Former Fox executives indicted in Fifa bribery scheme

Multimillion dollar scheme involved kickbacks to Fifa officials for broadcast rights to the 2018 and 2022 World Cup

Oliver Laughland
@oliverlaughland
Mon 6 Apr 2020 22.45 BST
Last modified on Mon 6 Apr 2020 23.47 BST

Two former senior executives at Rupert Murdoch’s 21st Century Fox corporation have been indicted over their alleged role in a multimillion-dollar bribery scheme involving kickbacks to Fifa officials in exchange for broadcast and marketing rights to some of the world’s biggest football tournaments.

The US Department of Justice announced on Monday that Hernan Lopez, the former chief executive of Fox International Channels and Carlos Martinez, the former president of Fox Latin America, have been charged with wire fraud and money laundering offenses, marking another series of indictments in the US government’s sprawling investigation of corruption in world football.

The indictment alleges that Lopez and Martinez “relied on loyalty secured through the payment of bribes” to South American football officials in order to “advance the business interest of Fox” and obtain “confidential bidding information” to win US broadcast rights to the 2018 and 2022 World Cup.

21st Century Fox did not immediately respond to a request for comment on the indictments. The company was sold by Murdoch to Disney for $71bn in March 2019, years after the alleged bribery scheme is alleged to have occurred.

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FOR IMMEDIATE RELEASE
Monday, April 6, 2020

Three Media Executives and Sports Marketing Company Indicted in FIFA Case

Former Executives from U.S. Broadcasting Company 21st Century Fox and Spanish Sports Media Company Imagina Media Audiovisual SL, along with Argentina-Based Sports Marketing Company Full Play Group S.A., Charged with Bribing Soccer Officials

A 53-count third-superseding indictment (the “Indictment”) was unsealed today in federal court in Brooklyn charging sports marketing executives Hernan Lopez and Carlos Martinez, formerly of 21st Century Fox, Inc. (“Fox”); Gerard Romy, former co-CEO of Spanish media company Imagina Media Audiovisual SL (“Imagina”); and Uruguayan sports marketing company Full Play Group S.A. (“Full Play”) (collectively, the “New Defendants”) with wire fraud, money laundering and related offenses – including, as to Romy and Full Play, racketeering conspiracy – in connection with the government’s long-running investigation and prosecution of corruption in organized soccer. The Indictment, returned under seal by a federal grand jury on March 18, 2020, includes additional charges against certain defendants located overseas who were previously indicted and have yet to be extradited to the United States.

Defendants Lopez, Martinez and Full Play are scheduled to be arraigned on April 9, 2020, before United States District Judge Pamela K. Chen in Brooklyn.

Richard P. Donoghue, United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Ryan L. Korner, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, Los Angeles Field Office (IRS-CI), announced the charges.

“The charges unsealed today reflect this Office’s ongoing commitment to rooting out corruption at the highest levels of international soccer and at the businesses engaged in promoting and broadcasting the sport,” stated United States Attorney Donoghue. “Companies and individuals alike should understand that, regardless of their wealth or power, they will be brought to justice if they use the U.S. financial system to further corrupt ends.” Mr. Donoghue extended his thanks to the agents and other investigative personnel at the FBI New York Eurasian Joint Organized Crime Squad, the FBI’s Integrity in Sport and Gaming Initiative and the IRS-CI Los Angeles Field Office, as well as their colleagues in the United States and abroad, for their continuing effort in this case.

“The profiteering and bribery in international soccer have been deep-seated and commonly known practices for decades. These men, along with the general public, have known the FBI New York and our many law enforcement partners are investigating the illicit handshakes and backroom deals hidden in the infrastructure of soccer events, venues and marketing contracts. The first public charges date back to 2015. This should illustrate to everyone still hoping to score millions corruptly, we're going to find you,” stated FBI Assistant Director-in-Charge Sweeney.

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