 of the tournament regulations states that no club participating in the competition can directly or indirectly hold or deal in the securities or shares of any other club participating in the competition.
The participation of the two Mexican teams was contested by Costa Rican club Alajuelense on the grounds of a conflict of interest.
Leon had been drawn to face English giants Chelsea on June 16 in Atlanta before playing Brazil's Flamengo and Esperance of Tunisia.
The 32-team event takes place from June 14 to July 13 in the United States.