FIFA’s Secret Ultimatum

The day before the World Cup final, five of FIFA’s top directors were summoned to a hastily arranged meeting at the Waldorf Astoria in Manhattan. They were told they had until midnight to approve a plan that would sell 20 percent of FIFA to a group of investors led by Joshua Kushner, the brother of President Trump’s son-in-law Jared Kushner. The World Cup, run by FIFA as a nonprofit for 96 years, would partly pass into private hands.

Most of the bureau members had not even heard of the proposal before that night. The deal had been developed in secret with Kushner’s fund Thrive Eternal and JPMorgan Chase. Only one member, chief of staff Dan O’Toole, had been closely involved. By the deadline, three members voted yes: Secretary General Mattias Grafstrom, legal head Emilio Garcia, and O’Toole. Chief operating officer Kevin Lamour and finance head Thomas Peyer voted no.

The majority vote allowed FIFA President Gianni Infantino, who was not in the room, to move the proposal forward. The plan became public on July 28th through reports in The Times of London and the Financial Times, setting off a wave of outrage. European soccer’s governing body, UEFA, threatened a boycott of all FIFA competitions. Other confederations criticized the secrecy and the rushed demand for approval. Politicians and soccer leaders joined the backlash.

Infantino abandoned the plan on July 31st. FIFA later issued an apology signed by Infantino and Grafstrom, but the crisis has not ended. UEFA continues to demand Infantino’s resignation, and FIFA’s internal divisions remain exposed.