FIFA official resigns in protest over World Cup investment plan as 3rd governing body rejects privatization

The pressure is rising on FIFA President Gianni Infantino to ditch a World Cup privatization plan that could draw investments up to $20 billion, but which has drawn widespread condemnation from most of soccer’s worldwide governing bodies.

The latest rebukes of the plan came on Friday when a senior adviser to Infantino stepped down in protest and the Asian soccer governing body, the Asian Football Confederation, said it had watched the developments over the establishment of the FIFA Forward Enterprise, or FFE, the name for the fund, with “deep concern.” 

“The AFC stands in solidarity with UEFA and CONCACAF in expressing serious concerns over FIFA’s proposal to introduce private investment into FIFA’s flagship competitions and the decision-making process around FFE,” the Asian Football Confederation said in a statement.

UEFA, the European football group, and CONCACAF, representing North American teams including the United States, had already condemned the idea. CONCACAF, which has long been dominated by Mexico and the U.S., issued a statement on Thursday.

In the statement, CONCACAF said members “expressed deep concerns about the lack of due process surrounding the proposal, the artificially short deadline imposed, and the absence of any review or approval by the relevant FIFA governance bodies.” It also questioned the need for outside investment “following the most profitable FIFA World Cup in history.”

Infantino’s secret project was revealed Tuesday to spin off its commercial operations in the new $20 billion FFE subsidiary 20% owned by private investors. The core investor would be a New York investment firm created by Joshua Kushner, the brother of President Donald Trump’s son-in-law Jared Kushner.

Indeed, FIFA is coming off an incredibly successful World Cup jointly hosted by the U.S., Mexico and Canada. The event saw record crowds and viewing numbers and visitors near-universally praised the venues and cities that hosted more than 100 matches over more than a month.

Spain defeated Argentina 1-0 in extra time at New York’s MetLife Stadium to win its second World Cup on July 19.

The Asian group statement came hours after FIFA blamed the media and doubled down on pursuing the project which now seems to have a majority of the 211 in opposition.

“Our planned consultation process was disrupted by incorrect media reports,” FIFA said in a statement early Friday. “We will proceed with this consultation process to ensure that each (member) has the ability to express its vote based on facts.”

Senior adviser resigns in protest

An expanding crisis for soccer’s governing body reached into Infantino’s longtime inner circle when his pick to represent FIFA on the White House Task Force for the World Cup walked away, calling the Joshua Kushner-backed $20 billion commercial subsidiary plan “a bad deal for football.”

Carlos Cordeiro is a former Goldman Sachs banker and officially Infantino’s senior adviser however, he revealed he was not involved in the secretive investment plan that has rocked the sport since media reports revealed it Tuesday.

“I cannot stand by while FIFA considers selling a stake in the World Cup,” Cordeiro said in a statement formally resigning, just hours after FIFA insisted in a statement: “Nobody is selling football.”

Cordeiro’s exit — and call for other senior staff to speak out — intensified scrutiny on Infantino. Cordeiro often joined Infantino on working visits to meet Mr. Trump at the White House in recent years, and took part in meetings of the administration’s World Cup task force led by Andrew Guiliani.

“Let me be clear. I had no involvement in this proposal, and I oppose it unequivocally,” said Cordeiro, the former U.S. Soccer Federation president.