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Contradictions surround $10 million Fifa payout

A letter has surfaced that appears to directly contradict a statement by Fifa.

FILE: Fifa's headquarters in Zurich. Picture: AFP.

JOHANNESBURG - A letter has now surfaced that appears to directly contradict a statement by Fifa that general secretary Jerome Valcke had any role to play in the initiation, approval and implementation of a project in the Caribbean.

The project received a $10 million cash injection approved by the South African government directly relating to hosting of the 2010 World Cup.

The Press Association in the UK has circulated the letter addressed to Valcke from then Safa president Molefi Oliphant dated 4 March 2008.

It appears to confirm that $10 million would be transferred directly into the account to be administered and implemented directly by the president of Concacaf Jack Warner.

FIFA: $10M PAYMENT APPROVED BY SA GOVT

Earlier on Tuesday the football governing body admitted that the $10 million transfer was approved by the South African government to support the African Diaspora in Caribbean countries as part of the World Cup legacy.

The South African government has also dismissed reports that the money was used as a bribe to secure the rights to hold the 2010 Fifa World Cup.

The Fifa statement says that in 2007, as part of the 2010 Fifa World Cup, the South African government approved a US$10 million project to support the African diaspora in Caribbean countries as part of the World Cup legacy. . "At the request of the South African government, and in agreement with Safa, Fifa was asked to process the project's funding by withholding US$10 million from the local organising committee's (LOC) operational budget and using that to finance the Diaspora Legacy Programme.

"Safa instructed Fifa that the Diaspora Legacy Programme should be administered and implemented directly by the president of CONCACAF, who at that time was deputy chairman of the finance committee and who should act as the fiduciary of the Diaspora Legacy Programme Fund of US$10 million."

According to Fifa, the payments totalling US$10 million were authorised by the then chairman of the finance committee and executed in accordance with the organisation regulations of Fifa.

"Fifa did not incur any costs as a result of South Africa's request because the funds belonged to the LOC. Both the LOC and Safa adhered to the necessary formalities for the budgetary amendment.

The letter addressed to Jerome Valcke from then Safa president Molefi Oliphant dated 4 March 2008.