FIFA Update – Payment to FAI Revealed; Blatter Insists On Reforms; Valcke and Teixeira Under Scrutiny
June 5, 2015
FIFA made a payment of $5m to the Football Association of Ireland to prevent legal action from the body after they were beaten controversially by France in a World Cup play-off in 2009.
The claims come amid the ongoing crisis in world football’s governing body, with president Sepp Blatter announcing he is to step down despite being re-elected, a widening investigation into corruption allegations by the US Department of Justice and a separate investigation by Swiss authorities into the awarding of hosting rights for the 2018 and 2022 World Cups.
Drawing 1-1 in Paris, the Republic of Ireland were 16 minutes and a penalty shoot-out away from the 2010 World Cup in South Africa when Thierry Henry handled the ball in the build-up to William Gallas’s extra-time equaliser.
With France going through on that contentious decision, FAI chief executive John Delaney said he had believed there was a case for compensation
“We felt we had a legal case against FIFA because of how the World Cup play-off hadn’t worked out for us with the Henry handball,” Delaney said in a radio interview with Ireland’s national broadcaster RTÉ.
He added: “We came to an agreement. It’s a very good agreement for the FAI and a very legitimate agreement for the FAI.”
A FIFA spokesman admitted the payment, but insisted the $5m was a loan granted for the building of a stadium in Ireland.
“FIFA granted FAI a loan of $5million for the construction of a stadium in Ireland. At the same time, UEFA also granted the FAI funds for the same stadium,” the FIFA statement said.
“The terms agreed between FIFA and the FAI were that the loan would be reimbursed if Ireland qualified for the 2014 FIFA World Cup. Ireland did not so qualify. Because of this, and in view of the FAI’s financial situation, FIFA decided to write off the loan as per 31 December 2014.”
Northern Ireland’s Jim Boyce, who retired as a FIFA vice-president last week at the congress in Zurich, said “I’m absolutely astounded. I have never heard anything as ridiculous in my life.
“If a payment of $5m has been paid because of a handball and threatened legal action, then I hope a full investigation will be carried out into this and any other such arbitrary payments.”
Blatter Moves Ahead With Reforms
Meanwhile, Blatter has maintained he is continuing with a “comprehensive programme of reform” for FIFA.
In a statement, the 79-year-old explained how he had met with Domenico Scala, independent chairman of the audit and compliance committee, to decide on the next steps forward following his announcement this week.
“I had a good, constructive meeting with Mr. Scala to establish a framework for action and a timetable. I am pleased to take advice and guidance from Mr. Scala,” Blatter said.
“I want a comprehensive programme of reform and I am very aware that only the FIFA Congress can pass these reforms. Furthermore, the Executive Committee has a particular duty to share the responsibility of driving this process.”
FBI Investigation Now Includes Brazil 2014
The investigation into corruption in FIFA now includes the awarding of the hosting rights to the 2014 World Cup to Brazil.
That means the FBI are now scrutinising three of the past five World Cups and the award of the next two as well.
Brazilian newspaper O Estado de S Paulo is reporting that US authorities are looking at the links between FIFA secretary general Jerome Valcke and former Brazilian Football Confederation president Ricardo Teixeira in regards to Brazil winning the hosting rights in 2007 unopposed.
The Brazilian was also a member of the FIFA exco and was not one of the 14 indicted in the US investigation, but his colleague and successor Jose Maria Marin was one of several detained in Zurich.
Teixeira fled to Miami in 2012 after being named in a Swiss prosecutors report as having taken bribes for World Cup marketing rights along with then-father-in-law, and former FIFA president, Joao Havelange.
However reports say Teixeira is now back in Rio de Janeiro having put up his Miami home for sale at $12m.
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