World Football

FIFA ordered to pay costs over ISL collapse

16:16 BST, Wed 2 Jul 2008
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FIFA President Sepp Blatter (L) gestures before the Euro 2008 semi-final soccer match between Turkey and Germany at St Jakob Park stadium in Basel, June 25, 2008.     REUTERS/Alex Grimm (SWITZERLAND)  MOBILE OUT. EDITORIAL USE ONLY

By Mark Ledsom

BERNE, Switzerland, July 2 (Reuters) - A Swiss criminal court has ordered world soccer's governing body FIFA to pay 117,000 Swiss Francs ($114,500) in costs following a trial into the spectacular collapse in 2001 of its marketing partners ISL.

The investigation into the failure of ISL and its parent company ISMM was launched following an initial complaint by FIFA although the governing body later withdrew from the case, saying it wished to pursue the matter through the civil courts.

Prosecutors in Zug, where ISL and ISMM were based, later brought charges against six former ISMM executives, three of whom were found partially guilty on Wednesday.

Former ISMM general director Jean-Marie Weber was found guilty of embezzlement in relation to a secret bank account used by the company to win lucrative television and sponsorship deals, and fined SFr 84,000.

Board members Hans-Juerg Schmid and Hans-Peter Weber were found guilty of obtaining documents by false pretenses and sentenced to fines of SFr 30,000 and SFr 12,000 respectively.

The court dismissed a number of more serious charges including fraud and awarded compensation payments to all three men greater than the fines they received.

The other three defendants were found not guilty on all charges and also received compensation.

The state prosecutor had called for prison sentences for all six men ranging from three to four-and-a-half years.

Lawyers for the defendants argued during the trial that FIFA had been aware of the company's financial difficulties and had accelerated its collapse by breaking off agreements with the marketing firm.

In a statement issued later on Wednesday FIFA said it had not yet received the reasons for the decision and would not be making any further statement or comment.

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