FIFA To Give ZIFA $750 000 Against $5 Million Debt Dube Owed $230 209 By Editor Fanuel Viriri Beleagured ZIFA is set to receive $750 000 from FIFA, a cash tranche that is outstripped by the football association’s debt at a staggering $5 million. The ZIFA president Cuthbert Dube is among the top creditors and is owed $230 309 that he injected into the running of the association. Each of the 209 FIFA member countries will get $250 000 this month and should get a further $500 000 early next year, FIFA’s finance director Markus Kattner told the governing body’s congress attended by Dube, his deputy Omega Sibanda and ZIFA’s chief executive officer Jonathan Mashingaidze in Sao Paulo, Brazil on Wednesday. The association honchos were expecting that the cash-squeezed ZIFA would get a relief from the cash pay-outs from FIFA but the association debts outstrip what the world football body say it would avail to members. ZIFA inherited a debt of $600 000 in 2010 when Dube first came into office, but the figure has since ballooned to $5 million. Dube’s company Buymore Investments is among the creditors owed money by the embattled association. Some reports say Dube is owed $1 million by ZIFA but an audit report released in March said he is owed US$230 309 by the association as of December 31, 2012. The former Premier Service Medical Aid Society (PSMAS) CEO used his personal funds to oil the football association’s operations. In just 10 months, from January 2012 to October 2012, ZIFA received US$69 799, which came from Dube’s Buymore Investments as a loan, into ZIFA’s coffers for the payment of their salaries, some of the money being balances owed from the previous year. In January 2012, Buymore Investments poured US$17 325 from its coffers into ZIFA, as loans, for the payment of the salaries of those who work at 53 Livingstone Avenue, the ZIFA headquarters. The following month, there was another payment of US$14 200, towards the same salary bill from the same source, and in March US$9 700 was paid for the exercise. The last payment towards salaries in 2012, from Buymore Investments, came on August 10, 2012, when there was a one-off payment of US$10 000 to cater for the employees. Dube and his lieutenants must have come out of the FIFA congress red faced on Wednesday as the money that is being poured by the global world football body is outstripped by ZIFA debts which stands at a whopping $5 million. Creditors will be waiting to pounce when $250 000 is released next month. The money is not even enough to cover what Dube is owed by ZIFA – a cool $230 309. FIFA plans to pay out $200 million in total bonuses to its national members and confederations from its World Cup revenue of an estimated $4.5 billion. Each of the 209 member countries of which ZIFA is part of will get $250 000 this month and should get a further $500 000 early next year. The six continental bodies will get $2.5 million this month and $4.5 million more next year. Kattner said the bonuses must be approved by independent audit panel chairman Domenico Scala, but that there is no reason to think the extra payments won’t be made. The planned bonuses are a $200 000 raise compared to the payments made after the 2010 World Cup when each FIFA member got a total of $550 000. Then, the six confederations received a total of $5 million each. FIFA expects improved revenue of $4.5 billion for the four-year commercial cycle tied to the 2014 World Cup. It had budgeted to earn $3.8 billion. Kattner said FIFA expects to earn $5 billion in the cycle leading to the 2018 World Cup. A total of $2.7 billion should come from broadcasting rights sales and $2.3 billion from sponsors and licensing. FIFA has budgeted to spend $4.9 billion through 2018, with $100 million added to its reserves. FIFA’s reserve fund is currently more than $1.4 billion. The football world body is also set to donate $2 million to help the football associations of Bosnia and Herzegovina, Croatia, Romania and Serbia rebuild their football infrastructures, which were damaged by the recent serious floods in the region. FIFA and UEFA will conduct a joint initiative.
Posted on: Mon, 16 Jun 2014 13:09:28 +0000
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