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FIFA Explains South African World Cup Restitution Claim

FIFA Explains South African World Cup Restitution Claim

It emerged recently in a FIFA statement that South Africa paid a $10 million bribe in order to win the hosting rights for the 2010 soccer World Cup, which was subsequently awarded to the South Africans.

South African authorities have come out to deny these claims wholeheartedly, with Sports Minister Fikile Mbalula restating the government’s claim that the sum of $10 million was paid towards the support and benefit of the African diaspora, adding that the country was not involved in any illegal activities prior to the announcement on May 15, 2004.

“South Africa refuses to drown itself in the blame-victim mentality game. The FBI indictment and FIFA orchestrated investigations are littered with explosive contradictions,” Mbalula told the media a few days ago, according to Goal.

“It is utterly unique in world history where an organisation turns on itself to disown the decision taken by its own governance structures. FIFA must retract its statement. We will meet with the presidency to decide whether to appoint the commission of enquiry,” he added.

“Now that the investigations have been finalised, the South African government is requesting FIFA to furnish us with the report, in order to decide on the course of action to be taken. I’m disappointed that our African humanism has been reproached with inhumanity. As the ministry, we take affront this unhelpful way of conducting business. We are not asking for favours or patronage, we are here for accountability, transparency, democracy and respect of our sovereignty,” Mbalula said.

Rewind To 2015

Bribery allegations formed part of a detailed 2015 indictment from US Attorney General Loretta Lynch regarding South Africa’s successful bid to host the 2010 World Cup, with the 160-page indictment referencing the payment of a $10 million bribe requested by FIFA officials at the time.

These allegations were brought to light following the arrest of 14 FIFA officials and marketing executives in May 2015, as a result of a criminal investigation by US authorities on the basis of corruption charges worth an alleged $150 million.

The indictment laid out the narrative that Jack Warner, a FIFA vice president and a representative of the Caribbean Football Union (CFU) at the time, solicited a bribe of some $10 million from the South African government and the host bid committee.

According to the document, it is alleged that the South African government was unable to pay the $10 million directly from available government funds, and “arrangements were thereafter made with FIFA officials to instead have the $10 million sent from FIFA – using funds that would otherwise have gone from FIFA to South Africa to support the World Cup – to CFU.”

The indictment suggested that a FIFA official sent the $10 million in January and March 2008 from a FIFA account based in Switzerland via New York to a number of accounts that Warner had control over, with the Caribbean football representative taking a “substantial portion of the funds for his personal use”.

FIFA have now confirmed that they believe that South Africa’s $10 million payment to Concacaf was a bribe in disguise, and they have requested for restitution with regards to the “tens of millions of dollars diverted from the football community illegally through bribery, kickbacks and corrupt schemes carried out by the defendants.”

FIFA Clarify

In terms of the allegations levelled against South Africa, FIFA has moved to clarify their position by issuing a statement relating to allegations that South Africa bought the 2010 World Cup hosting rights, affirming that FIFA does not blame South Africa as a country, but certain individuals as criminals.

“FIFA’s Request for Restitution is based on the allegations contained in the two indictments issued by the U.S. Department of Justice against 41 defendants,” reads the press release from FIFA.

“In its submission, FIFA is restating these allegations as the principal basis for its restitution request. Eleven defendants have pleaded guilty to the charged offenses and admitted their crimes. FIFA intends to seek restitution from these defendants for their misconduct, as well as any other defendants who are convicted,” the statement said.

“The US indictments do not allege that South Africa “bought” the World Cup with bribes. Nor does FIFA. The US indictments, which FIFA is relying upon in its restitution request, merely accuses certain individuals of criminal behaviour.”