Commentary
World Cup of fraud and confederation of lies
- by Paul Kennedy @pkedit, May 28, 2015
(@pkedit)
There is only one word to describe the 164-page indictment filed by Federal prosecutors against 14 soccer officials and marketing executives on Wednesday in Federal court in Brooklyn.
Mind-blowing.
I know a little about the law, still holding on to my associate membership in the Virginia bar more than 30 years after last practicing, and I know a little about Concacaf.
After the fall of Jack Warner, Concacaf sought to show off its new self and organized a sports summit in the Caymans Islands in October 2013. I happen to work for France Football as the Concacaf whip on the FIFA Ballon d'Or, seeking out journalists in the remote Caribbean islands and making sure they vote, so I was invited to attend. At my own expense, I traveled to Caymans -- yes, the beaches are as beautiful as they look in pictures -- and listened for eight hours as lecturers were paraded out to talk about their success stories and best practices. They were all sincere in their efforts. "Transformation," as the new Concacaf president Jeffrey Webb called it, was the theme.
Turns out, it was probably all a lie.
If the charges in the indictment are true, the only thing transformative about the change in regimes at Concacaf is that Webb, installed by FIFA president Sepp Blatter to run the organization in 2012, turned the practice of seeking kickbacks begun under Warner into an art form. "The World Cup of fraud" is how Richard Weber, head of the IRS Criminal Investigation division, termed it on Wednesday.
No one believed for a minute that Warner -- whose two sons, Daryll and
Daryan, and longtime buddy Chuck Blazer, were flipped by the FBI -- was clean, but Webb? He was touted as the reformer, the proponent of transparency,
the head of FIFA's audit committee, the man who was going to clean up racism and discrimination in soccer. He had all the credentials to one day succeed Blatter as FIFA president.
But
that didn't seem to be important to Webb. By the end of 2013, his second year in charge of Concacaf, Webb had brought Traffic, which had for more than 20 years been paying out millions in kickbacks,
back into the fold as Concacaf's commercial agency and began carving up events like World Cup qualifying, the Gold Cup and Concacaf Champions League, striking three deals with Traffic that netted him
more than $6 million in bribes.
Now one of 11 FIFA officials provisionally suspended in the aftermath of Wednesday's indictment, Webb
apparently went out of his way to conceal the payments, using Costas Takkas, a soccer crony from the Cayman Islands, as an intermediary. On one occasion, funds
were transferred through Takkas, now given the title of Concacaf attache, to an account in the name of a swimming pool contractor, who was building a pool for Webb in Blairsville, Georgia.
We could not make this stuff up.
Webb was taken away by Swiss police from the Baur au Lac hotel in Zurich on Wednesday. It is not clear what are his whereabouts and whether he is
fighting extradition back to the United States. But it's clear his indictment could have wide-ranging repercussions.
Concacaf. The raid by Swiss
police in Zurich was followed by a raid on Concacaf offices in Miami later in the day. Concacaf has managed to have been disgraced by two generations of leadership. All in four years. Warner and
Blazer, his general secretary, in 2011. And Webb and Enrique Sanz, hired as Blazer's replacement from Traffic in 2013 and the unindicted "co-conspirator No. 4"
in the Federal indictment, now.
The former regime left Concacaf's finances in a mess, the organization having its tax-exempt status revoked and in danger of owing the IRS millions. It's
not clear what shape Concacaf's finances are in today. All we know is it has outstanding commercial rights deals with Traffic for Concacaf events and Datisa for next year's Copa Centenario to the tune
of millions of dollars. Will they ever pay up?
Traffic's owner, Jose Hawilla, copped a plea in December, agreeing to forfeit $151 million. Two
Traffic firms pled guilty two weeks ago to wire fraud conspiracy. And four executives associated with Datisa's partners were indicted in a $110 million scheme to pay out bribes to the presidents of
the 10 Conmebol federations for the rights to the next four Copa Americas. Just a little trouble.
Oh, and Concacaf has the little matter of organizing the Gold Cup that starts in less
than six weeks.
2016 Copa Centenario. Sentimentality had nothing to do with next year's Copa America, organized in the United
States to celebrate the tournament's 100th anniversary. It was the masterpiece of a grand scheme -- the proverbial criminal enterprise -- to line the pockets of the presidents of the 10 Conmebol
federations, each getting a share based on the importance of the federation.
The Copa Centenario was going to be so lucrative that three rival agencies, Traffic among them, banded
together to form Datisa and agreed to pay out $77.5 million to Conmebol and $35 million to Concacaf for commercial rights -- and $30 million in bribes.
The Copa Centenario is being billed
as the biggest soccer event to come to the United States since the 1994 World Cup. Several dozen cities were in the process of submitting bids to host matches. Will it ever be played? That's hard to
imagine now.
2026 World Cup. Where Webb's seeming fall could really hurt concerns the race for the 2026 World Cup. He has been outspoken that it's
Concacaf's turn -- read that the USA's turn -- to host the 2026 World Cup after Russia 2018 and Qatar 2022.
On Monday, FIFA issued a statement that the executive committee had approved
the framework for the bidding process. Blatter had previously supported a move to limit bidders to those countries from confederations where the last two World Cup had not been played. If approved,
that would eliminate from the 2026 race countries from Europe and Asia, in particular the only country against which the USA would be the heavy underdog: China.
Blatter might want a USA
2026 World Cup. And FIFA's 209 members might want a USA 2026 World Cup -- they, not the executive committee, will decide in May 2017. But it remains to be seen if the USA wants the USA to host the
World Cup any time soon.
Hosting the World Cup would require the U.S. government to reach an agreement with FIFA on a host of issues -- issues that have often been settled to FIFA's
benefit at past tournaments. That reluctance on the part of the U.S. government to deal with FIFA was one of the unspoken issues with the USA's 2022 bid. And that was in good days when Blatter and
Warner got to cozy up with Barack Obama in the Oval Office.
U.S. lawmakers won't have much time for FIFA after Webb and Company rubbed its already
low reputation into the ground.
Corruption is so engrained in the FIFA organization that it is hard to see a path that cleans up the operation. I tend to agree with Gary Lineker's comments on the BBC that the major soccer countries need to announce that they will not participate in the next World Cup if this is not fixed. The US is in that club solely because of the size of the market. Blatter and anyone associated with him need to be removed and a transparent governance system implemented or the AFC can have the next World Cup on its own.
Politics and sport do mix, and hubris rules when transparency is overcome by corruption.
why not clean out the whole from the top? I can't believe Blatter isn't involved.
All FIFA officials should be replaced and appropriately dealt with. Is this taking place to rid FIFA of corruption or to ensure that the right people get in office and make sure the 2018 WC
is taken away from Russia. Just wondering
what is the real motive to rid soccer of these crooks.
Jack, if Blatter was not involved, it's not much better than if he had been. So he's either corrupt, or incompetent (responsible for leading an organization that is corrupt while being unaware of the corruption). In either case, Blatter needs to go.
It's about time someone drew the line and said NO MORE! FIFA and Blatter have been stealing us blind for years. Corruption and bribes are endemic around the world so it is no surprise that soccer has been overwhelmed by those two symptoms of personal greed. I think the whole house has to be cleaned out and a culture of transparency created. After all, ultimately, the fans are the ones who get cheated. And without them (us!) there would be no beautiful game.
Unfortunately,all the African countries will vote for Blatter again claiming that he has done wonders for them.Also the Asian countries are in the same boat,and as we all know mayority rules.They just don't get it.Of all the snakes governing FIFA,Blatter is the worst.I hope Uncle Sam send him into retirement.Enough is enough.
I am watching the snake talking to all the sheep congregated for voting him again.This son of bitch is so charming,that he will be voted by a majority.I can see it already.
Money Rules. Enough said.
Jack Warner,should be a comedian.Just watch the video posted by the New York Times.-FIFA Official Cites Satirical Article From The Onion in His Self-Defense
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Ex-FIFA Official Cites Satirical Article From The Onion in His Self-Defense
MAY 31, 2015
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By ROBERT MACKEY
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Jack Warner, a former vice president of world soccer’s governing body, FIFA, defended himself against corruption charges on Sunday by citing an article from The Onion, apparently unaware that it was satire.
Mr. Warner, 72, who was arrested last week in connection with a wide-ranging criminal investigation by the United States Justice Department, held up the faux news report, calling it evidence of an American conspiracy, in a video statement that was uploaded to the web and then removed later in the day.
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Jack Warner, a former vice president of world soccer's governing body, FIFA, released a video statement
I was saying that this man Jack Warner is so fanny,that he should have a comedian.(What an stupid guy),in his ranting he practically incriminSUBSCRIBE
LOG IN SETTINGS
OPEN SOURCE
Ex-FIFA Official Cites Satirical Article From The Onion in His Self-Defense
A Region’s Soccer Strongmen Are Facing a Hard Fall
WORLD BRIEFING
Suriname: Despite Checkered Past, President Seems Set for New Term
WORLD BRIEFING
Brazil: After 30-Year Search, Police Arrest Italian Mob Boss
WORLD BRIEFING
Mexico: Michoacán Killings Prompt Human Rights Inquiry
After a Political Reversal in Alberta, ‘Anything Seems Possible’
El Bronco: Blunt, Frequently Vulgar, and Aiming to Run Nuevo León
Salvadorans Flock to Honor Beloved Archbishop on Path to Sainthood
40 Are Killed in Gun Battle in Mexico
Honor Comes Late to Óscar Romero, a Martyr for the Poor
Play Video
U.S. and Cuban Negotiators Can’t Quite Seal a Deal
WORLD BRIEFING
Honduras: Ex-President’s Son Arrested
Colombia Rebels End Truce After a Government Attack
U.S. and Cuba Extend Talks on Reopening Embassies
6-Year-Old’s Murder Has Mexicans Seeking Answers to Youth Violence
Guatemalan President Dismisses a Close Aide
EAT
Brazilian Soul Food
Venezuela Parliament Chief: Will Sue in U.S., Spain Over Drugs Reporting
Dozens Evacuate Puerto Rico Condominiums After Roof Collapse
Thai King Admitted to Hospital for Check Ups: Palace
Bonn U.N. Talks Seek to Trim Unwieldy Climate Change Plan
Guatemalan Protesters Demand President Quit Over Corruption
Accident Kills Three at Brazil Belo Monte Hydropower Dam Building Site
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AMERICASates Blatter.