The German FA (DFB) is investigating a €6.7M payment from the country's 2006 World Cup organizing committee to FIFA, in the "latest allegation of possible financial irregularities" involving world football's governing body, according to Stefan Wagstyl of the FINANCIAL TIMES. The DFB said on Friday that the €6.7M, earmarked for a FIFA cultural program, "may not have been used as intended." But it denied that it had found any "evidence of irregularities" in the award of the '06 tournament to Germany. And there was "no indication whatsoever" that the votes of FIFA delegates "had been bought." The DFB said that it had started an investigation into the 2006 World Cup, "partly in response to media speculation." During this probe it found an April '05 payment to FIFA from the German organizing committee, which "may potentially not have been used for the intended purpose." The DFB added its president this summer had ordered an "internal inquiry into the matter, which was still continuing." The association was responding to an article in news magazine Spiegel, alleging that bribes had "likely" been paid to secure the tournament for Germany, which narrowly defeated South Africa in the final ballot by 12 votes to 11. It said the German bidding committee set up a slush fund "that was filled secretly" by then-adidas CEO Robert Louis-Dreyfus, who was acting in a "private capacity." Spiegel claimed that Louis-Dreyfus, who died in '09, put in a loan of 10.3M Swiss francs which "never appeared on the budget of the bidding committee" which later became the organizing committee when Germany was awarded the tournament (FT, 10/16). REUTERS' Karolos Grohmann reported DFB President Wolfgang Niersbach said on Saturday that Germany's 2006 World Cup bid committee "did not bribe officials" from FIFA to win the vote for the tournament. Spiegel reported that "among those aware of the slush fund" had been the head of the committee, Franz Beckenbauer, as well as Niersbach, "citing internal documents" from the DFB. Niersbach: "I can rule that out categorically. I can assure that in relation to the bidding and awarding of the 2006 World Cup there were no 'slush funds' at the DFB, the bidding committee or the later organizing committee." Beckenbauer has "not responded to repeated requests for comment." Another former member of the 2006 organizing committee, Fedor Radmann, "also rejected the allegations." He said, "The bid committee never bribed anyone. I am prepared to say that under oath. We bought no vote" (REUTERS, 10/17).
CLOUD OF SUSPICION: Grohmann reported in a separate piece Niersbach was "considered a potential dark horse" for one of FIFA's top administrative posts but allegations of a slush fund to help the country win hosting rights for the 2006 World Cup "have cast a shadow over his credentials." While the allegations "still need to be substantiated to determine whether there was any wrongdoing," Niersbach's involvement in the affair, however, is "likely to have wider repercussions for the sport." With the heads of FIFA and UEFA "both suspended as part of ongoing corruption investigations," the football world had "already initiated the process of sounding out possible replacements." Niersbach was "long seen" as "Mr. Clean," having joined FIFA's Exec Committee as recently as May and "having no involvement with the scandals that have plagued the authority in recent years" (REUTERS, 10/17).
'DOUBLY FRUSTRATING': In London, Andrew Warshaw wrote England's 2006 World Cup bid chiefs "have expressed dismay at the scandal surrounding Germany's victory for the right to host the tournament." England was bidding against Germany to stage the 2006 World Cup but only accrued five votes -- and now the German FA has been accused of "setting up a secret fund to buy votes." England 2006 bid head Alec McGiven said, "At the time we weren't able to prove anything. It is doubly frustrating all these years later to hear new allegations" (DAILY MAIL, 10/17).
