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FIFA: Irish Firm Sent Millions To Zurich; Worldwide 'Readjustments' Made For Scandals

FIFA Ireland Ltd. counted FIFA President Sepp Blatter among its directors and "transferred massive sums" to its parent organization in Switzerland, according to Hyland & McQuinn of the IRISH INDEPENDENT. It was established in Ireland in '01 for "tax purposes and had an office in the IFSC for most of its years in business." FIFA's Irish business was "in existence for seven years before its voluntary liquidation" in '08. The extent of FIFA's business activities in Ireland was revealed, including how it:

  1. Received millions in revenue from the "sale of licensing rights" in relation to the 2002 World Cup.
  2. Transferred "vast sums" to FIFA in Zurich in the form of license fees.
  3. Had "no directly employed staff in the period covered by its accounts."
An analysis of the accounts filed over the course of its years in business showed that it "had a combined turnover" of 172.7M Swiss francs ($185.2M) from the final four months of '01 to the end of '06. While turnover was in the tens of millions of francs, Irish corporation tax paid on the company's profits came to a combined 291,355 Swiss francs ($312,400) (IRISH INDEPENDENT, 6/4). 

IN VENEZUELA: The AP reported military intelligence officers have "raided" the Venezuelan Football Federation (FVF) HQ amid the "spiraling FIFA scandal." Venezuela's public prosecutor's office said that agents "raided the Venezuelan organization's offices Wednesday to gather evidence for a criminal investigation." Former FVF President Rafael Esquivel was "detained in Switzerland last week along with six other FIFA officials accused of taking bribes." The raid "came hours after the prosecutor's office asked that Esquivel's bank accounts be frozen as he is investigated for money laundering." Venezuela President Nicolás Maduro has "expressed support for the public prosecutor's actions against Esquivel even as he's raised concerns about the role of the U.S. in the larger investigation" (AP, 6/4). 

REINFORCEMENTS: REUTERS' Mike Collett reported the Asian Football Confederation "threw its weight behind the choice of Qatar" for the 2022 World Cup on Thursday as int'l calls "continued to question the Gulf state's right to host the tournament." The AFC said in a statement, "The AFC reiterates its support for the 2022 FIFA World Cup to be held in Qatar. Football is the world's game that should set itself no geographical borders.The Gulf is a true football region, with some of the world's most passionate football lovers, and Qatar is no exception" (REUTERS, 6/4). REUTERS' Golubkova & Stubbs reported Russian Sports Minister Vitaly Mutko said on Thursday that there was "no risk of Russia losing the 2018 football World Cup finals" after the U.S. said that it was "investigating the bidding process." Mutko: "There is no risk to Russia hosting the World Cup" (REUTERS, 6/4).

THE BRITISH SPEAK UP: REUTERS' Kylie MacLellan reported British Sports Minister John Whittingdale said on Thursday that there is a "very strong" case for "re-running bids for the 2018 and 2022 World Cups if it is proved that the process of awarding the tournaments was corrupt." Whittingdale: "We wait to see the outcome of the investigations. If there is evidence that the bid process was corrupt then I think the case for re-running it is very strong" (REUTERS, 6/4). The BBC reported David Beckham said that "it is time for Fifa to change" after Blatter said he would stand down as the organization's president. Beckham: "I hope at last we are now moving in the right direction. Some of the things that we now know happened were despicable, unacceptable and awful for the game we love so much." Beckham was part of England's "failed bid" to host the 2018 World Cup. He added, "Football is not owned by a few individuals at the top, it belongs to the millions of people around the world who love this sport" (BBC, 6/3). In London, Jack de Menezes wrote the East Cheshire town of Macclesfield has "put forward a bid to host" the FIFA World Cup in an "effort to clean up" its "tarnished reputation." Published on Macclesfield Town’s official club website, a "complete breakdown" of stadium availability, capacity -- including the number of canines allowed in -- and when it was opened has been "made available to Fifa in order to try and bring the World Cup back to England" for the first time since '66. The world's media have also been "catered for with free WiFi at Macclesfield Library which will be maintained throughout the duration of the tournament" (INDEPENDENT, 6/4). 

FITTING PUNISHMENT: WSB RADIO's Nicole Bennett reported one of the nine FIFA officials facing charges from the U.S. Department of Justice "may have to give up four properties in Georgia." FIFA VP Jeffrey Webb's home in Atlanta, worth $750,000, is one of 13 properties "named in the U.S. indictment that could be seized by the government following a conviction." According to the indictment, Webb "received bribes and kickbacks" totaling more than $6M for "guaranteeing media and marketing rights to sports marketing companies including Traffic USA." Webb's Atlanta property and three other Georgia properties were "allegedly purchased using funds received directly from bribes" (WSB RADIO, 6/3). 

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