Sell-off backlash intensifies

GENEVA (AP):

Two senior FIFA executives, coaching great Arsène Wenger and Secretary General Mattias Grafström, distanced themselves yesterday from FIFA President Gianni Infantino’s failed plan to sell stakes in future World Cup profits to private investors.

Wenger said in a statement that he knew nothing about the US$20-billion plan and that it was “absolutely necessary” to withdraw the proposal. Grafström, meanwhile, sent an email to all FIFA staff, seen by The Associated Press, describing the past week as a “sad and reproachable series of events”. He also said it had created “turmoil which is difficult to comprehend and accept”.

Neither man directly named Infantino or offered support for the embattled FIFA president.

Their comments echoed criticism from FIFA Chief Operating Officer Kevin Lamour, who said on Friday that staff had been “deceived” by Infantino’s private equity proposal, which sparked a furore across global football. Lamour called it the “project of one person” and said FIFA staff “deserve better than contempt and intimidation”.

The three executives are widely respected among FIFA’s 211 member federations, which now hold significant influence over Infantino’s grip on a presidency that appeared unassailable when the World Cup ended just over two weeks ago.

UEFA LEGAL THREAT TO FIFA

Wenger, Grafström and Lamour were also named in a letter from UEFA’s lawyers to Infantino among 18 executives whose data and communications should be preserved as potential evidence.

“You do not need to worry,” Grafström wrote yesterday to hundreds of FIFA staff based mainly in Zurich and Coral Gables, Florida. “I assure you that you as members of the administration, you will be defended and safeguarded from the political context we currently experience.”

Wenger, who was hired by Infantino in 2019 and serves as FIFA’s chief of global football development, said he was “not involved in this strategic plan and first became aware of the project through media reports”.

Infantino withdrew the US$20-billion proposal early Saturday following a fierce backlash from football officials worldwide, including European governing body UEFA, which warned of a boycott of all FIFA games and events.

The proposal would have created a subsidiary, known as FIFA Forward Enterprise (FFE), to run the commercial side of the not-for-profit governing body’s operations, including organising tournaments such as the World Cup and selling broadcasting, sponsorship, ticketing and hospitality rights.

It sought to raise US$4.2 billion from investors by selling stakes totalling about 20 per cent in FFE, based on an equity valuation of US$20 billion. The proposed anchor investor was Thrive Eternal, launched by Joshua Kushner, whose brother Jared Kushner is a son-in-law of US President Donald Trump.

“The decision to withdraw the project was absolutely necessary and beyond question, because I firmly believe in an independent FIFA that serves our game with commitment, transparency, and integrity,” Wenger wrote.

CASH OFFERS TO FIFA MEMBERS

FIFA’s 211 member federations, which are effectively the owners of the governing body under Swiss non-profit law, were offered US$20 million each. The deadline to accept was September 19.

They were also promised a doubling of FIFA funding for the four-year period through to 2030, to US$20 million from the previously announced US$10 million.

Infantino presented details of the plan to FIFA management just one week after the July 19 World Cup final. The financially successful tournament in North America helped drive FIFA’s revenues to US$15 billion for the 2023-26 commercial cycle, almost double the income tied to the 2022 World Cup in Qatar.

Grafström, a long-time Infantino ally dating back to their years together at UEFA, urged FIFA staff to “all continue being proud and happy” about the first 48-team World Cup.

“A sad and reproachable series of events — which were thankfully concluded with the FFE project permanently abandoned — for as much as we feel dismayed by them, should not overshadow this reality,” he wrote.

INFANTINO’S TIES TO TRUMP

The World Cup in the United States, Canada and Mexico was widely regarded as a success on the field, though it was marked by unprecedented issues linked to Infantino’s relationship with Trump, who received a specially created FIFA Peace Prize at the tournament draw in December.

During the tournament, Iran’s team was unable to remain in the United States despite playing three matches there, a Somali referee selected by FIFA was denied entry, and US forward Folarin Balogun was allowed to play against Belgium despite receiving a red card in his previous match.

“We have all been thrown into the middle of a turmoil, which is difficult to comprehend and accept, but, as secretary general, I urge you to remain focused on what has always united us,” Grafström wrote.

“I will continue to support our teams, our work and our mission every hour of every day for as long as my work is valued by those we serve.”

WAITING TO HEAR FROM INFANTINO

Infantino has not commented publicly on the split within world football since a FIFA statement early Saturday announcing that the proposal had been abandoned. His official Instagram account has since published letters of support from several member federations, including 2030 World Cup co-hosts Morocco, Qatar and the United Arab Emirates.

Infantino has been FIFA president for more than 10 years and had appeared certain to secure re-election unopposed next March in Morocco. FIFA has set a November 18 deadline for challengers to emerge, with Sweden’s football chief saying on Monday that UEFA is seeking an alternative candidate.