11.08.04 Congress2011 MinutesEN...11.2 Participation of clubs in the benefits of the 2010 FIFA World Cup South Africa 11.3 Medical matters 11.4 FIFA Task Force Football 2014 11.5 Football

M I N U T E S

of the

61st FIFA Congress

at the Hallenstadion, Zurich

Tuesday, 31 May 2011 – 17.00-19.00 Wednesday, 1 June 2011 – 09.30-19.00

61ST FIFA CONGRESS ZURICH, 31 MAY AND 1 JUNE 2011 – MINUTES 2/37

Agenda

1. Welcome 2. Roll call and declaration that the Congress has been convened and composed in

compliance with the Statutes

3. Appointment of scrutineers

4. Suspension or expulsion of a member 4.1 For discussion: the Football Association of Brunei Darussalam 4.2 For discussion: the Football Federation of Bosnia and Herzegovina

5. Approval of the agenda

6. Appointment of five members to check the minutes

7. Vote on approval of minutes

60th FIFA Congress – Johannesburg, South Africa, 9 and 10 June 2010

8. President’s address

9. Activity Report (separate booklet) 9.1 Activity Report 2010 9.2 Next FIFA events 9.3 2014 FIFA World Cup Brazil™

10. Finance (separate booklet) 10.1 Consolidated financial statements for 2010 10.2 Consolidated financial statements for the 2007-2010 four-year period 10.3 Auditors’ report to the Congress 10.4 Report by the chairman of the Internal Audit Committee 10.5 Vote on approval of consolidated financial statements for 2010 and for the 2007-

2010 four-year period 10.6 Detailed budget for 2012 10.7 Vote on approval of 2012 budget 10.8 Appointment of the auditors for the 2011-2014 four-year period

11. Strategic and sports-political matters 11.1 Update on decisions passed at 2010 Congress

11.1.1 Early warning system 11.1.2 Eligibility to play for club teams (cf. 12.1.1) 11.1.3 FIFA transfer matching system and protection of minors 11.1.4 In-depth reform of FIFA’s players’ agents system

11.2 Participation of clubs in the benefits of the 2010 FIFA World Cup South Africa™ 11.3 Medical matters 11.4 FIFA Task Force Football 2014 11.5 Football for Hope 11.6 “Zero Tolerance”

12. Vote on proposals for amendments to the FIFA Statutes, Regulations Governing

the Application of the Statutes and Standing Orders of the Congress 12.1 FIFA Statutes


12.1.1 Players (art. 5 of the FIFA Statutes) 12.1.2 Suspension (art. 14 par. 1 of the FIFA Statutes) 12.1.3 Internal Audit Committee (art. 34 par. 1 (b) and 2 and art. 36 of the FIFA

Statutes) 12.1.4 International matches (art. 73, 78-80 of the FIFA Statutes)

12.2 Regulations Governing the Application of the Statutes 12.2.1 International matches (deletion of art. 3-12 of the Regulations Governing the

Application of the Statutes) 12.2.2 Proposal submitted by the United Arab Emirates Football Association

13. Discussion of proposals submitted by the members and the Executive Committee

within the periods stipulated in art. 25 par. 1 of the FIFA Statutes

14. Election of the President

15. Installation of the Vice-Presidents and members of the Executive Committee

16. Next Congresses 62nd FIFA Congress in Budapest, Hungary on 24 and 25 May 2012 63rd FIFA Congress in Mauritius on 30 and 31 May 2013

17. President’s closing remarks


PRESENT 1. Executive Committee President Joseph S. Blatter (Switzerland) Senior Vice-President Julio H. Grondona (Argentina) Vice-Presidents Issa Hayatou (Cameroon) Ángel María Villar Llona (Spain) Michel Platini (France) Geoff Thompson (England) David Chung (Papua New Guinea) Members Dr Michel D’Hooghe (Belgium) Ricardo Terra Teixeira (Brazil) Senes Erzik (Turkey) Worawi Makudi (Thailand) Dr Nicolás Leoz (Paraguay) Junji Ogura (Japan) Marios Lefkaritis (Cyprus) Jacques Anouma (Côte d’Ivoire) Franz Beckenbauer (Germany) Rafael Salguero (Guatemala) Hany Abo Rida (Egypt) Vitaliy Mutko (Russia) Mohamed Raouraoua (Algeria) Secretary General Jérôme Valcke (France) 2. Guests of Honour President of the Swiss Confederation Micheline Calmy-Rey (at the Opening Ceremony) Jürg Trachsel (President of the Cantonal Council of Zurich) Mayor of Zurich Corine Mauch (at the Opening Ceremony) President of the International Olympic Committee (IOC) Jacques Rogge (at the Opening Ceremony) International Olympic Committee Executive Board Members René Fasel and Denis Oswald President of the World Anti-Doping Agency (WADA) John Fahey Director General of the World Anti-Doping Agency David Howman Secretary General of the Court of Arbitration for Sport (CAS) Matthieu Reeb


President of the International Centre for Sports Studies (CIES) Bertrand Reeb and General Secretary Vincent Schatzmann Representatives of the European Professional Football Leagues, FIFPro, the International Handball Federation and the International Basketball Federation President of the Swiss Football Association Peter Gilliéron FIFA Ambassadors Holders of the FIFA Order of Merit Honorary President

Dr João Havelange (Brazil) Honorary Members

György Szepesi (Hungary)

León Londoño Tamayo (Colombia)

Dr Viacheslav Koloskov (Russia)

Dr Ferdinand Hidalgo (Ecuador)

Gerhard Mayer-Vorfelder (Germany)

3. Representatives from the confederations

(List of confederation delegates is being compiled)

AFC: CAF: CONCACAF: CONMEBOL: OFC:

UEFA:

EXCUSED Vice-President Dr Chung Mong Joon (Korea Republic) Honorary Vice-President Lennart Johansson (Sweden)

Honorary Members Necdet Cobanli (Turkey) Tan Sri Datuk Seri Haji Hamzah (Malaysia) Sir Arthur George (Australia)


Poul Hyldgaard (Denmark) PROVISIONALLY SUSPENDED Jack A. Warner (Trinidad and Tobago) Mohamed bin Hammam (Qatar)

*******


Opening Ceremony Hallenstadion, 31 May – 17.00 to 19.00 The evening began with a rendition of Franz Lambert’s FIFA anthem and a parade of the flags representing the organisation’s 208 member associations, followed by a performance by Alan Šulc, a 21-year-old juggler from the Czech Republic. Master of Ceremonies Melanie Winiger, a former Miss Switzerland, then welcomed the guests and delegates to Zurich before introducing President Joseph S. Blatter to officially open the Congress. President Joseph S. Blatter The President extended his own welcome to the guests and delegates, in particular the President of the Swiss Confederation, Micheline Calmy-Rey, the Mayor of Zurich, Corine Mauch, the President of the Cantonal Council of Zurich, Jürg Trachsel, ministers and secretaries of state, ministers of sport, members of diplomatic corps, representatives from the world of sport, including the IOC, WADA, CAS and player, club and league associations, Honorary President Dr João Havelange, the Honorary Members and Order of Merit holders, the FIFA Ambassadors, the members of the Executive Committee and the member associations. In his speech, he noted that the world today was troubled by both man-made and natural disasters, such as those in Haiti, Chile, Pakistan, Australia, New Zealand and Japan. While he had hitherto believed that football could play a unifying role whereby people all over the world, including those on the margins of society, could play together in a spirit of fair play, respect and discipline, he now observed with sadness that this was no longer the case and that the football pyramid was shaking on its foundations. Danger was lurking, and he would speak further on the subject of this danger and how to fight it at the Congress the following day, in order to safeguard football’s unifying role in the future. He added that the game of football should be respected by all because it belonged to everyone and that it was everyone’s duty to protect it and that he was sure that this would be done. In closing, he wished all those present an evening of friendship, solidarity and relaxation and declared the 61st FIFA Congress officially open.

******* Award-winning Swiss folk musician Nicolas Senn played a set of modern and traditional tunes on the hammered dulcimer.

******* The Master of Ceremonies then said a few words about the visual theme of the 61st FIFA Congress, silhouette art, before introducing the Mayor of Zurich, Corine Mauch. Mayor of Zurich Corine Mauch Ms Mauch began by saying how proud the city and people of Zurich were of that the fact that Zurich had been home to the world’s most significant sports federation since 1932, thus making Zurich the global capital of football. For its part, the city of Zurich supported FIFA in every respect, providing ample infrastructure for FIFA’s headquarters, committee meetings and Congress.

She went on to say that football was a world-embracing success story, and that no other sport could match the commercial importance of football, adding that universal enthusiasm for the


game was still on rise, particularly thanks to FIFA’s efforts over past years to promote the women’s game and football in Africa, Asia and North America. Furthermore, she said that the values embraced by FIFA, such as fairness, tolerance, equal treatment regardless of origin, religion or gender and FIFA’s commitment to corporate social responsibility were universal and wholeheartedly shared by the people of Zurich. In order to strengthen those values in the future, she said that she was glad to receive signals from FIFA that reforms would be undertaken. In closing, she said she hoped that the delegates would be able to sense the warmth of the city’s welcome and would enjoy their stay in Zurich.

*******

Twenty young dancers from five different nations performed a piece put together exclusively for the Opening Ceremony by the internationally renowned choreographer Jonathan Huor.

*******

President of the International Olympic Committee Jacques Rogge

Mr Rogge first of all congratulated FIFA on an excellent World Cup in South Africa, at which he had witnessed first-hand the great organisation and wonderful enthusiasm of the South African people. The tournament had truly been a milestone for major international sports events. For many years the World Cup and the Olympic Games had enjoyed a complementary and synergistic relationship. By holding these events in the same countries within a few years of each other, as was the case in Mexico in 1968 and 1970, Germany in 1972 and 1974 and the USA in 1994 and 1996, the IOC and FIFA had learnt a great deal from each other about how to organise unforgettable sporting competitions. With the World Cup in Brazil just three short years away, he said he was confident that Brazil would host a great and memorable World Cup and that FIFA’s experiences would benefit the 2016 Olympics in Rio de Janeiro.

For the sake of the international sports community, he said that it was imperative that FIFA and the IOC continued to build on their already very strong ties. He noted that FIFA played a key role in the Olympic movement and that FIFA and the IOC collaborated on a number of important issues around the world, all for the betterment of sport. For example, the organisations’ work together in the fight against doping in conjunction with WADA had been particularly successful and more recently, positive inroads had been made in their collaboration to combat illegal and irregular betting activities. Furthermore, FIFA and the IOC’s combined efforts with the European Union in particular to secure a legal basis for sport in the Lisbon Treaty had been equally meaningful. He went on to say that football continued to be important for the Olympic Games and that the IOC was pleased with the current format of the football competition at the Olympic and Youth Olympic Games.

Finally, speaking as a true lover of football rather than as President of the IOC, he remarked that FIFA was facing similar allegations and controversies to those faced by the IOC in the case of Salt Lake City, but that as a result of this ordeal, the IOC had ultimately emerged stronger from within. He closed his speech by expressing his confidence that after dealing with its problems, FIFA would also emerge stronger from within.

*******

The multi-talented international artist Grace Jones performed a 20-minute set.


*******

President of the Swiss Confederation Micheline Calmy-Rey

Ms Calmy-Rey said that it was an honour to attend the opening of the Congress in Zurich. She commented that what she appreciated above all about football was that it relied both on the individual and the group, in that each player must keep his or her position to avoid putting the team at a disadvantage and nothing would be possible without the commitment of each and every member of the team. To win, individualism must be accompanied by consideration towards team-mates and taking the collective into account.

She then remarked that football had become an instrument of integration and for teaching tolerance. She noted that international sporting competitions were a highly effective weapon against prejudice and helped to promote multiculturalism, thanks also to football stars becoming ambassadors for global causes. She added that none of this would have been possible without FIFA’s work to promote football on a global level through its slogan “Develop the game, touch the world and build a better future”, and in particular congratulated FIFA on taking the World Cup to South Africa and ensuring that the entire continent shared in the benefits. She went on to say that FIFA had built a better future for millions of underprivileged people, rebuilding damaged infrastructure and offering help to people, particularly young people and children. In particular, she mentioned FIFA’s commitment to building a stadium in Palestine to enable the Palestinian Football Association to play home matches, and the friendly match between Turkey and Armenia in the presence of the presidents of both countries to celebrate the signature of the Protocol of Zurich, which had been the result of Switzerland’s mediation with a view to normalising relations between the two nations.

Ms Calmy-Rey also mentioned the vital importance of respecting the opponent and the decisions of the referee, adding that if sportsmen and women learned to look at themselves, they would learn to respect others. She said that she placed a high value on the principle of fair play cultivated on football pitches, as such an example was necessary for our society, which sometimes sought to progress by placing too much emphasis on individualism.

Turning to women’s football, she expressed her pleasure at the increasing popularity of women’s football and the FIFA Women’s World Cup™, and said that she was especially keen to see women on the FIFA Executive Committee one day.

As home to numerous international sports federations, she noted that Switzerland was particularly interested in combating illegal behaviour in relation to actions on the field or by associations at all levels. Furthermore, she expressed the conviction that FIFA would take the criticism and allegations of tolerating corruption and of a lack of transparency seriously. She stated that while it was imperative to examine these claims with the necessary diligence and to take measures to reform FIFA’s governance, it was even more imperative that FIFA served as an example to young people, member associations and the public in general. She said that she considered it essential to re-establish full confidence in the organisation and its operations, that the age of “catenaccio” was over and that it was time for courageous offensive in the field of transparency. This, she said, was a question of credibility and integrity but also of the success of common objectives, such as respect, tolerance and team work. In closing, she remarked that Switzerland was very attached to FIFA and that she hoped that FIFA’s Swiss environment would help to give it energy to overcome the challenges that it faced.


*******

The award-winning breakdancers troupe The Flying Steps provided the next artistic highlight, accompanied by the 20 dancers and Liz Schneider alias White Cello.

The Opening Ceremony was then closed with a grand finale in which Grace Jones performed together with all the other artists who had featured in the show.

*******


61st FIFA Congress Hallenstadion, 1 June – 09.30 to 19.00 The Secretary General welcomed the guests and delegates to the second day of the Congress before proceeding to test the e-voting system. He then handed over to the President.

*******

A video entitled “Build a better future” was shown.

*******

1. Welcome

The President handed over to the President of the Swiss Football Association to open the Congress.

President of the Swiss Football Association Peter Gilliéron

After extending his own welcome to those present, Peter Gilliéron said that he would like to believe that it was no coincidence that Switzerland was home to 50 other sports federations besides FIFA, including UEFA and the IOC, as this was due to the country’s skill at creating a safe, prosperous and productive climate out of social, cultural, ethnic and linguistic diversity. Switzerland had made tremendous efforts to achieve integration, tolerance and living diversity, which were rewarded with the biggest success in Swiss footballing history when the U-17 won the World Cup in Nigeria in 2009 with a team in which half the players had dual nationality. This showed the power and success that football could create when respect, tolerance and fair play came together. After expressing his conviction that the Swiss climate based on friendship, tolerance and trust would prove fruitful for maintaining contacts and sharing the delegates’ love of football, he closed by wishing everyone a good Congress at which respect and fair play would be the winners.

Mr Gilliéron was then presented with a commemorative pennant by the President.

President Joseph S. Blatter

The President began by greeting the delegates from the 208 FIFA member associations, Honorary President Dr João Havelange, the representatives of the IOC, WADA, CIES, CAS and the players, clubs and leagues, the political representatives and members of the diplomatic services, the members of the Executive Committee and representatives of the six confederations, the Honorary Members and holders of the Order of Merit, the representatives of FIFA’s commercial partners, media representatives, guests, friends and fans.

After highlighting the key messages that FIFA had received in the speeches given at the Opening Ceremony, he likened FIFA to a ship in troubled waters, which needed to be set back on the right course. He added that as “captain” of FIFA, it was his responsibility to do this, but that this would only be possible with the help of the 208 member associations, who as the Congress were FIFA’s legislative and decision-making body. He said that he was certain that FIFA could solve all of its


problems internally by creating new control and governance bodies and by strengthening those bodies that already existed. In closing, he echoed Mr Gilliéron’s appeal for respect, discipline, fair play, unity, solidarity and trust.

In memoriam

The President then led a minute’s silence in tribute to the members of the global football family who had sadly passed away since the 2010 Congress in Johannesburg:

Jörg Berger (Germany)

former coach

Mohamed Mzali (Tunisia)

International Olympic Committee (IOC) member since 1965

Valdemar Carabina (Brazil)

former international player

Stjepan Bobek (former Yugoslavia)

Yugoslavia’s all-time record marksman

Yuri Shishlov (Russia)

FC Luch Energiya coach

Tchangai Massamasso (Togo)


Pedro Dellacha (Argentina)

former player

Abdoulaye Mohamed (Benin)

former player

Diego Rodriguez (Uruguay)

former player

Andrei Timoshenko (Russia)

former player

Orvin Cabrera (Honduras)

player

Deszo Bundzsak (Hungary)

former player


Rolf Blattmann (Switzerland)

former referee

Fernando Riera (Chile)

former national team coach

Sylvia Kelaletswe (Botswana)

former FIFA women’s referee

Agustín Domínguez (Spain)

Former General Secretary of the RFEF

Eddie Baily (England)

former player, Tottenham Hotspur

Juan Carlos Arteche (Spain)

former player, Racing Santander

Malcolm Allison (England)

former coach, Manchester City

Mel Hopkins (England)

former player, Tottenham Hotspur

Rodrigo José da Silva (Brazil)

former player

Mustapha Anane (Algeria)

former player, JS Kabylie

Seven football fans (Kenya)

… and others injured – Nairobi, match between AFC Leopards and Gor Mahia

Bretislav Dolejsi (Czech Republic)

former player

John Benson (Scotland)

former player and coach, Manchester City

Fred Blankemeijer (Netherlands)

former player

Illi Savu (Romania)

former player


Nena (Brazil)


Valentin Ivakin (Russia)

former player

Imre Satori (Hungary)

former player

Adama Dierma (Burkina Faso)

former association Vice-President

Ramos Delgado (Argentina)

former player

Giuseppe Taranto (Brazil)

FC Santos

Shamil Burziyev (Russia)

former player

Imre Mathesz (Hungary)

former player

René Hauss (France)

former player

Federico Vairo (Argentina)

former player

Téclaire Bille Esono (Equatorial Guinea)

former player

Enzo Bearzot (Italy)

former coach

Avi Cohen (Israel)

former player

Frans de Munck (Holland)

former goalkeeper


Coen Moulijn (Holland)

former player

Richard Butcher (England)

player – died at the age of 29

Gideon Njoku (Nigeria)

former player

Wilfried Gerhardt (Germany)

former General Secretary of the DFB

Alcides Vicente Silveira (Uruguay)

former player

Dali Benoît (Côte d’Ivoire)


Jordi Vila (Spain)


Ernesto Ledesma (Uruguay)

former player

Dr Helmut Beyer (Germany)

former President, Borussia Mönchengladbach

Dean Richards (England)

former player – died at the age of 36

Abdi Salaan Mohamed Ali (Somalia)

player

Maurice Guigue (France)

former referee

Isaac David Sasso Sasso (Costa Rica)

former Executive Committee member and member of various FIFA committees

Ján Popluhár (Czech Republic)


Ernest Vaast (France)



Jean Daniel Eboué (Cameroon)


Sidney Colônia Cunha (Brazil)


Olubayo Adefemi (Nigeria)

25-year-old international player, died in a car accident

Willie O’Neill (Scotland)

former player, Celtic FC

Lidio Toledo (Brazil)

former member of the FIFA Medical Committee

Jason Smith (Bermuda)

player, died in a shooting

Randy Robinson (Bermuda)

player, died in a shooting

Ernst Weber (Austria)

coach of women’s senior national team and a number of male and female youth teams

Ladislav Novák (Czech Republic)


George Lamptey (Ghana)


Ernest Walker (Scotland)

former member of various FIFA Committees

Nasser Hejazi (Iran)


Shigeo Yaegashi (Japan)


Badou Jasseh (Gambia)

referee and CAF instructor

... and numerous other members of the international football family.


2. Roll call and declaration that the Congress has been convened and composed in compliance with the Statutes

The Secretary General then proceeded to call the roll in English alphabetical order. All 208 members were present (see annexe on page …) The following associations were not entitled to vote due to insufficient football activity: Brunei Darussalam São Tomé e Príncipe Therefore, 206 member associations were entitled to vote at the Congress. The President declared that the Congress had been convened and composed in accordance with the Statutes. 3. Appointment of scrutineers

The following two members were proposed to distribute and count voting papers issued for the election of the President: Austria and Congo DR. This proposal was put to the vote and approved with the following result: 196 votes in favour 4 votes against The following three members were proposed to examine the functioning of the electronic voting system: Bangladesh, Ghana and Grenada. This proposal was put to the vote and approved with the following result: 192 votes in favour 6 votes against Finally, the following eight members were proposed to count the hand voting: Bhutan, Canada, Cyprus, Egypt, Mauritius, Myanmar, New Zealand and Paraguay. This proposal was put to the vote and approved with the following result: 190 votes in favour 7 votes against The scrutineers duly confirmed that they accepted their tasks.


4. Suspension or expulsion of a member

4.1 For discussion: the Football Association of Brunei Darussalam

The President informed the Congress that the Executive Committee had lifted the suspension on the Football Association of Brunei Darussalam following the re-registration of the association as the “National Football Association of Brunei Darussalam” and the approval of new statutes in line with FIFA requirements. 4.2 For discussion: the Football Federation of Bosnia and Herzegovina Furthermore, the President mentioned that the Football Federation of Bosnia and Herzegovina (FFBH) had been suspended, but thanks to FIFA and UEFA’s intervention, which had resulted in the adoption of new statutes, the suspension had been lifted by the FIFA and UEFA Executive Committees. 5. Approval of the agenda The Secretary General gave the floor to the chairman of The Football Association (The FA), David Bernstein, who asked for a postponement of agenda point 14, Election of the President, arguing that the election had become a one-horse race due to recent negative issues and that a postponement would allow an additional candidate or candidates to stand and compete in an open and fair election, thus giving the winner proper credibility over the next four years. Further requests to speak were then granted to the presidents of the member associations of Haiti, Congo DR, Benin, Cyprus and Fiji, who expressed their opposition to The FA’s proposal. The President of the Haitian Football Association, Yves Jean-Bart, acknowledged that FIFA was in a difficult situation but said that to postpone the election would only accentuate the instability and give an impression of weakness. He therefore advocated maintaining the agenda and giving the President a clear mandate to start the necessary reforms, as this would send out a clear signal that FIFA was strong and able to resolve its problems. He also emphasised that the problems were due to FIFA’s tremendous growth and should be resolved internally, giving more power to the member associations. The President of the Congo DR Football Association, Selemani Omari, added that it was perfectly democratic to re-elect the President unopposed and that the fact that there was a single candidate was not a bad thing; on the contrary, it indicated that the incumbent had done a good job, that the members retained their confidence in him and did not consider it appropriate to oppose his candidature. The President of the Benin Football Association, Moucharafou Anjorin, described England’s proposal as contrary to FIFA’s interests, as it would expose FIFA to the world, accused them of often creating opposition at elections and questioned their motives for doing so. The President of the Cyprus Football Association, Costakis Koutsokoumnis, said that what FIFA needed was a strong mandate to eliminate the problems it was facing and the will to change things from within. He added that postponing the election would leave FIFA “headless” and prevent it from taking the necessary decisions and moving forward, and that instead, President Blatter should be trusted to present FIFA with a valid programme for resolving any problems that the football family – not third parties – deemed there to exist.


The President of the Fiji Football Association, Muhammad Sahu Khan, declared that it would be unconstitutional to postpone the election, as there was no basis for doing so in the Statutes, which stated that the President must be elected at the Ordinary Congress in the year following the FIFA World Cup™, and that if the Congress were to thus commit a breach of the Statutes, it would be difficult in the future to insist on compliance with the Statutes at member association level. Furthermore, he said that he failed to understand what purpose would be served by taking such a step. The proposal to alter item 14 of the agenda in order to postpone the election was put to the vote and rejected with the following result: 17 votes in favour 172 votes against The agenda was then put to the vote as distributed and approved with the following result: 198 votes in favour 4 votes against 6. Appointment of five members to check the minutes

The following five members were proposed to check the Congress minutes in accordance with art. 25, par. 2(d) of the Statutes: Germany, India, New Caledonia, Paraguay and the USA.

This proposal was put to the vote and approved with the following result: 189 votes in favour 7 votes against

7. Vote on approval of minutes

The proposal to approve the minutes of the 60th FIFA Congress held in Johannesburg, South Africa on 9 and 10 June 2010, in compliance with art. 25, par. 2(g) of the Statutes, was put to the vote and approved with the following result: 200 votes in favour 2 votes against

******* A video was shown entitled “The beautiful game and its development”.

******* 8. President’s address The President began his address by noting that in recent months, the world had witnessed the collapse of global economic and political systems and discovered how difficult the rebuilding process was. He then remarked that FIFA also faced a major challenge and that he was sure that the football family would overcome it together.


He acknowledged that FIFA and the President himself had received a number of blows, and that while mistakes had been made, FIFA would learn from them and that to a certain extent it could even be said to have been good to receive a warning so as to be able to focus on problems and solutions. In this, he said that he was prepared to face public condemnation in order to serve football. In view of the difficult period FIFA was going through, he underlined the need for a leader who was ready for the challenge of introducing the necessary reforms and taking radical decisions. Amid all the calls for greater transparency, he remarked that FIFA was already the most transparent of all sports organisations in terms of finance due to its implementation of International Financial Reporting Standards (IFRS) and that the game was also transparent, as evinced by the fair play on display at the 2011 UEFA Champions League final. In addition, the FIFA Task Force Football 2014 had been set up to analyse the state of the game and suggest possible improvements. With regard to the transparency of FIFA’s governance and decision-making, he highlighted the existing instruments, namely the Disciplinary Committee, which was responsible for matters on the pitch, and the Ethics Committee, which was responsible for matters off it. He went on to say that if these instruments proved to be insufficient, it would be necessary to either strengthen them or create something new. The President attributed football’s problems to the popularity of the World Cup and its economic, social, cultural and political value, with the award of the hosting rights for the 2018 and 2022 World Cups having unleashed a wave of accusations and criticism which remained ongoing. In the face of this criticism, he said it was necessary to act and proposed as the first of his reforms that the decision on the hosting rights for the World Cup be taken by the Congress on the basis of a shortlist drawn up by the Executive Committee. Secondly, to strengthen and professionalise the Ethics Committee as an independent body, he proposed that the members of said committee be elected by the Congress. Thirdly, he proposed setting up a corporate governance and compliance committee, a “committee of solutions” composed of members from inside FIFA, who would thoroughly investigate any criticism of or accusations against FIFA, gather evidence and propose solutions to the Executive Committee and the Congress. He said that, if necessary, an Extraordinary Congress could even be convened, as immediate action was required because the credibility and reputation of the entire football family was at stake. He said that he hoped that the Congress had been able to follow the course that he was charting in order to build a better future, emphasising that football belongs to all, but that it was FIFA’s responsibility to protect it through the creation of instruments such as those envisaged in his proposals. He also highlighted the importance of communication to ensure that the world received news of all of the good that FIFA does. As the captain of the FIFA ship, he said he felt confident that he could take it out of the troubled waters in which it currently found itself and into a safe harbour, where the football pyramid could be rebuilt on the foundation of the member associations, thus restoring FIFA’s credibility. In closing, he highlighted the importance of discipline, respect, fair play and promoting these elements in society at large.


9. Activity Report 9.1 Activity Report 2010

The Secretary General then presented to the Congress the Activity Report for 2010, which had been structured around the three pillars of FIFA’s mission to develop the game, touch the world and build a better future. He then reported on the highlights of 2010, namely the 2010 FIFA World Cup South Africa™, which had included the first-ever World Cup Kick-Off Concert in Soweto and International FIFA Fan Fests™ in six cities outside South Africa, FIFA’s legacy for Africa (Win in Africa with Africa, pitches, courses, medical centres, IT equipment, the 2010 FIFA World Cup Legacy Trust), the FIFA U-17 and U-20 Women’s World Cups in Trinidad and Tobago and Germany, respectively, the FIFA Club World Cup and the FIFA Ballon d’Or. With regard to development, he highlighted the Goal Programme, the new PERFORMANCE programme, the Win in … initiatives, grassroots, refereeing, medical issues, Football for Hope (Football for Hope Festival in Alexandra, four Football for Hope Centres opened so far), the transfer matching system and the early warning system. In terms of marketing, TV and communications, he mentioned the FIFA Trophy Tour, which had visited 84 countries, and the award-winning media facilities at the 2010 FIFA World Cup™.

******* A video was shown entitled “The first FIFA World Cup™ on African soil”.

******* The Activity Report 2010 was put to the vote and approved with the following result: 204 votes in favour 0 votes against 9.2 Next FIFA events The Secretary General presented a video on future events entitled “The future FIFA World Cups”. 9.3 2014 FIFA World Cup Brazil™ The Secretary General presented the key dates in the run-up to the tournament and said that FIFA was working very well with the LOC and had the full support of the new President of Brazil in addressing the main problems such as airports, accommodation, transport and stadiums. He informed the Congress that the exact dates of the World Cup final competition would be decided at the next Organising Committee for the FIFA World Cup™ meeting on 29 July 2011 together with the Host Cities for the FIFA Confederations Cup 2013. 10. Finance The chairman of the Finance Committee and Senior Vice-President Julio H. Grondona began by observing that at most congresses, whether of FIFA, the confederations or clubs, finance was the most important point on the agenda. However since FIFA’s finances were in very good health, they ceased to be an issue and people instead looked for other problems that were completely beside the point. He said that these problems normally always came from England, who upset the


FIFA family, mostly with lies and supported by journalism which concerned itself with lying rather than telling the truth. He also suggested that England appeared to be resentful of how FIFA had changed during the presidencies of Dr João Havelange and Joseph S. Blatter, which had led to all the continents being represented in the sport, and called on this country to accept that we are living in a new era. He concluded his intervention on this subject by asking England to please leave the FIFA family alone; to say what they wanted to say, but only by speaking the truth and without upsetting the FIFA family. He then reported that FIFA could look back with pride upon the 2007-2010 financial period, which had been very successful. Even as 2009 drew to a close, there had been signs that the four-year cycle would not only be a sporting success but also an economic one, but this had ultimately depended on the success of the 2010 FIFA World Cup™ in South Africa, which had silenced all the critical voices, with virtually sold-out stadiums, enabling FIFA to close the period with a result of USD 631 million and increase its reserves to USD 1,280 million. The result also meant that an extraordinary Financial Assistance Programme payment of USD 550,000 to each member association and USD 5 million to each confederation could be made, thus demonstrating that all members benefit from FIFA’s financial success. In closing, he said that FIFA’s remarkable success could be observed in two facts: firstly that FIFA’s investment in football had increased by a factor of 57 since the 1995-1998 cycle, from USD 14 million to 794 million in 2007-2010. Secondly, that FIFA had gone from having almost no reserves in 1998 to reserves of USD 1,280 million in 2010. Those figures spoke for themselves. 10.1 Consolidated financial statements for 2010 The Deputy Secretary General Markus Kattner informed the Congress that in 2010, FIFA had registered total revenue of USD 1,291 million and total expenses of USD 1,089 million, leading to a net annual result of USD 202 million. The main reasons for this good result had been the successful staging of the 2010 FIFA World Cup™ in South Africa, the commercial programme for FIFA’s TV and marketing rights, and the continuous monitoring and control of FIFA’s expenses. Looking at the revenue and expenses in more detail, he said that 91% of the revenue had resulted from FIFA events, including the 2010 FIFA World Cup™ and other FIFA events. The lion’s share of the event-related revenue had been generated through the commercialisation of TV rights of USD 718 million and marketing rights of USD 343 million. Other operating income had totalled USD 58 million and financial income USD 54 million. On the expenditure side, USD 430 million or 39% had been spent on FIFA events. This included the 2010 FIFA World Cup™ and also the other FIFA events that took place in 2010. 31% of the expenses, or USD 335 million, related to FIFA development programmes. The remainder of USD 324 million consisted of football governance expenses of USD 58 million, exploitation of rights of USD 31 million, financial expenses of USD 40 million and operating expenses including personnel, depreciation, IT and new media of USD 195 million. Overall, 70% of the total funds had been directly reinvested into football in the form of events and development projects. Finally, he presented FIFA’s balance sheet as at 31 December 2010, which showed total assets of USD 2,145 million, including current assets of USD 1,917 million and non-current assets of USD 228 million. On the other side, FIFA’s current liabilities amounted to USD 848 million and non-current liabilities to USD 17 million. This led to reserves as at 31 December 2010 of USD 1,280 million.


10.2 Consolidated financial statements for the 2007-2010 four-year period Markus Kattner broke the presentation of the consolidated financial statements for the 2007-2010 period down into four key messages. Firstly, he said that the 2007-2010 cycle had been a great financial success, with total revenue of USD 4,189 million and total expenses of USD 3,558 million, producing an overall result of USD 631 million. He showed that revenue, expenses and the result had been relatively evenly distributed over the four years with a slight increase towards the World Cup year. The even distribution was due to the application of IFRS. Overall, FIFA’s financial situation had been stable and solid throughout the entire cycle. He then informed the Congress that revenue had increased by 59% on the previous 2003-2006 cycle, from USD 2,634 million to USD 4,189 million, thus underlining the tremendous value of the FIFA World Cup™ and reflecting the increasing attractiveness of association football. It also showed that the new commercial strategy had been proven to be very successful. Thanks to the higher revenue available, FIFA had also been able to invest more in the development of football. Moving on to the details of both revenue and expenses for the 2007-2010 period, he reported that USD 3,890 million or 93% of the total revenue had come from FIFA’s events, in particular from the sales of television and marketing rights, USD 172 million from operating income such as brand licensing or our film archive, and USD 127 million from financial income, in particular interest on assets and foreign currency gains. Overall, 87% of the total revenue related to the 2010 FIFA World Cup™. This showed that financially, FIFA was strongly dependent on the World Cup, which took place only once every four years. This illustrated the necessity for FIFA to build sufficient reserves to decrease its dependency on the World Cup. He continued by saying that of the total expenses, 48% or USD 1,713 million had been related to FIFA’s events, including the World Cup and all other FIFA tournaments such as youth and women’s competitions, futsal and beach soccer. USD 794 million or 22% had been invested in football development, and 30% or USD 1,051 million had consisted of other items such as operating expenses, football governance, exploitation of rights and financial expenses. Overall, it was important to note that 70% of the total expenses were reinvested into football in the form of tournaments and development. Markus Kattner then presented the budget comparison for the 2007-2010 period. On the revenue side, there had been an overrun of USD 605 million, which had meant that the actual revenue had been USD 605 million higher than the revenue budget. This was due to the fact that the sale of TV and marketing rights had been more successful than expected. In addition, it also showed that FIFA had not been negatively affected by the financial crisis and that FIFA’s foreign currency hedging measures had proved to be effective. On the expenses side, there had been an overspend of USD 105 million which, however, had been compensated by the additional revenue earned. The overrun was due to a slight cost overrun for the 2010 FIFA World Cup™ of 3% and additional investments for football development. Overall, it could be concluded that costs for the 2007-2010 period were clearly under control. Secondly, Markus Kattner reported that FIFA had invested USD 794 million in the development of football, its highest ever. This consisted of:

• USD 209 million for the Financial Assistance Programme


• USD 144 million for an extraordinary financial assistance payment that was given to all member associations and confederations thanks to the financial success of the 2010 FIFA World Cup™

• USD 120 million for the Goal Programme • USD 60 million as a financial contribution to the six confederations • USD 71 million for the Win in Africa with Africa initiative • USD 53 million for other Win in … initiatives on a worldwide level • USD 137 million for other development projects, including the Refereeing Assistance

Programme, Football for Hope, Football for Health and additional projects such as courses Thirdly, he told the Congress that FIFA had strengthened its reserves to USD 1,280 million. Referring to the development of FIFA‘s reserves from 1997 to 2010, he said that starting with a very low, sometimes even negative level in the late 1990s, FIFA‘s reserves had continuously strengthened from 1999 onwards and reached a value of USD 1,280 million at the end of 2010. Putting this value in the context of FIFA’s overall financial situation, he compared the current reserves of USD 1,280 million with the approved expense budget of USD 3,600 million for the current 2011-2014 cycle. This showed that the current level of reserves represented 36% of FIFA’s four-year budget. This meant that one third of the expenses of a four-year cycle were covered by reserves. Overall, this could be considered a solid level of reserves, which on the other hand is absolutely necessary to protect FIFA‘s independence – in particular in times of crisis – and to allow FIFA to be prepared for unforeseen events. He also recalled that as decided by the FIFA Congress in 2010, the financial planning for the 2011-2014 cycle only foresaw a very modest further increase in the reserves, to the benefit of football development activities, which were to be further increased. Fourthly, he reported that transparency and compliance had been achieved through several measures. He said that extensive control mechanisms were in place to ensure transparency and compliance, based on FIFA’s regulations and standards, including the Statutes, the Code of Ethics, regulations concerning development programmes, the FIFA organisation regulations and IFRS. Internal control was exercised by the Congress, FIFA bodies such as the Executive and Finance Committees, the Internal Audit Committee and the internal control system in accordance with Swiss law, while external control was exercised by bodies such as the Ethics Committee, KPMG, who conducted regular audits, and the Swiss authorities, e.g. concerning tax or social security. In closing, Markus Kattner said that there were three key elements that made the 2007-2010 period a financial success:

• the successful staging of the 2010 FIFA World Cup™ • effective commercialisation of FIFA’s TV and marketing rights • a conservative financial policy and systematic cost control

10.3 Auditors’ report to the Congress Fredy Luthiger, Licensed Audit Expert and Partner KPMG, informed the Congress that KPMG had confirmed that it had audited the consolidated financial statements for the year ending 31 December 2010 comprising the balance sheet, income statement, cash flow statement, statement of changes in reserves, statement of comprehensive income and notes. KPMG had also confirmed without any qualification that the consolidated financial statements gave a true and fair view of the financial position, the results of operations and the cash flows of FIFA in accordance with IFRS and complied with Swiss law. KPMG had also checked that FIFA had an internal control system designed for the preparation of the consolidated financial statements, as required under art. 728 of the Swiss Code of Obligations. KPMG therefore recommended that the Congress approve the consolidated financial statements for 2010.


Furthermore, he told the Congress that KPMG had also been engaged by the Executive Committee to provide assurance on the compilation of the financial information for the four-year 2007-2010 period. KPMG had also confirmed that the consolidated financial information for the four-year 2007-2010 period had been properly compiled on the basis of the audited annual consolidated financial statements of FIFA for each of the four years ending 31 December 2007, 2008, 2009 and 2010. 10.4 Report by the chairman of the Internal Audit Committee The chairman of the Internal Audit Committee (IAC), Dr Franco Carraro, said that with the four-year 2007-2010 period having now drawn to a close, the Internal Audit Committee regarded FIFA’s financial situation as very solid and pleasing. The financial success of the last few years and the regular increase in FIFA’s reserves had resulted in FIFA becoming even more financially independent. In contrast to the previous four-year period of 2003-2006, FIFA had not needed to borrow any money at all during the period that had just ended. In the space of just eight years, FIFA had been able to increase its reserves from negative figures to more than USD 1.2 billion by following a successful commercial strategy, strict cost control measures and a far-sighted, disciplined budgeting policy. Although FIFA’s financial success was still almost fully dependent on the successful staging of the World Cup, the World Cup risk had now been partially covered and the financial risk had decreased thanks to this pleasing development. In addition, he noted that FIFA’s internal processes and controls had been constantly expanded and improved over recent years. In doing so, FIFA had done more than was legally required and controlled all financial, operative and compliance risks to the committee’s entire satisfaction. 10.5 Vote on approval of consolidated financial statements for 2010 and for the 2007-

2010 four-year period The consolidated financial statements for 2010 and the 2007-2010 four-year period were put to the vote and approved with the following result: 198 votes in favour 0 votes against 10.6 Detailed budget for 2012 Markus Kattner informed the Congress that the detailed budget for 2012 was an integral part of the overall budget for 2011-2014 approved by the 2010 Congress. He then presented the revenue budget for the year 2012 of USD 676 million, which consisted of:

• income from TV rights of USD 363 million • income from marketing rights of USD 296 million and • other revenue such as licensing of USD 17 million

The total investment budget for 2012 amounted to USD 666 million. This budget consisted of the following:

• USD 177 million for development • USD 162 million for the 2014 FIFA World Cup™, in particular for TV production and the

funding of the LOC and MATCH Services


• USD 100 million for other FIFA events • USD 24 million for the exploitation of rights • USD 60 million for football governance • USD 143 million for operational expenses and services, including the cost of personnel, IT,

communications, insurance and all the other service functions such as travel, translation, production and reception

He concluded by saying that the financial outlook for the 2011-2014 cycle was very positive, which would allow FIFA to intensify its comprehensive investment in the development of football. 10.7 Vote on approval of 2012 budget The detailed budget for 2012 was put to the vote and approved with the following result: 194 votes in favour 2 votes against 10.8 Appointment of the auditors for the 2011-2014 four-year period The proposal to appoint KPMG as the auditors for the 2011-2014 four-year period was put to the vote and approved with the following result: 199 votes in favour 2 votes against The President thanked Fredy Luthiger, who was standing down as the auditor in charge after many years of service to FIFA. 11. Strategic and sports-political matters 11.1 Update on decisions passed at 2010 Congress 11.1.1 Early warning system The General Secretary of the Japan Football Association (JFA), Kohzo Tashima, first of all pointed out that although there had been no incidents of match-fixing caused by irregular or illegal sports betting in Japanese football to date, there had sadly been reports of irregular or illegal sports betting manipulating games in some countries. While private betting was forbidden in Japan, online sports betting knew no borders and therefore all member associations were potentially at risk from the danger of match-fixing. After concluding that the implementation of measures to fight against dangers and the announcement of their application to players, referees and officials and public would have a preventive effect, the JFA decided to ask the FIFA subsidiary Early Warning System GmbH (EWS) to monitor J.League Division 1 matches during the 2011 season and to analyse all of the data collected. The JFA had already gained some vital experience in its work with EWS, all of which had been positive and extremely satisfying so far. He said that he believed that with the help of Early Warning System GmbH, the JFA would be able to fight match-fixing and all attempted match-fixing by being in a position to either prevent such practices or by at least being able to impose sanctions afterwards and that the JFA could only recommend that FIFA member associations also call upon this tool to protect the integrity of football.


In closing, he thanked the world football family for its warm and heartfelt support in the wake of the earthquake and tsunami, which had provided the Japanese people with great encouragement. He added that the disaster had been painful but that at the same time the Japanese people had felt the power of football and its ability to unite and move people. 11.1.2 Eligibility to play for club teams The chairman of the Players’ Status Committee and Vice-President Geoff Thompson informed the Congress that a measure was currently being assessed, mainly by FIFA and UEFA, with the aim of protecting young players and training clubs, the pool of players for national teams, as well as the competitiveness and uncertainty of competitions. This measure was intended to counter a number of negative trends that threatened the long-term interests of football, in particular the lack of investment in the training and education of players. In considering the proposals designed to help improve the situation, he said that FIFA had sought to merge the positive elements UEFA’s existing rules on “locally trained” players and the clarity and simplicity of the “6+5” concept into a solution that was workable under the applicable legal parameters. The basis of the idea was to introduce a “first-registered player rule” according to which clubs would need to include a minimum number of players in their squad who were either registered with the club itself or with another club in the same national association before the age of 18. The nationality of the player would not be relevant. In order to proceed with the project described, Geoff Thompson said that it would be necessary to build a statutory basis and that that art. 5 of the FIFA Statutes would need to be amended as would be discussed later under agenda item 12.1.1. Once this had been done, the way would be free to start a detailed dialogue with all stakeholders, particularly clubs, in order to discuss this and other possible measures to reach the desired objective. In closing, he said that he was confident that a consensus could be reached that would satisfy everyone and which could therefore be transposed into the FIFA regulations. 11.1.3 FIFA transfer matching system and protection of minors The OFC General Secretary Tai Nicholas began by saying that the transfer matching system had been created by the FIFA Congress in 2007 in order to increase integrity and transparency in the transfer market. In particular, TMS was designed to limit abuses of players’ rights and guarantee a standard of protection, especially with respect to minor players. Finally, TMS allowed member associations and FIFA to have better oversight and control over market information, in particular over financial flows. He then informed the Congress that on 1 October 2010, the new FIFA Regulations on the Status and Transfer of Players had come into force, making the use of TMS mandatory for all international transfers of professional male players in 11-a-side football. The regulations contained a new Annexe 3, which set out the obligations of associations and clubs when using TMS. In particular, associations and clubs were now required to provide detailed information supported by documentary evidence for all transfers. October 2010 had also seen the creation of an Integrity & Compliance Department within FIFA TMS. The objectives of this department were threefold: first, to ensure that all stakeholders in professional football play according to the same rules; second, to increase trust in the international transfer market; and third, to deter abuses of the system.


To achieve these objectives, the compliance team was monitoring activity in TMS and outside it. The team was also investigating cases of non-compliance that potentially required disciplinary action. Most importantly, the team was also actively educating associations and club participants to increase compliance levels and create a more transparent transfer market. The mandatory nature of the system meant that any football club wishing to conduct an international transfer of a professional player had to use the system. Consequently, all of FIFA’s member associations and approximately 4,600 clubs had been trained and were now actively using the system. One of the key objectives served by TMS was increased financial transparency. Clubs were therefore required to enter all transfer payment details in the system. When payments were made, clubs had to declare the payment and upload proof of that payment. To date, compliance levels had been disappointingly low with respect to this obligation with only 13.4% of possible payments recorded in TMS. The compliance team would therefore be focusing on this issue in the coming months to improve the level of financial information in TMS. TMS also served as a monitoring tool regarding transfers involving minors. Between April 2010 and March 2011, 1,450 applications had been submitted via TMS for the Players’ Status Sub-Committee’s approval based on art. 19 par. 2 of the Regulations on the Status and Transfer of Players and the related jurisprudence. Tai Nicholas continued by saying that FIFA’s member associations in particular were being brought closer together by TMS: not only physically at additional TMS workshops, but also virtually through their shared use of the system. It was this sustained interaction which would form the bedrock for the future integrity and transparency in the transfer market. Thanks to the ongoing interaction between FIFA and its member associations and their clubs, TMS had been able to professionalise its support services and identify the system’s strengths and weaknesses. With TMS fully operational, he said it was now time to look at developing a second version of the system to incorporate as many improvements as possible to provide all stakeholders with even better support. 11.1.4 In-depth reform of the FIFA’s players’ agents system Khaled Mortagy, a member of the working group on intermediaries, began by recalling that the 2009 Congress had decided to support an in-depth reform of the players’ agents system through a new approach based on the concept of intermediaries. A working group of the FIFA Committee for Club Football had been created to deal with such reform with the involvement of club representatives and FIFPro and had now finished its work and presented the final draft regulations to various FIFA standing committees. He then presented the following main principles of the proposed new regulations:

• Application of regulations to players and clubs that engage the services of intermediaries: the provisions contained in the draft are aimed at players and clubs that engage the services of an intermediary to negotiate an employment contract between a player and a club or conclude a transfer agreement between clubs. Additionally, associations will have to draw up their own regulations which incorporate the principles established in the draft. Finally, clubs and players will be prohibited from engaging the services of officials as intermediaries.

• Intermediaries have no link to FIFA: players and clubs will have to apply the required

level of due diligence.


• Registration system of intermediaries: for the sake of transparency, in order for an intermediary to be able to operate and/or conduct business in the territory of an association, each association will be required to implement a registration system for intermediaries who wish to carry out such activities on its territory. In this respect, players and clubs who involve intermediaries in negotiating an employment contract and/or a transfer agreement will be required to inform their respective association of the name, contact details and any other information required by the association in connection with such intermediaries.

• Written contract between intermediaries and clubs/players: the main points of the

legal relationship entered into between a player and/or club will have to be recorded in writing prior to the intermediary commencing his activities.

In this regard, the working group has drafted two standard representation contracts that may be used as general guidelines by players and clubs when drafting their own representation contracts. Such standard representation contracts incorporate and further develop the concepts and principles contained in the draft. In particular, they contain a declaration of competence from the intermediary, a fit and proper declaration, a declaration of disclosure, as well as an arbitration clause. These suggested provisions aim at assisting clubs and players in relation to their requested due diligence.

• Disclosure and publication of fees paid to intermediaries: in this regard and for the

sake of transparency, as well as with the aim of possibly reducing the fees paid to intermediaries, players and/or clubs will be required to disclose to their respective association the full details of any and all agreed remunerations or payments of whatever nature they have made or will make to an intermediary. In addition, associations will have to implement a publication system to make publicly available the total amount of all remunerations or payments actually made to intermediaries by their registered players and by each of their affiliated clubs.

• Payment restrictions on fees paid to intermediaries: in this respect, the draft

stipulates that the total amount of remuneration due to an intermediary who has been engaged to act on a player’s behalf shall not exceed 3% of the player’s basic gross income for the entire duration of the contract, including any signing-on fee, as stipulated in the respective employment contract negotiated.

On the other hand and in accordance with the same article, clubs which contract the services of an intermediary shall remunerate him by payment of a lump sum agreed in advance, which if agreed, may be made in instalments. In this regard and if the intermediary is engaged to act on a club’s behalf for negotiating a transfer agreement, the total amount of remuneration due to him shall not exceed USD 2 million or 3% of the eventual transfer fee paid in connection with the relevant transfer of the player, whichever is lower. Alternatively, and if the intermediary is engaged to act on a club’s behalf for negotiating an employment contract, the total amount of remuneration due to him shall not exceed USD 2 million or 3% of the player’s eventual basic gross income for the entire duration of the contract, whichever is lower.

Finally and with regard to payment restrictions on the fees paid to intermediaries, the draft clearly states that no fees are payable to an intermediary by players and/or clubs who engage his services if the involved player is a minor.

• Conflict of interest: with regard to conflict of interest, the draft stipulates that prior to engaging the services of an intermediary, players and/or clubs shall ensure that no


conflicts of interest exist or are likely to exist either for the players and/or clubs or for the intermediaries.

Nevertheless, it is stipulated that no conflict of interest would be deemed to exist if the intermediary discloses in writing any actual or potential conflict of interest he might have with one of the other parties involved in the matter and if he obtains the express written consent of the other parties involved prior to the start of the relevant negotiations. Finally, the regulations provide for certain requirements that must be met by players and clubs who wish to engage the services of the same intermediary within the scope of one and the same transaction.

He further reported that the draft had been presented to the Executive Committee, who had decided to further discuss the revision of FIFA’s players’ agents system based on the concept of intermediaries with all relevant involved parties, and to only bring it to the FIFA Congress for a formal decision in 2012. 11.2 Participation of clubs in the benefits of the 2010 FIFA World Cup South Africa™ The President of the Honduran Football Association, Rafael Callejas, recalled that in March 2008 the Executive Committee had agreed to set aside provisions of USD 40 million for the 2010 FIFA World Cup™ and USD 70 million for the 2014 FIFA World Cup™ for distribution via the member associations among the clubs of the players taking part in the final tournaments in order to recognise the part the clubs play in the success of the FIFA World Cup™ and to contribute to these clubs’ expenses. As a result, the 400 clubs that submitted the completed application form and were eligible to receive a share of the benefits had received USD 1,600 per player multiplied by the number of days the given player was at the final competition of the 2010 FIFA World Cup South Africa™. This included the two weeks prior to the opening match of the 2010 FIFA World Cup™, as well as the day following the last match of the player’s representative team. These clubs came from 55 different member associations from all six confederations, and while the top clubs such as Barcelona, Bayern Munich and Liverpool benefited the most from the project because they released the most players, smaller clubs from smaller associations also profited, such as Club Deportivo Olimpia of Honduras and Wellington Phoenix of New Zealand. In closing, he said FIFA could look forward to a repeat success of the project at the 2014 FIFA World Cup Brazil™. 11.3 Medical matters The chairman of the FIFA Medical Committee, Dr Michel D’Hooghe, presented a report on FIFA’s medical achievements over the past year under the “Medicine for Football” project, which sought to place the most modern medical advances at the service of millions of football players all over the world. He said that while FIFA’s football activities over the past year had been dominated by the successful World Cup in South Africa, FIFA had also carried out various medical activities in South Africa, including collaboration with 44 local hospitals and more than 600 medical interventions, a pre-competition medical assessment of all players, injury and disease reporting during the competition, out-of and in-competition doping control, medical care for teams and delegations and promotion of the “11+” warm-up programme and the “11 for Health”. He also noted that the number of injuries in FIFA World Cups™ had been decreasing since 2002 and had fallen below an average of two per match for the first time. This was essentially due to


the fact that the number of injuries relating to foul play had largely decreased. He added that the number of injuries was declining in all men’s competitions. He said that he was also proud to announce that all 512 doping controls in connection with the World Cup (256 in competition and 256 out of competition) had been negative and that the last positive test dated back to 1994. This had been the result of constructive teamwork between FIFA’s medical staff and the doctors of the qualified teams, who had signed a charter promising to collaborate with FIFA in the fight against doping prior to the competition. Dr Michel D’Hooghe then informed the Congress that FIFA had published the FIFA Football Emergency Medicine Manual, which included recommendations for minimum medical standards at stadiums to manage emergency situations during mass gatherings, and which had been distributed to all medical people involved in FIFA competitions, while also serving as an educational tool for future competitions and courses. Another important point of interest was the “11+” warm-up programme, which had been scientifically proven to be effective in reducing injuries, the teaching materials for which were available on www.fifa.com/medical. A significant number of countries were considering implementing the “11+”, with Spain, Costa Rica, Japan, Italy, Malaysia, Paraguay and Brazil having already done so. Prof. Jiri Dvorak, FIFA Chief Medical Officer and chairman of the FIFA Medical Assessment and Research Centre (F-MARC), then gave a presentation on the other aspect of FIFA’s work on medical matters, “Football for Health”, which sought to use the beautiful game to improve public health. He began by saying that one of F-MARC’s aims was to promote football as a health-enhancing leisure activity, improving social behaviour. To achieve this aim, the “11 for Health” initiative, which combined playing football with educational messages to preserve or improve the health of children and young adolescents and also promote the game, had been launched. To support this initiative, a campaign consisting of 11 simple messages to tackle the most prominent risk factors for health status had been developed to improve public health. After introducing a video of top players speaking in support of “11 for Health”, Prof. Jiri Dvorak reported on the launch of the programme in Mauritius, where it had been integrated into the school curriculum. He then presented another video of a ceremony for the 17,000 children who had graduated from the programme so far before introducing the President of the Mauritius Football Association, Dinnanathlall Persunoo, who thanked FIFA for choosing Mauritius, where there was a high rate of cardiovascular diseases, diabetes and hypertension among the population, and said that the programme had not only benefited youngsters but also the adults who had been trained as instructors. Prof. Jiri Dvorak concluded by informing the Congress that there were plans to roll the programme out in several other African countries and that work had also begun on promoting it in Mexico and Colombia in connection with the FIFA U-17 and U-20 World Cups. This was followed by a video message from Mexican Manchester United star Javier “Chicharito” Hernández. 11.4 FIFA Task Force Football 2014 The chairman of the FIFA Task Force Football 2014, Franz Beckenbauer, reported that that the task force had been created at the request of the President as a successor to the working group set up after the 1990 FIFA World Cup™ in Italy to propose improvements to the game in the


areas of the Laws of the Game, refereeing, competition regulations, women’s football, medical matters and fair play. Franz Beckenbauer then reported on the topics discussed at the first meeting of the task force on 10 May 2011, which included the professionalisation of referees by the 2014 FIFA World Cup™ and the establishment of a refereeing academy, “triple punishment”, extra time in youth competitions, the possibility of a fourth substitution in extra time at FIFA competitions, radio communication, offside, competition regulations, proposals to increase the number of female coaches, minimum standards for the medical support provided at international matches, additional assistant referees and goal-line technology. 11.5 Football for Hope The Secretary General began by highlighting Football for Hope’s achievements since its launch in 2005, which included support for 170 football-based programmes in 60 countries as well as the official social campaign of the 2010 FIFA World Cup South Africa™, 20 Centres for 2010, which was building 20 Football for Hope Centres for education, public health and football in disadvantaged communities across Africa. He added that FIFA’s social responsibility work was earning increased international recognition, winning the Peace and Sport Award 2010, the Global Sports Forum Trophy 2010 and the SportAccord “Spirit of Sport” Award. Finally, he said that the topic of environmental protection was becoming more important at FIFA competitions. This had begun in 2006 with Green Goal – the first-ever comprehensive environmental programme at a FIFA World Cup™ – and had continued in 2010, with the Host City Cape Town winning the bi-annual IOC Sport and Environment Award for its outstanding environmental programme at the FIFA World Cup™. Building on these experiences, FIFA was working hard together with the organising committees of the FIFA U-20 World Cup Colombia and the 2014 FIFA World Cup Brazil™ to take environmental protection at competitions one step further. He then presented a video on corporate social responsibility and Football for Hope entitled “The power of football to build a better future”. 11.6 “Zero Tolerance” The President explained the concrete measures that would be taken under FIFA’s zero-tolerance approach to governing football. Firstly, he informed the Congress that FIFA had signed a contract with INTERPOL, to which most FIFA member countries belonged, to combat the problem of match-fixing linked to illegal betting, which FIFA could not tackle alone as it was a matter of criminal law, and therefore needed the support of the government and the police. Secondly, he expanded on the proposed reforms to strengthen the Ethics Committee and make it more independent and professional. In addition to the election of the members of the Ethics Committee by the Congress, he proposed that the FIFA Secretary General should cease to play a key role as he was director of the FIFA administration and also part of the Executive Committee, which could lead to a conflict of interest. Instead, the President proposed dividing the Ethics Committee into two organs, one to investigate ex officio whether there was a case to answer and another to try the case and decide on it.


Thirdly, he referred to the establishment of a corporate governance and compliance committee, a “committee of solutions”, to assess whether the proposed changes to the control system were sufficient or needed to go further. He reiterated the committee members would come from inside FIFA but that the committee would be at liberty to seek assistance from external experts. As a result of the solutions put forward by this new committee, he repeated that an Extraordinary Congress could be convened to discuss these matters. In closing, he underlined that the principle of zero tolerance was for all members of the FIFA family and that he was determined to ensure that it was applied. After submitting a request to speak, the President of the Danish Football Association, Allan Hansen, said that it was beyond doubt that FIFA had been harmed over the last weeks and months and that it was time to draw a line in the sand. On behalf of Sweden, Norway, Finland, Iceland, the Faroe Islands and Denmark, he expressed support for the proposals made by the FIFA President that morning, and in particular, requested that the reforms included a strong independent inquiry with the power to invest the accusations of bribery and corruption. This would ensure that the persons accused were investigated in a proper and transparent manner and were given fair and professional treatment. In closing, he said that the member associations in question trusted the President to institute the necessary reforms and were ready to take part in the work and fight to maintain cohesion and solidarity within the football family. 12. Vote on proposals for amendments to the FIFA Statutes, Regulations Governing the

Application of the Statutes and Standing Orders of the Congress Before introducing the proposed amendments, the chairman of the Legal Committee and Vice-President Ángel María Villar Llona said that in difficult moments one has to reaffirm one’s commitment and that he felt proud to belong to FIFA as a representative of Spanish football. He added that despite the criticism FIFA had received from outsiders, the Congress had shown that it was able to rise to the challenge. He acknowledged that it was important to listen to voices from outside the organisation, but not when they behaved disrespectfully, as certain journalists and politicians had by making false accusations. He stressed that it was important for FIFA not to be guided by these persons and instead to resolve any problems within the football family and transmit to the outside world all the good that FIFA does through its events and the assistance it provides to people who most need it. 12.1 FIFA Statutes 12.1.1 Players (art. 5 of the FIFA Statutes) The amendment as described in the Congress agenda was put to the vote and approved with the following result: 200 votes in favour 2 votes against 12.1.2 Suspension (art. 14 par. 1 of the FIFA Statutes) The amendment as described in the Congress agenda was put to the vote and approved with the following result: 190 votes in favour 13 votes against


12.1.3 Internal Audit Committee (art. 34 par. 1 (b) and 2 and art. 36 of the FIFA Statutes)

The amendment as described in the Congress agenda was put to the vote and approved with the following result: 200 votes in favour 1 vote against 12.1.4 International matches (art. 73, 78-80 of the FIFA Statutes) Ángel María Villar Llona informed the Congress that the Executive Committee had approved the following alteration to the amendment to art. 73 par. 2 proposed in the Congress agenda:

“FIFA may demand a levy on international matches involving club teams and scratch teams in compliance with the provisions in the Regulations Governing International Matches.”

With this alteration, the amendment as described in the Congress agenda was put to the vote and approved with the following result: 186 votes in favour 13 votes against 12.2 Regulations Governing the Application of the Statutes 12.2.1 International matches (deletion of art. 3-12 of the Regulations Governing the

Application of the Statutes) The amendment as described in the Congress agenda was put to the vote and approved with the following result: 194 votes in favour 2 votes against 12.2.2 Proposal submitted by the United Arab Emirates Football Association In his defence of the proposed amendment to art. 17 of the Regulations Governing the Application of the Statutes described in the Congress agenda, the President of the United Arab Emirates Football Association, Mohamed Al-Rumaithi, said that many expatriate male and female footballers played for clubs in countries such as the UAE and that the amendment would provide an effective platform for social integration, in that these players would really feel at home from the day they wore the colours of their new country. He went on to say that the proposal would assist all member associations who were looking to take part in big competitions such as the World Cup, especially countries with a small population, by providing wider opportunities to represent the country where they lived or intended to live in the future. Finally, he said that the proposal would promote the development of football on a local, regional and international level and make it more competitive from all points of view. Ángel María Villar Llona opposed the proposal on behalf of the Executive Committee by reminding the Congress that prior to the 2008 Congress, two years’ continuous residence in a particular country from any age had been sufficient to acquire a new footballing nationality. This requirement had then been strengthened at the 2008 Congress, which had amended it from two years’ continuous residence to five years’ continuous residence from the age of 18. Explaining that the Congress had passed these amendments in order to protect the national identity of


association teams and also to limit the transfer of minors, he pointed out that the UAE’s proposal ran counter to this policy, for which reason the Executive Committee was opposed to it. The amendment was put to the vote and rejected with the following result: 42 votes in favour 153 votes against 13. Discussion of proposals submitted by the members and the Executive Committee

within the periods stipulated in art. 25 par. 1 of the Statutes No proposals were submitted under this item. 14. Election of the President Waiving his right to address the Congress, Joseph S. Blatter withdrew from the Congress hall prior to the commencement of the voting procedure. Taking the chair, Senior Vice-President Julio H. Grondona stated that Joseph S. Blatter had submitted his candidature for the 2011-2015 term of office, which had met the formal requirements and had been received by the statutory deadline. Julio H. Grondona further stated that the provisions governing the election of the President were, in particular, art. 27 of the FIFA Statutes and art. 10 of the Standing Orders of the Congress and that the voting would be by secret ballot with ballot papers. He then requested the Secretary General to proceed with the election. The delegates entitled to vote then cast their votes in English alphabetical order in the two booths provided for this purpose in accordance with the instructions given by the Secretary General. The count was then taken and the official record of the vote was announced by Julio H. Grondona as follows: 206 members were eligible to vote 203 ballot papers were distributed 186 votes were cast for Joseph S. Blatter Joseph S. Blatter was therefore re-elected as FIFA President The President thanked the Congress with all his heart for their confidence and expressed his joy that the FIFA family had succeeded in restoring FIFA’s solidarity and unity, thus bringing the FIFA ship back into clear and transparent waters. He added that the FIFA pyramid remained strong because it was built on the solid foundation of football. At the same time, he said that it was a new challenge for him to be re-elected but that he accepted it because he was confident that together, the football family could succeed in all that it had set out to do over the next four years. Sharing the thoughts of Estonia, Latvia and Lithuania, the President of the Estonian Football Association, Aivar Pohlak, said that the most important thing at the Congress aside from the election of the President had been to show that football was not broken, that FIFA was not broken, and that the main priority was still football as a game, and that this had been done. 15. Installation of the Vice-Presidents and members of the Executive Committee

On the proposal of the Executive Committee, the Congress bestowed the title of Honorary Vice-President on outgoing Executive Committee member Dr Chung Mong Joon for his 17 years of service to FIFA. The other outgoing members of the Executive Committee, Geoff Thompson, Junji Ogura and Franz Beckenbauer were presented with a pennant and a trophy in recognition of their services.


This was followed by the installation of the new Vice-Presidents, Prince Ali Bin Al Hussein (Jordan), David Chung (Papua New Guinea) and Jim Boyce (Northern Ireland), and the new Executive Committee members Vernon Manilal Fernando (Sri Lanka), Mohamed Raouraoua (Algeria) and Dr Theo Zwanziger (Germany), who were presented with Executive Committee pins and identity cards. 16. Next Congresses The FIFA Secretary General informed the members that the 62nd FIFA Congress would take place in Budapest, Hungary on 24 and 25 May 2012 and that the 63rd FIFA Congress would take place in Mauritius on 30 and 31 May 2013. 17. President’s closing remarks The President put the following proposals made in his earlier speeches to the vote in order to receive the formal sanction of the Congress:

• to give the decision on the host association of the FIFA World Cup™ to the Congress based on a shortlist drawn up by the Executive Committee

• to strengthen the Ethics Committee by dividing it into an investigative organ and a judicial organ

• to establish a FIFA Committee for Corporate Governance and Compliance (“committee of solutions”)

These proposals were put to the vote and approved with the following result: 176 votes in favour 4 votes against In addition, the President asked the Congress whether it would agree to provision being made for a coopted female member on the Executive Committee in the future, which the Congress greeted with acclaim. In bringing the Congress to a close, the President said that he was happy that solutions had been found but that these had to be followed by actions to ensure greater transparency and protect the game. Finally, he thanked the FIFA administration for organising the Congress and the Executive Committee for its support. For the Game. For the World.

*********************************************************** FÉDÉRATION INTERNATIONALE DE FOOTBALL ASSOCIATION

Jérôme Valcke

Secretary General

Zurich, July 2011/ebr


Carrying out the task assigned to them in point 6, these minutes have been checked by the member associations of Germany, India, New Caledonia, Paraguay and the USA.

11.08.04 Congress2011 MinutesEN...11.2 Participation of clubs in the benefits of the 2010 FIFA World Cup South Africa 11.3 Medical matters 11.4 FIFA Task Force Football 2014 11.5 Football

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