A FIFA Scandal Led To An Argentine Firm Settlement

an argentine firm building

The FIFA scandal led the Argentine firm, Torneos, to a settlement with US authorities.

The scandal that rocked the FIFA has led to a $112.8 million worth settlement as the respective Argentine firm was part of the corruption controversy.

FIFA or the Federation International de Football Association has been facing some tough times. The association is the international governing body of several sports.

These include association football, beach soccer, and futsal. FIFA is also in charge or organizing the various major, international, football tournaments.

Last year, United States authorities launched an inquiry into the federation’s practices.

The investigation was seen to have shaken up the organization. It resulted in the resignation of its former president, Sepp Blatter. It also led to the indictment of various other association high-ranking officials and corporate executives.

Bribery, vote-rigging and corruption allegations are amongst the factors to have prompted the investigation. The United States Department of Justice proceeded to charge several of the said authorities with money laundering, wire fraud, and racketeering.

Earlier this week, on Tuesday, the Department announced a new decision in the investigation. One of its ensuing targets was an Argentine firm.

Torneos y Competencias S.A. was also amongst the companies investigated as part of the FIFA bribery schemes.

TyC or Torneos y Competencias S.A is a Buenos Aires, Argentina-based firm. It specializes in sports communications and marketing.

It is considered as being quite an important force in the world of Argentine sports. Its interests span to TV and radio broadcasting and sports publications.

According to the statement released on Tuesday, the Argentine firm admitted to its role in the FIFA scheme. As such, it has agreed to pay the sum needed in order to settle the United States charges.

The value of the settlement will reach a $112.8 million sum. Torneos, as it is also known, admitted to using illicit practices so as ensure its broadcast rights.

As such, it admitted its role in the kickbacks and bribes 15-year scheme. This would have ensured the company’s support from a high-ranking FIFA official.

The respective official would have backed the Argentine firm as it secured its world championship rights. They addressed the 2018, 2022, 2026, and 2030 World Cup editions broadcast rights.

This information was offered by the Eastern District of Bew York United States Attorney’ Office through a statement.

Robert Capers, the United States Attorney, went to comment on the matter. According to him, this week’s announcement marks an important step in the FIFA corruption scandal.

The authorities are moving on in their efforts of combating and uprooting potential international soccer corruption techniques.

Capers also states that it should be sending a message to the companies that are trying to enrich and ensure their services through bribery.

United States prosecutors accused about 40 marketing executives and officials in the FIFA scandal. Most accusations targeted the receiving or soliciting of kickbacks or bribes whose worth reached tens of millions of dollars.

Most of those accused have since agreed to cooperate with the prosecutors and have pleaded guilty. By agreeing to cooperate, most were targeting a potential and possible sentence reduction.

The aforementioned Argentine firm is the latest company to come to a settlement with the American authorities.

Image Source: Wikimedia

Authors
Top