The Union of European Football Associations (UEFA) is preparing a criminal complaint in Swiss courts against FIFA president Gianni Infantino over his failed plan to sell a stake in World Cup revenues to investors, including Joshua Kushner's Thrive Capital, for $4.2 billion, a price UEFA lawyers called a “fraudulently off-market price".
The Union of European Football Associations (UEFA) is preparing a criminal complaint against FIFA President Gianni Infantino in Swiss courts for possible financial mismanagement over his failed plan to sell future World Cup profits to private investors.
UEFA said Thursday it filed documents in a Manhattan court requesting discovery of potential evidence from the New York investment fund, Thrive Capital Management, founded by Joshua Kushner.
UEFA also filed a request in a southern Florida district for authorisation of discovery “in a foreign proceeding” against FIFA itself, which has offices in the Miami suburb of Coral Gables.
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Thrive and Kushner were to be the anchor investors intending to pay FIFA $4.2 billion for a 20% stake in a subsidiary that would run the soccer body’s commercial events, including the World Cup.
“UEFA and its counsel are contemplating a Swiss criminal proceeding against Infantino and possibly other FIFA officials for criminal mismanagement under Article 158 of the Swiss Criminal Code,” UEFA’s lawyers state in a 56-page document seen by The Associated Press.
The document suggests the $4.2 billion figure could be a “fraudulently off-market price promoted by Infantino for his own benefit".
Infantino dropped the sell-off plan on August 1 after a furious backlash by global soccer leaders, including UEFA.
UEFA first threatened to take legal action on Aug. 3 when it warned FIFA against destroying or hiding any "relevant materials” related to the plan.
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“Infantino claimed that the plan would ‘unleash the commercial potential and opportunity that FIFA has',” UEFA lawyers told the courts. “In truth, it was a vehicle for Infantino and that small circle to acquire a permanent stake in and otherwise profit from FIFA’s most valuable assets to the detriment of FIFA, its members, and other parties within the football family.
“Under the terms Infantino announced, those investors stood to acquire a permanent financial interest in FIFA’s commercial arm for $4.2 billion, implying an absurdly low enterprise value of only approximately $20 billion, a figure that was neither the product of an open, competitive auction, nor tested by any independent valuer.”
Spokespeople for FIFA and Thrive have been approached for comment.
(FRANCE 24 with AP)
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