With the opening 2022 World Cup matches underway in Qatar, Grupo Televisa S.A.B. recently agreed to a $95 million settlement with shareholders, resolving bribery allegations of FIFA officials.
On November 23, 2022, the Mexican multi-media company filed a Form 6-K with the U.S Securities and Exchange Commission announcing the resolution, which noted that $21.5 million will be paid from the company itself, and the remaining balance paid from various D&O insurance policies.
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Shareholders of the company’s American Depository Receipts alleged Grupo Televisa intentionally carried out and concealed a bribery scheme of soccer officials in return for the broadcasting rights to four future World Cup tournaments. While Televisa has a long history of broadcasting the World Cup which has helped it meet financial targets, unbeknownst to investors, it was bribery that ultimately landed the media rights to this “crown jewel” of sporting events, according to the complaint. The wide-ranging FIFA corruption probe came to light in 2015 and has led to U.S. indictments of at least two dozen individuals and entities from 20 different countries.
Source: Allegations of Bribery to FIFA Officials Results in $95 Million Settlement
