The former Rangers football club has been fined around £250,000 by the Scottish Premier League for failing to register players correctly, but will keep its league titles, STV has reported.
The club faced losing up to five league trophies ahead of the ruling by an independent commission.
The fine must be paid by Rangers oldco, which is now in liquidation, rather than Charles Green's new company, which bought the club's assets last July.
The Scottish Premier League have confirmed that they have offered this season's last remaining place to Dundee. The Irn-Bru First Division runners-up were chosen ahead of relegated Dunfermline during the league's annual general meeting at Hampden.
Despite reports of a possible U-turn in recent days, SPL clubs agreed to work towards the decision made by Scottish Football League clubs to put Rangers in the Third Division.
An SPL statement read: "It was agreed that the SPL would work with the Scottish FA, SFL and Rangers to facilitate Rangers FC taking their place in SFL Division 3 this season."It was agreed that Dundee FC would be invited to fill the space vacated by Rangers FC in the Clydesdale Bank Premier League."
Dundee will be invited to replace Rangers in the Clydesdale Bank Premier League, the SPL have confirmed.
Ally McCoist's presence at the annual SPL meeting today has fuelled speculation that Rangers' Scottish League destiny did not end with last week's SFL vote.
Reports of a possible U-turn have been dismissed by Aberdeen, Dundee United, Hearts and Inverness since Friday's vote.
Rangers newco chief executive Charles Green and manager Ally McCoist arrived at Hampden this morning ahead of the Scottish Premier League annual general meeting. The SPL clubs will also decide who is to replace Rangers as the 12th club in the league.
Green's bid to acquire Rangers' share in the competition was rejected by SPL clubs on July 4 and his club were subsequently voted into the fourth tier of Scottish Football.
The SPL will hold their annual meeting today with the main task of deciding who replaces Rangers as the 12th club in the division. The decision comes after the Ibrox team were demoted to the fourth tier of Scottish football.
Favourites to replace Rangers are Dundee or Dunfermline. Dundee are in the running after narrowly missing out on promotion from the Scottish First Division last year, whilst Dunfermline are staking their claim on the basis that they were the last club in the league before being relegated last year.
Following today's decision by the SPL to have Rangers playing in the Scottish 3rd Division from next season, Rangers Chief Executive Charles Green said:
Rangers manager Ally McCoist has responded to the news that Rangers has been demoted to the Scottish Division 3: