Truro City have been deducted ten points after the club announced it was entering administration this week.
The financially-troubled Blue Square Bet South side made the announcement on Monday, and the league has acted immediately to enforce the fixed penalty.
It means the club now has -2 points and sits bottom of the table, dropping from tenth place.
Kate Breese, of the law firm Walsh Taylor, has been appointed as the official administrator.
A statement issued by the Football Conference reads: “The Football Conference has been advised officially that Truro City Football Club is subject to an insolvency event following the appointment of an Administrator on Tuesday, September 4.
“In accordance with Competition Rules relating to ‘Sporting Sanctions’ the club has had ten points deducted from its league table score in the Blue Square Bet South.
“This sanction is subject to Appeal but a club may only Appeal on the ground that the insolvency proceedings arose solely as a result of a Force Majeure event.
“Such Appeal must be submitted within seven days of the date of notification of the sanction.”
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