Manchester City have avoided a transfer ban after winning their case at the Court of Arbitration for Sport against Argentinian club Velez Sarsfield, Sky Sports News understands.
Velez claimed that the new Premier League champions broke FIFA rules when they signed teenager Benjamin Garre in 2016.
He was 16 at the time, but Argentine officials accused City of tapping him up when he was still 15, and pointed to FIFA rules which say no player can leave their home country until they are 18, unless the player's parents move countries for "non-footballing reasons."
FIFA agreed with City, saying that because Garre holds an Italian passport, he was free to leave Argentina after his 16th birthday, however Velez took the case to CAS.
City were facing the prospect of being banned from registering new players for two transfer windows, after similar punishments were given to Atletico Madrid and Barcelona. Real Madrid have also been given a one-window ban in the past.
A formal announcement from CAS is expected later this week, while Velez could yet make a technical appeal against CAS's decision.