UEFA Considers Legal Action Against FIFA Over Failed Investment Proposal

The European soccer governing body, UEFA, is contemplating legal measures against FIFA due to Gianni Infantino’s unsuccessful proposal to sell a stake in future World Cup profits to private investors. The proposal aimed to raise $4.2 billion through investors, including the New York investment firm associated with Joshua Kushner.

Infantino’s plan involved creating a $20 billion company to manage World Cup operations with private backing. However, the idea faced immense backlash following media revelations, prompting UEFA’s opposition. On Thursday, UEFA’s 55 member federations agreed to boycott all FIFA events while the proposal remained active, culminating in the plan’s withdrawal on Saturday.

UEFA has informed FIFA of potential legal action, arbitration, and regulatory complaints concerning the proposal and related issues. A letter from the legal firm Dechert, dated Friday, has urged FIFA executives to preserve data and documents as potential evidence. Failure to do so may lead to claims of evidence spoliation.

In addition, UEFA is signaling its desire to end Infantino’s presidency, citing loss of world soccer’s confidence. Infantino had offered one-time payments of $20 million to FIFA’s 211 member federations with a deadline for acceptance in mid-September.

The project, spearheaded by FIFA’s chief operating officer Kevin Lamour, faced stern opposition due to concerns about governance compatibility. Besides UEFA, the Asian Football Confederation and CONCACAF expressed objections, leading to significant resistance against Infantino.

Despite his traditional base of support in Africa, Infantino’s prospects have declined, with the spin-off plan jeopardizing his re-election chances next March. The plan had envisaged a commissioner-like role for Infantino beyond 2031, with a lucrative salary potentially exceeding his current $6 million annual compensation.

While FIFA had communicated that Infantino secured support from around 200 federations, withdrawals are now anticipated across Europe. The Wales federation has already reversed its position. The deadline for candidate nominations is November 18, with the election slated for four months later in Morocco, a strong ally and co-host of the 2030 tournament.