He was jailed in March 2014 having been found guilty of five counts of money laundering.
During his trial, Yeung was unable to show where almost HK$100m (Â£7.7m) in his bank accounts had come from.
He was later freed on bail pending his appeal but on Monday Hong Kong's Court of Final Appeal issued a judgement dismissing his case.
A statement from the court said: "In his Notice of Appeal, Yeung asks that the judgment of the Court of Appeal in CACC 101/2014 dated 13 May 2015 be reversed, varied or altered or that he might have such other relief as this Court should determine.
"No basis has been made out for such relief and his appeal is dismissed."
Yeung, bought Birmingham City in 2009. The club's prospective new owners- Trillion Trophy Asia - have promised not to sell the club for at least two years.
Former Birmingham City chairman Carson Yeung has lost an appeal against a six year sentence for money laundering.