The Sunday Mirror says Balotelli is taking Manchester City to a Premier League tribunal to overturn a £340,000 club fine.
City handed down the fine after deciding that Balotelli was guilty of a series of breaches of discipline.
But the 22-year-old believes that the punishment is unjust.
After failing with an appeal to the club's hierarchy, he instructed his agent to pursue City through a tribunal.
If Balotelli loses his appeal, he faces paying the five-figure costs of the hearing, as well as the fine.