Canada fail in bid to overturn six-point deduction in Paris
The Swiss-based body was asked to review the punishment handed down by world football's governing body FIFA which has left the reigning Olympic champions in danger of a group-stage exit at the Paris Games.
Canada have won both of their matches so far, against New Zealand and France, but the penalty means they have zero points with only one group game remaining.
They must now beat Colombia later on Wednesday if they are to advance to the quarter-finals as they seek to repeat their gold medal at the Tokyo Games three years ago.
Canada were docked six points and fined 200,000 Swiss francs by FIFA as a punishment after a staff member used a drone to spy on a New Zealand training session ahead of their match, which Canada won 2-1.
Coach Bev Priestman was previously given a one-year ban from all football-related activity by FIFA for her responsibility in the scandal.
Assistant coach Andy Spence, who like Priestman is from England, was put in interim charge of the team for Sunday's game against France.
Analyst Joey Lombardi was given an eight-month suspended prison sentence and sent home by the team after being caught flying the unauthorised drone.
Lombardi and assistant coach Jasime Mander were also handed one-year bans by FIFA.
Priestman issued a letter of apology on Sunday in which she admitted to being "absolutely heartbroken" and promised to cooperate with an investigation into the affair.
