Graves devastated as Yorkshire miss out
Yorkshire chairman Colin Graves said he was "totally and utterly disappointed" at the England and Wales Cricket Board's decision to throw Yorkshire out of the Twenty20 Cup for fielding an ineligible player.
Graves said Yorkshire may appeal the decision and said: "We are totally and utterly disappointed.
"We put in a very good presentation. We'll have a sit down and decide what to do next."
Representatives from Yorkshire, Nottinghamshire and Durham made presentations before the panel - which also included Lancashire members James Pickup QC and Lancashire vice-chairman Judge Edward Slinger - made their decision.
Confusion surrounded the meeting after officials claimed no representative from Durham would attend the meeting, only the county's chief executive David Harker to arrive. It started 45 minutes late at 4.15pm.
The verdict means that Nottinghamshire will now play Durham to decide who progresses to finals day, to be held at Hampshire's Rose Bowl on July 26.
Harker said he was disappointed at the panel's decision to make Durham play Nottinghamshire.
He said: "We are not exactly delighted about it (the decision). I was a bit surprised that Nottingham were gifted the two points.
"We have to try and pick up now even though we won't be at full strength. It appears we have suffered at the hands of Yorkshire's misdemeanour."
The Durham chief said in the aftermath of the decision to postpone the match against Yorkshire that his side should receive a bye into the semi-finals, arguing that Durham would not be able to field the same team they had assembled for the Yorkshire game.
Harker felt Durham would struggle to field a full-strength side to play Nottinghamshire with doubts over the availability over South African pair Shaun Pollock and Albie Morkel, who had played all Durham's group matches.
Harker, who has not ruled out seeking compensation for the fiasco, also revealed that the club have been in negotiations with Shivnarine Chanderpaul about the West Indies batsman playing against Nottinghamshire.
Notts chief executive Derek Brewer was delighted to see his side reinstated into the tournament.
He said: "It has been a very difficult period for cricket over the last few days.
"We didn't make any expectations but we put our arguments forward well. We now have a quarter-final to look forward to."
Former Yorkshire batsmen and England chairman of selectors Ray Illingworth said the ECB had to clear up the confusion surrounding the status of overseas players.
He said: "It seems a bit daft that this lad can go and captain England at Under-15 and Under-16 level and not be allowed to have a British passport. He should've been able to get one by now."