Menu
Finance

FIFA: Corruption Scandal Creating Growing Concern In Russia Over WC Investments

There is "growing concern among Moscow's sports and business elites" about what the ballooning FIFA corruption scandal "may mean for Russia," according to Farchy & Weaver of the FINANCIAL TIMES. Former Russian football club Anzhi Makhachkala Manager German Chistyakov said, "Of course, the situation with Blatter and FIFA can affect the World Cup in Russia. The situation is very unclear and non-transparent." The government has "reacted angrily" to the suggestion that Russia could be stripped of the right to host the 2018 tournament. Deputy Sports Minister Pavel Kolobkov warned that if this happened, "then international sport could collapse." At stake is "more than just potential embarrassment and injured pride." Russia has already invested billions of dollars in World Cup preparations, "much of it coming from a federal budget now under severe strain thanks to the fall in oil prices and economic recession." Several of Russia's most prominent oligarchs and businessmen have investments and contracts worth hundreds of millions of dollars "tied up in the tournament." The sports ministry has "declined to comment" on how much of the $12.2B budget for the tournament has been spent so far, but according to the plans it has published, expenditures in '13 and '14 should have amounted to $4.6B. University of Zurich Professor of Geography Martin Müller, who researches big sporting events, said that the new Russian stadiums "will be the most expensive of any World Cup." By his estimates, Russia's stadiums will come in at a cost of $11,600 per seat -- "almost double the cost per seat of the 2014 World Cup in Brazil" (FT, 6/11).

SBJ Morning Buzzcast: May 17, 2024

Brazil's big win; Leonsis looks for scale; breaking down the big categories for Sports Business Awards and remembering Eddie Gossage

NASCAR’s Brian Herbst, NFL Schedule Release, Caitlin Clark Effect

On this week’s pod, SBJ’s Austin Karp chats with our Big Get, NASCAR SVP/Media and Productions Brian Herbst. The pair talk ahead of All-Star Weekend about how the sanctioning body’s media landscape has shaped up. The Poynter Institute’s Tom Jones drops in to share who’s up and who’s down in sports media. Also on the show, David Cushnan of our sister outlet Leaders in Sport talks about how things are going across the pond. Later in the show, SBJ media writer Mollie Cahillane shares the latest from the network upfronts.

SBJ I Factor: Molly Mazzolini

SBJ I Factor features an interview with Molly Mazzolini. Elevate's Senior Operating Advisor – Design + Strategic Alliances chats with SBJ’s Ross Nethery about the power of taking chances. Mazzolini is a member of the SBJ Game Changers Class of 2016. She shares stories of her career including co-founding sports design consultancy Infinite Scale career journey and how a chance encounter while working at a stationery store launched her career in the sports industry. SBJ I Factor is a monthly podcast offering interviews with sports executives who have been recipients of one of the magazine’s awards.

Shareable URL copied to clipboard!

https://www.sportsbusinessjournal.com/Global/Issues/2015/06/12/Finance/FIFA-Russia.aspx

Sorry, something went wrong with the copy but here is the link for you.

https://www.sportsbusinessjournal.com/Global/Issues/2015/06/12/Finance/FIFA-Russia.aspx

CLOSE