Football in legal turmoil as Euro championship looms

Fifa whistle-blower Chuck Blazer may have acted unlawfully over a multi-million dollar TV rights contract, according to a memo produced by New York law firm King & Spalding.

Ukranian fans: welcome to Euro 2012

The BBC in the UK reports that confidential memos sent by lawyers from the firm, which acts for Concacaf -- the organisation representing football in North and Central America, and the Caribbean, of which Mr Blazer is currently the general secretary, allege that Mr Blazer is attempting to claim more than $7 million in unpaid commissions for TV rights and sponsorship deals.The development emerges on the eve of the Euro 2012 championships, which begins in 10 days' time.

Possible fraud

It is also claimed that Mr Blazer – a member of Fifa’s powerful executive committee since 1997 – was paid a ‘basic monthly fee’ of at least $10,000 under a 1994 deal struck with former vice-president of Fifa Jack Warner – who was president of Concacaf at the time. Legal advice from King & Spalding argued that the agreement could be construed as ‘fraud in the execution’.
Mr Blazer reported Mr Warner to the Fifa ethics committee in May 2011, with Mr Warner then resigning from all of his football-related positions.
Although the deal between Mr Warner and Mr Blazer -- arranged through the latter’s company Sportvertising, expired in 1998 -- the arrangement continued after that date.
The report suggests the football federation is ready to mount a robust challenge to any legal claim for the unpaid commission by Mr Blazer, while King & Spalding notes that the 1994 deal could potentially be challenged.

Monti calls for ban

Elsewhere, Italian Prime minister Mario Monti has suggested that professional football should be suspended in the country for up to three years in the wake of yet another match-fixing incident. Mr Monti’s suggestion came just one day after several players – including Lazio captain Stefano Mauri – were arrested.
While in Scotland, Rangers Football Club has won a court challenge over a transfer ban imposed by the Scottish Football Association. Lord Glennie said the year-long ban – which was accompanied by a fine of £100,000 after the club was charged with bringing the game into disrepute – should be reconsidered by the SFA appeal panel, as the governing body had acted beyond its powers.

 

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