FIFA has abandoned a widely criticized plan to sell a stake in the World Cup’s commercial operations after worldwide outrage over a proposal tied to President Donald Trump’s inner circle.
Trump pal and FIFA president Gianni Infantino revealed earlier this week that the organization planned to sell a 21 percent stake to private investors in a newly created entity—FIFA Forward Enterprise (FFE)—to manage the commercial operations of top events, including the World Cup. He claimed FFE was worth $20 billion. The FFE investor group was reportedly set to be headed by a firm run by New York venture capitalist Joshua Kushner, younger brother of Trump’s son-in-law Jared Kushner.
But the scheme was so controversial among soccer organizations, officials, and fans that it has officially been killed, sources told The New York Post.
“Kushner will figure out another way to get involved in this space. This is becoming a brand nightmare,” a source told the newspaper.
After the Post report, Infantino confirmed to Sky News that the deal is no more. It “has created divisions of a nature that, regardless of the level of support, are no longer in the interest of the objective set out in the first place,” he said. “As a result, this proposal will not proceed.”
Trump told reporters he was unaware of FIFA’s private investor plan.
The deal began to cave when UEFA, the governing body of European soccer’s 55-member organization, voted unanimously on Thursday to boycott all games organized by FIFA, including the World Cup, if the scheme went ahead.
“The World Cup is not for sale,” UEFA said in a statement after the vote.
“The World Cup cannot be treated as an investment product. It is one of football’s greatest sporting legacies. It has been built over generations by players, national teams, and supporters across every continent. No part of it should ever be surrendered to private investors.”
Infantino aimed to hammer out the arrangement by October, reportedly speeding up the process to dodge the mounting attacks, Sports Illustrated reported. He gave member associations only 53 days to approve the scheme.
The Confederation of North, Central American and Caribbean Association Football (CONCACAF) also threatened to boycott the World Cup.
CONCACAF has a long history of corruption and links to Trump. The organization operated out of Trump Tower in Manhattan when the Department of Justice indicted dozens of CONCACAF and FIFA officials in 2015 on conspiracy and corruption charges stemming from an extensive international bribery scheme tied to sports equipment contracts and World Cup venue choices.
The men were nabbed after their conversations were captured on a wire worn by CONCACAF General Secretary Chuck Blazer, who was pressed into service by the FBI over a massive unpaid tax bill.
Blazer was a friend of Trump’s, lived in Trump Tower, and frequently attended Trump’s beauty pageants. Trump’s sole TV ad for his scandal-plagued Trump University was filmed in Blazer’s apartment. The president later paid a $25 million settlement to students who filed lawsuits accusing the “university” of fraud.
Ties between Trump and the current FIFA president remain close. Infantino was widely lambasted after he presented Trump with the organization’s first “peace prize” last year, months before the president ordered the abduction of Venezuela’s president and invaded Iran.
