Argentine Sports Marketing Company Reaches Settlement on FIFA Corruption

On December 13, 2016, the U.S. Attorney’s Office for the Eastern District of New York filed a criminal information charging Torneos Y Competencias S.A. (Torneas), a South American sports marketing company, with wire fraud conspiracy in connect with the company’s longstanding participation in a scheme to corrupt international soccer.  Torneos reached a deferred prosecution agreement in which it admitted to its role in the 15-year scheme, including its role in paying tens of millions of dollars in bribes and kickbacks to a high-ranking FIFA official to obtain his support for, inter alia, the acquisition of rights to broadcast the 2018, 2022, 2026, and 2030 editions of the FIFA World Cup.  The DPA requires Torneos to pay $112.8 million in forfeiture and criminal penalties, to implement enhanced internal controls and a rigorous corporate compliance program, and to cooperate fully with the government’s continuing investigation.