Punishment, IMO, will be a heavy fine (no deterrent to the owners) and a couple of transfer window embargoes (with their squad absolutely stacked, no problems).
Worst that will happen, they may "struggle" to finish top 2 and have a couple of players kept at the club a little longer than planned.
This isn't necessarily about Man City per se, but about how the football authorities have lost control of the game completely. It's like a mirror on society - governments are controlled by the media/multi national businesses; football is controlled by a few dozen owners (and countries.....).
Are we too far down the rabbit hole? Probably.