Fenerbahce will not be allowed to play in this season's Europa League or qualify for the Champions League next season.
The Turkish side were first expelled in June after it was revealed that club officials helped fix matches to win the 2011 Turkish league title. UEFA rules bar clubs which are implicated in fixing matches played since April 2007.
However, UEFA agreed to let Fenerbahce play Champions League matches whilst they awaited the verdict of their appeal with the Court of Arbitration for Sport.
Had the ban not stood they would have been heading into the Europa League, having been beaten 5-0 on aggregate by Arsenal in their Champions League qualifier.
But the Court of Arbitration for Sport has dismissed the Turkish club's appeal against a two-year competition ban which had been imposed by UEFA.