Go Back   HFBoards > General Hockey Discussion > The Business of Hockey
Mobile Hockey's Future Become a Sponsor Site Rules Support Forum vBookie

The Business of Hockey Discuss the financial and business aspects of the NHL. Topics may include the CBA, work stoppages, broadcast contracts, franchise sales, NHL revenues, relocation and expansion.

The Economist: Football clubs can easily be used as stealing machines

Thread Tools
07-19-2013, 12:44 PM
Registered User
Ziostilon's Avatar
Join Date: Feb 2009
Posts: 3,751
vCash: 500
The Economist: Football clubs can easily be used as stealing machines

A villain’s guide to football
Welcome to the beautiful game

A NEW football season approaches, and with it new players, overpriced replica kits and unsavoury club owners. If you are one of them, most observers will wrongly assume that you are laundering only your reputation, and that you are willing to lose millions on a philanthropic sporting folly to do so. That is too kind. Your new asset will not just help you wash your dirty money. It will make more of it too.

It is a good time to enter the football racket. Banks are less generous and sentimental about loans. Tax officials are less lenient, too, as Rangers, a big Glasgow club, discovered: it was forced into liquidation by tax arrears, afterwards being reconstituted under new ownership. But hard times mean clubs are desperate and going cheap. Set up a holding company (or a nest of them) in a discreet jurisdiction, as many owners do, and you have a money-laundering and embezzlement machine at your disposal. The authorities are unlikely to bother you (see article).

Start with ticket revenues. Exaggerating the attendance at matches lets you run some of the dirty takings from your previous career through the turnstiles, turning them into legitimate income (this particular ruse works best if you buy a middling club, where games are not routinely sold out). Conversely, if you need some petty cash you can siphon off the gate receipts—a tactic that some of Brazil’s football kingpins, the cartolas (“top hats”), are rumoured to have employed in the past.

Article from Economist

How prevalent do you think this money laundering type business is in North American sports

Last edited by Fugu: 07-19-2013 at 12:49 PM. Reason: copyright-- can't post entire articles
Ziostilon is offline   Reply With Quote
07-19-2013, 01:02 PM
hisgirlfriday's Avatar
Join Date: Jun 2013
Posts: 17,067
vCash: 500
The first thing I thought of was the Brooklyn Nets.

But I doubt this type of laundering is that common in NA sports. I mean I think a lot of owners use sports team "losses" to reduce taxes on themselves overall but not quite the same thing as laundering.

hisgirlfriday is offline   Reply With Quote
07-19-2013, 01:12 PM
Zobitembois's Avatar
Join Date: Jan 2011
Country: France
Posts: 456
vCash: 500
This journalist should come to Italy and write an article about the Calcio.....

Zobitembois is offline   Reply With Quote
07-19-2013, 02:24 PM
trust in linden CREW
Jyrki's Avatar
Join Date: May 2011
Location: 新香
Country: Canada
Posts: 11,781
vCash: 500
NA? I don't think it's that common, there's a decent degree of accountability from the major leagues and most owners have a decent business empire behind them.

...at least that's what I'd like to think.

Jyrki is offline   Reply With Quote
07-19-2013, 03:01 PM
voted best
Brodie's Avatar
Join Date: Mar 2009
Location: Michigan
Country: United Kingdom
Posts: 16,490
vCash: 500
the way leagues are operated here make these kind of things nearly impossible, aiui

Brodie is offline   Reply With Quote

Forum Jump


Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

All times are GMT -5. The time now is 01:14 PM.

monitoring_string = "e4251c93e2ba248d29da988d93bf5144"

vBulletin Copyright ©2000 - 2017, Jelsoft Enterprises Ltd.
HFBoards.com is a property of CraveOnline Media, LLC, an Evolve Media, LLC company. @2017 All Rights Reserved.