2024-11-05 14:10:00
In France, financial investigators are raiding the LFP football league association and the financial investor CVC on suspicion of embezzlement of public funds and corruption. The searches followed investigations started in July that were examining the financial investor’s entry into the marketing of the TV rights for the French soccer league Ligue 1 in 2022, the financial prosecutor’s office in Paris said.
According to media reports, the investigators also went to league president Vincent Labrune. The raid came six days after a report was presented to the Paris Senate, according to which league officials received large bonuses from the deal with CVC and therefore had a personal interest in the deal. Accordingly, league president Labrune is said to have received a bonus of three million euros and his annual salary is said to have tripled to 1.2 million euros.
The investigation was triggered by a complaint from the anti-corruption association “AC!” At the end of 2023, the accusation of embezzlement of public funds was raised during the establishment of a subsidiary of the LFP, which takes care of the marketing of the TV rights, the public prosecutor’s office said.
In France, CVC bought 13 percent of the shares in the newly founded LFP subsidiary in 2022 for around 1.5 billion euros. In return, 13 percent of the marketing proceeds go to the investor. Two years after the investor’s much-discussed entry, Ligue 1 sold its TV rights from next season to the streaming service DAZN and the Qatari broadcaster beIN Sports this summer.
The deal caused criticism in France because it only brings the league around 500 million euros per season. This means that it is far below the expectations that were formulated when investor CVC got involved.
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#Raid #Frances #football #league #association #SN.at
**Interview with Sports Financial Analyst, Claire Dubois**
**Interviewer:** Claire, thank you for joining us today. With the recent news of financial investigators raiding the LFP headquarters and the involvement of the CVC Investment Fund, what are your initial thoughts on the implications for Ligue 1 and its financial integrity?
**Claire Dubois:** Thank you for having me. This situation is deeply concerning for several reasons. Firstly, it raises significant questions about transparency and accountability within the LFP. The alleged bonuses and massive salary increases for league officials suggest a potential conflict of interest, particularly when public funds are involved.
**Interviewer:** Indeed, the report pointed out that league president Vincent Labrune received a substantial bonus while overseeing the deal with CVC. How do you think this will impact public trust in French football management?
**Claire Dubois:** Trust in sports administration is crucial, and incidents like this can severely undermine it. If investigators find wrongdoing, it could lead to calls for reform within the LFP. Fans and stakeholders may demand stricter regulations and oversight to ensure that the interests of the league and its supporters are prioritized over personal gain.
**Interviewer:** Given the criticism surrounding the TV rights deal, do you believe that the financial expectations set at the time of CVC’s investment were realistic?
**Claire Dubois:** That’s a complicated question. On one hand, investing 1.5 billion euros should ideally yield substantial returns. However, the expectation might have been overly ambitious, especially considering the shifts in sports broadcasting. It’s evident that there needs to be a comprehensive review of how such deals are structured to better align expectations with market realities.
**Interviewer:** As we look towards the future, what measures do you think need to be taken to restore confidence in Ligue 1’s governance?
**Claire Dubois:** I believe the LFP must prioritize transparency. Implementing independent audits, stricter compliance measures, and perhaps involving fan representation in discussions regarding financial decisions could enhance accountability. Moreover, they need to ensure that any financial dealings are in the best interests of the league and not just for short-term gains.
**Interviewer:** how do you think fans should react to this situation? Is there a call to action for them?
**Claire Dubois:** Absolutely. Fans should remain vocal about their concerns and demand clarity and accountability from the league’s management. Engaging in discussions and perhaps forming supporter groups focused on governance can be a powerful way to ensure that the league is held accountable. After all, it’s the fans that essentially fuel the sport.
**Interviewer:** Thank you, Claire, for sharing your insights. It’s clear that this situation will have far-reaching impacts on Ligue 1 and its stakeholders.
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What do you think about the potential consequences of this investigation on the future of Ligue 1? Should more transparency be enforced in sports management to prevent conflicts of interest?