(CNN) -- Chelsea's big spending on Europe's transfer deadline day has been criticized by one of the club's English rivals, who questioned how the Premier League champions can meet UEFA's new financial fair-play rules.
The London team announced a loss of $113 million on Monday for the year ended June 30, 2010 -- but then smashed the British transfer record with a reported $80 million acquisition of Spain striker Fernando Torres, and also laid out $34 million for Brazil defender David Luiz.
The Torres deal allowed his former club Liverpool to spend $55 million on Newcastle's relatively unproven England striker Andy Carroll, who is injured, and $36 million on Uruguay forward Luis Suarez.
However, European football's governing body UEFA will take sanctions against clubs who cannot balance their books by the end of the 2012 reporting period. CNN
