FC Twente has been banned from European competition following accusations it “deliberately misled” the Royal Netherlands Football Associations (KNVB) over its involvement with third-party transfers.

The Eredivisie club will not be able to compete for three years in UEFA-organised tournaments from the 2016/17 season through to the 2018/19. It has also been fined €45,250 (£34,928, US$49,454) and faces the threat of losing its professional licence. FC Twente said in a statement that it will not appeal.

The ban refers to the relationship FC Twente cultivated with Malta-based Doyen Sports Investments in 2014, in which the latter supplied financial support in exchange for a stake in players’ transfers.

According to the KNVB, the club failed to inform the commission of changes made to the agreement between the parties a year later. World football governing body Fifa banned third-party ownership last September.

“FC Twente has suppressed some additions in the contract with investment company Doyen Sports and thereby deliberately misled the licence commission,” said a KNVB statement.

FC Twente’s license will be in jeopardy if it cannot demonstrate that it has implemented changes by 1 May 2016. The club said the sanctions would result in the “core of our club football being hit hard”.

“In the coming seasons, we will not be allowed to participate in European football. That hurts. Not only for players and staff, but also to our supporters, sponsors, volunteers and all others who stand wholeheartedly behind FC Twente,” said a club statement.

Under former England coach Steve McClaren, the Enschede-based club won the 2009/10 Dutch league title, although this season it is battling against relegation. In March, the club was deducted three points for its financial difficulties, with a further three point penalty from the KNVB in April.

FC Twente has regularly competed in the Champions League and Europa League since the turn of the century. It was knocked out of the qualifying play-offs for the European League this season by Azerbaijani club Qarabag.