UEFA is preparing a possible criminal complaint against FIFA President Gianni Infantino in Switzerland over allegations of criminal mismanagement linked to his abandoned plan to sell a stake in FIFA's commercial business to private investors.
The European governing body has also taken legal steps in the United States to seek potential evidence related to the proposed $4.2 billion deal involving New York investment firm Thrive Capital Management.
UEFA Targets Infantino Over Abandoned FIFA Deal
UEFA said it has filed documents in a Manhattan court seeking discovery of potential evidence from Thrive Capital Management, the investment fund founded by Joshua Kushner.
It has also filed a request in a southern Florida district court seeking permission to obtain evidence from FIFA itself as part of a foreign legal proceeding.
Thrive and Kushner were reportedly set to become anchor investors in a proposed transaction under which FIFA would receive $4.2 billion for a 20% stake in a subsidiary responsible for managing the football body's commercial events, including the World Cup.
According to a 56-page document seen by The Associated Press, UEFA's lawyers said they were considering criminal proceedings against Infantino and potentially other FIFA officials under Article 158 of the Swiss Criminal Code, which covers criminal mismanagement.
UEFA's filing further alleged that the proposed valuation could have been significantly below market value.
The lawyers described the $4.2 billion figure as potentially a "fraudulently off-market price promoted by Infantino for his own benefit."
Infantino Abandoned Plan After Backlash
Infantino abandoned the proposed sell-off on August 1 following strong opposition from football leaders around the world, including UEFA.
The organisation had already warned FIFA on August 3 against destroying, concealing or otherwise disposing of any relevant material connected to the proposed transaction.
UEFA's lawyers also challenged the valuation behind the deal.
They argued that the proposal would have given investors a permanent financial interest in FIFA's commercial arm while valuing the business at approximately $20 billion.
According to the filing, that valuation was not determined through an open competitive auction and had not been independently assessed.
UEFA further alleged that the structure could have benefited Infantino and a small group around him at the expense of FIFA, its member associations and other stakeholders.
FIFA And Thrive Asked For Comment
FIFA and Thrive Capital have been approached for comment on UEFA's allegations.
The proposed transaction was ultimately abandoned and UEFA's planned Swiss action remains at the stage of a possible criminal proceeding. The allegations contained in the legal filings have not been established as facts in court.
The developments could create a major legal and governance challenge for Infantino as UEFA continues to scrutinise the circumstances surrounding the proposed FIFA commercial deal.UEFA is preparing a possible criminal complaint against FIFA President Gianni Infantino in Switzerland over allegations of criminal mismanagement linked to his abandoned plan to sell a stake in FIFA's commercial business to private investors.
UEFA Targets Infantino Over Abandoned FIFA Deal
Infantino Abandoned Plan After Backlash
UEFA's lawyers also challenged the valuation behind the deal.
FIFA And Thrive Asked For Comment
The developments could create a major legal and governance challenge for Infantino as UEFA continues to scrutinise the circumstances surrounding the proposed FIFA commercial deal.
Author : Prateek Thakur