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Pay CONMEBOL $46 million for the deal: Copies of Traffic’s Copa América contracts were filed with the Miami-Dade County Court in Traffic Sports v. CONMEBOL and Full Play.
The civil complaint: Traffic Sports v. CONMEBOL and Full Play in Miami-Dade County Court on November 21, 2011.
On December 1, Mariano Jinkis wired: Ibid., p. 127; some additional details about the bribe payment drawn from several other court documents, including the criminal information and guilty plea transcript of Miguel Trujillo on March 8, 2016; the criminal information and guilty plea transcript of Fabio Tordin on November 9, 2015; and the guilty plea transcript of Alfredo Hawit on April 11, 2016.
CHAPTER 13: QUEEN FOR A DAY
“FBI launches investigation”: The Telegraph article was written by Claire Newell and Paul Kelso.
published a second article: Paul Kelso, “FBI’s Investigation in Alleged Fifa Corruption Heads for the Caribbean,” The Telegraph, December 14, 2011.
It was December 29: Dates of Blazer’s proffers are detailed in his cooperation agreement, signed November 25, 2013.
had originated 127 million wire transfers: Monthly, quarterly, and annual statistics on Fedwire transactions are posted by the Federal Reserve on its website.
Blazer confessed he had agreed: Details of the corrupt acts Blazer confessed to are contained in USA v. Blazer, criminal information, as well as his plea agreement, both filed on November 25, 2013.
FIFA . . . booked $2.4 billion: Figures come from FIFA’s final accounting of the 2007–2010 World Cup cycle.
ESPN had paid a respectable $100 million: Brian Trusdell, “ABC and ESPN Get U.S. Rights to 2010, 2014 World Cups for $100 Million,” Associated Press, November 2, 2005.
CONCACAF took in $31.1 million: Drawn from the confederation’s 990 tax filing.
a measly $18 million: From January 2001 contract between Traffic and CONMEBOL, exhibit to November 21, 2011, complaint in Traffic v. CONMEBOL and Full Play.
CHAPTER 14: THE KING IS DEAD, LONG LIVE THE KING
split all costs and revenue, including bribes: USA v. Hawit, et al., superseding indictment, p. 131.
he incorporated one such company, J&D International: Michael Klein, “Webb Was Director of Jack Warner’s Cayman Company,” Cayman Compass, July 8, 2015.
expect to receive “side payments”: Transcript of guilty plea of Jeffrey Webb, November 23, 2015, p. 26.
“I am humbled”: “Webb Accepts Nomination for CONCACAF President,” Cayman News Service, March 26, 2012.
“It is difficult to predict”: Graham Dunbar, “CONCACAF Tries to Oust Chuck Blazer from FIFA,” Associated Press, May 23, 2012.
“we must move the clouds”: Ibid.
“a professional with competence and integrity”: Michelle Kaufman, “New CONCACAF Chief Could Enhance South Florida’s Soccer Appeal,” Miami Herald, July 27, 2012.
“They could have conducted a worldwide search”: Michelle Kaufman, “New CONCACAF Chief Could Enhance South Florida’s Soccer Appeal.”
Finally, they settled on a plan: Details of the complicated series of transactions are derived from numerous sources, but principally from USA v. Hawit, et al., superseding indictment, pp. 133–35.
CHAPTER 15: FASTER, HIGHER, STRONGER
had attempted to bribe him and Warner: USA v. Blazer, information, pp. 16–17.
secretly recorded a handful of Russians: Mary Papenfuss and Teri Thompson, pp. 145–46.
“targeted lobbying within the body of FIFA”: Michael J. Garcia and Cornel Borbély, Report on the Inquiry into the 2018/2022 FIFA World Cup Bidding Process, p. 66.
The plan was to focus on a peculiar payment: Many details of Blazer’s recorded interactions with Hawilla, leading to his eventual arrest, come from a copy of the sealed criminal complaint and FBI affidavit against Hawilla, which was filed on May 8, 2013, and signed by Jared Randall.
“the source of these funds”: from a February 18, 2003, fax sent from FirstCaribbean International Bank to Sportvertising.
“render consulting services to CLIENT”: Copy of the four-page contract reviewed by the author.
Hawilla had invited Blazer to the wedding: “Travels with Chuck Blazer and His Friends,” May 9, 2008.
CHAPTER 16: MY WAY
“ensuring accountability, transparency”: CONCACAF press release.
he noticed documents being shredded: CONCACAF’s Integrity Committee Report of Investigation, p. 16.
“We decline to comply with your request”: Ibid., Appendix B.
“the reform efforts initiated by Webb”: Ibid., p. 12.
a gala dinner was held in his own honor: Ron Shillingford, “Webb Spun His Charm Superbly,” Cayman Compass, July 18, 2012.
Traffic wired $1 million of the bribe: USA v. Hawit, et al., superseding indictment, p. 133.
CHAPTER 17: THE PACT
“Internacional’s fans are devastated”: Paulo Maia, “A morte do Papa e o jogo de futebol,” Jornal do Brasil, August 8, 1978.
obliged to sign another collaboration agreement: Hawilla’s old friend and associate, Kleber Leite, bought the rights to the Copa do Brasil, the country’s top-level professional league, through 2022. The deal, struck in December 2011, wasn’t revealed until the following May. Traffic and Klefer, Leite’s company, signed a cost- and revenue-sharing agreement on August 15, 2012. Details of the arrangement found in USA v. Hawit, et al., pp. 80–82.
unloaded 49 percent of Traffic: Jill Goldsmith, “Hicks Muse Nabs 49% of Brazil’s Traffic SA,” Variety, July 28, 1999.
“The most powerful man in Brazilian soccer”: Gilberto Scofield, Jr., “J. Hawilla, a dono do nosso futebol,” O Globo, June 4, 2010.
wedding of his baby boy: Rafael Hawilla was married to Adriana Helú on November 17, 2012 on Manantiales Beach. The wedding and honeymoon was the event of the season in Punta del Este and received considerable press attention in Brazilian style and society blogs.
cost more than $1 million: Denise Mota, “50% dos casamentos de luxo no Uruguai tem brasileiros no altar,” Folha de S. Paulo, January 31, 2013. An owner of the beach club where the wedding was held estimated its cost at $1.5 million.
CHAPTER 18: THE WARNER BROTHERS
Warner had been named Trinidad and Tobago’s Minister of National Security: Warner was first elected to Trinidad and Tobago’s parliament in 2007 as chairman of the United National Congress (UNC) party. In May 2010, the UNC, forming an alliance with several other parties, won the national elections by a huge margin, and Warner, who received more votes than any other candidate nationwide, was awarded with the Ministry of Works & Transport. Opposition leader Keith Rowley said his subsequent appointment “should be a matter of concern for all right-thinking citizens of Trinidad and Tobago.”
Daryan was the bright one: Details on Daryan Warner’s education from USA v. Daryan Warner, transcript of guilty plea, October 18, 2013.
ignoring warnings from FIFA: In a statement, FIFA said, “Jack A. Warner should, in particular, ensure that his son, Daryan Warner, does not abuse the position held by his father.” Rob Hughes, “FIFA Clears Warner in Ticket Scam,” New York Times, December 6, 2006.
He had come to the window with 7,500 euros: Details of the Warner brothers’ structuring transactions are taken from a sealed criminal complaint in USA v. Daryan Warner and Daryll Warner, filed on November 20, 2012. Steve Berryman swore to the complaint.
an army of little blue men: There is some debate about the author of the term “smurfing,” as understood to mean criminal structuring. Gregory Baldwin, a former Justice Department trial attorney based in Miami, is often credited with having coined the term in the late 1980s. However, congressional testimony from July 1985 indicates use of the term in a House Judiciary Committee hearing on money laundering.
Daryll Warner bought a three-bedroom penthouse: The younger Warner brother’s mortgage scam is detailed in USA v. Daryll Warner, criminal information, filed July 15, 2013, pp. 1–3.
CHAPTER 19: “A SAD AND SORRY
TALE”
a massive indictment targeting sixty-two members: USA vs. Agate, et al., is commonly known by its code name, Operation Old Bridge. The takedown led to sixty guilty pleas, with most defendants facing long prison terms.
an even bigger takedown: Called “the largest mob roundup in FBI history” by government officials, the operation was based on four separate indictments and the takedown involved some eight hundred law enforcement agents. Attorney General Eric Holder announced the news at a press conference in the Eastern District of New York on January 20, 2011.
“I have recounted a sad and sorry tale”: Juan Zamorano, “Regional Ex-Soccer Executives Accused of Fraud,” Associated Press, April 20, 2013.
“They have a right to be”: Graham Dunbar, “CONCACAF Financial Scandal Could Hurt US,” Associated Press, March 20, 2013.
“Person of the Year”: Sean Williams, “Football Propels Webb to Cayman’s Person of the Year,” Jamaica Observer, February 28, 2013. “One’s work in football is not just restrictive to football, but on the broader scope, it’s in service of all other positive aspects of life and the human reality,” Webb said upon hearing of the honor.
sending $2 million of the confederation’s cash: Letter from Samir Gandhi of Sidley Austin to Fabrice Baly, president of the St. Martin Football Association, dated January 5, 2016. The letter was circulated to all CONCACAF member associations.
Sanz . . . had agreed to pay him a six-figure bribe: USA v. Hawit, et al., pp. 100–101.
“I would hope and I would think”: Graham Dunbar, “CONCACAF Financial Scandal Could Hurt US,” Associated Press, March 20, 2013.
Some of that cash was then transferred: An accounting of the movements of the bribe money is in USA v. Hawit, et al., superseding indictment, pp. 133–34.
convened an emergency Saturday cabinet meeting: Mark Fraser, “Warner Resigns; Jack Hits the Road,” Trinidad Express, New York Times, April 21, 2013.
“until somebody is bold enough to print something”: Mark Bassant, “ ‘I’m Not Under House Arrest’; Daryan Warner Bares His Ankles in Miami,” Trinidad Express, March 19, 2013.
“an FBI probe into alleged corruption”: Mark Hosenball, “Exclusive, FBI His Cooperating Witness for Soccer Fraud Probe: Sources,” Reuters, March 27, 2013.
“before making any determination or pronouncement”: Mark Bassant, “Jack’s Son A Witness,” Trinidad Express, March 27, 2013.
a massive, multipart investigation: The series, by Trinidad Express investigative reporter Camini Marajh, began on April 14, 2013, with “Over $100m Withdrawn from TTFF Accounts.” It continued throughout 2013 with over a dozen exposés and sidebars, taking deep looks at much of Warner’s financial doings.
“one of the most hardworking ministers in our Cabinet”: Statement by Communications Minister Jamal Mohammed, quoted in “Govt Backs Jack,” Trinidad Newsday, April 19, 2013.
“it is baseless and malicious”: Linda Hutchinson-Jafar, “Trinidad’s National Security Minister, Ex-FIFA Official Warner Quits—Official,” Reuters, April 21, 2013.
“I have accepted the offer of resignation”: Mark Fraser, “Warner Resigns,” Trinidad Express, April 21, 2013.
Warner received a phone call: Shastri Boodan, “Warner Must Return Diplomatic Passport,” Trinidad Guardian, July 19, 2013.
the long-anticipated results of its internal review: FIFA published its eight-page Statement of the chairman of the FIFA adjudicatory chamber, Hans-Joachim Eckert, on the examination of the ISL case on April 29, 2013.
let them off after they paid back scarcely a third: Havelange and Teixeira stood accused of “embezzlement possibly disloyal management,” but Article 53 of the Swiss penal code allows for “the exemption from punishment in the event of reparation being made. If the offender has paid for the damage or undertakes all reasonable endeavors to compensate for the injustice he caused, then the competent authority will refrain from prosecuting him, bringing him to court or punishing him.” This statute generally applies only to crimes with sentences of less than two years. By making partial reparations, prosecutor Thomas Hildbrand determined, the two Brazilians had satisfied Article 53. This is described in exhaustive detail in order on the dismissal of the criminal proceedings of May 11, 2010, published by the Canton of Zug prosecutor’s office.
“any further steps or suggestions are superfluous”: Ibid.
CHAPTER 20: “LEAVE US OUT OF THIS”
May 3, 2013: Some information on Randall’s first interaction with Hawilla, as well as his prior and subsequent phone calls with Blazer detailed throughout this chapter, are drawn from the sealed criminal complaint in USA v. Hawilla, dated May 8, 2013. Additional details come from Hawilla’s trial testimony in December 2017.
Hawilla had flown to Buenos Aires: Some details of this meeting, as well as of the Copa América contract, from USA v. Hawit, et al., superseding indictment, pp. 141–43, as well as from Hawilla’s trial testimony.
Blazer first called early the previous June: The first recorded call from Blazer to Hawilla was on June 1, 2012. A second call, on June 26, also involved Stefano Hawilla, the executive’s oldest son. From the May 8 criminal complaint in USA v. Hawilla.
Lying to a federal agent was a crime: Often called “making false statements,” 18 USC 1001 is a favorite statute of federal agents attempting to make a case against someone. It carries a maximum five-year sentence, and has been used with success against Martha Stewart, Bernie Madoff, Jeffrey Skilling, and, more recently, George Papadopoulos, the former Trump foreign advisor. The best way to avoid a 1001 charge is to ask for the agent’s card, say nothing more, and get a lawyer.
say nothing and get a lawyer: If an FBI agent ever approaches wanting to ask you questions, seriously, don’t say anything and get a lawyer.
A forty-two-year-old lawyer who grew up in Dallas: Some biographical details for Aaron Davidson are drawn in part from the transcript of his October 20, 2016 guilty plea in USA v. Hawit, et al., as well as from several profiles in the press, notably Tim Elfrink, “Aaron Davidson’s Stunning Soccer Bribery Case Could Clean Up FIFA’s Corruption,” Miami New Times, September 1, 2015.
CHAPTER 21: I AM NOT YOUR FRIEND
finally settled on a bond of $20 million: Details of the terms of Hawilla’s conditional release come from copies of a May 2013 escrow agreement executed between Hawilla and the U.S. Attorney’s Office for the Eastern District of New York, represented by Assistant U.S. Attorney Amanda Hector.
more than $2 million in annual marketing commissions: The $160 million CBF-Nike deal was negotiated starting in 1994 and signed in New York on July 11, 1996. It is described in some detail in USA v. Hawit, et al., superseding indictment, pp. 83–86. Nike agreed to pay Traffic $40 million, in regular installments, over and above the contract price as an agency fee. Hawilla secretly agreed on July 14, 1996, to split that fee with Teixeira, amounting to a kickback. The deal with Nike was the subject of an eight-month parliamentary inquiry in Brazil that began work on October 17, 2000. The commission ultimately recommended charges against a number of soccer officials, including Teixeira, but not against Hawilla. Due to the political power of those individuals, however, no charges were ever filed. A complete accounting can be found in Sílvio Torres, Comissão parlamentar de inquérito destinada a apurar a regularidade do contrato celebrado entre a CBF e a Nike, published in June 2001.
Teixeira had been living in a spectacular waterfront Miami mansion: In the face of a criminal investigation in Brasilia, Teixeira left Brazil on February 17, 2012, on a private jet belonging to Wagner Abrahão, owner of Grupo Águia, a travel agency that had, with Traffic, rights to sell VIP World Cup ticket packages in Brazil. Just weeks earlier, Teixeira had closed escrow on a 6,630-square-foot, $7.45 million mansion on Sunset Island in Miami that had previously belonged to Russian tennis star Anna Kournikova. He resigned as president of the CBF on March 12, 2012, when he was already installed in Miami. Teixeira’s story, in excellently reported detail, can be found in Jamil Chade; an
d in Ribeiro Jr., et al., which covers the soccer official’s flight on pp. 233–34.
On June 3, less than a month after he was arrested: Details of Hawilla’s payments to Torneos and Full Play for his share of the Copa América bribes come from testimony in the November and December 2017 trial of Juan Ángel Napout, José Maria Marin, and Manuel Burga, as well as from USA v. Hawit, et al., superseding indictment, pp. 144–45.
CHAPTER 22: ONE IS SILVER, THE OTHER GOLD
dozens of payments: An accounting of Danis’s bribe payments, as well as her tax issues, is contained in USA v. Zorana Danis, criminal information, filed May 26, 2015, pp. 15–16, 18.
Blagoje Vidinić: There are numerous accounts of Vidinić’s life as a player, coach, and Adidas employee, and the story of his conversation with Horst Dassler on the eve of the historic 1974 FIFA elections in Frankfurt has been told by several notable sports journalists, including Andrew Jennings, Keir Radnedge, and Pal Odegard, among others. Perhaps the best account comes from Barbara Smit, Sneaker Wars, pp. 139–40.
after graduating from Georgetown: Aspects of Danis’s biography and business come from her criminal case, USA v. Danis, including the transcript of her guilty plea on May 26, 2015, as well as from affidavits and other documents in a civil suit filed by CONMEBOL against Danis and International Soccer Marketing in New York Supreme Court on October 21, 2016.
Norris put a pen register on Danis: The prosecutor filed the application under seal on July 19, 2013, requesting surveillance of email accounts belonging to Danis, Ricardo Teixeira, Jorge Martínez, and Horace Burrell. A further application, to monitor Danis’s phone, was entered on July 25. Both applications, good for sixty days, were extended twice, through to the beginning of 2014.
a number of other corrupt schemes: A litany of criminal acts perpetrated by Daryan Warner is included in his cooperation agreement, which was read into the transcript of his guilty plea, taken on October 18, 2013.
“a portion of the monies”: USA v. Daryan Warner, order of forfeiture, filed October 23, 2013, p. 1.