I agree, it seems that way IF found guilty, but it may also be not guilty territory.
Whatever you might think about City I seriously doubt that their lawyers would advise them to just openly commit financial crimes with no way of hiding or denying that that’s what they’ve done. Abu Dhabi invested enormous amounts of money to build up a valuable brand- this is only worthwhile for them if City retain their status. Ignoring whether they are actually guilty or not of breaking FFP, I’d guess that both sides feel they have a pretty strong case.
I would not be too upset if Ipswich got promoted this season and met Man City on their way down though! Would be the biggest match at PR for quite some time.