South American champions Botafogo, owned by American businessman John Textor, have escalated a financial dispute with Major League Soccer club Atlanta United to the Court of Arbitration for Sport (CAS). The Brazilian club is contesting FIFA’s order to pay a $21 million transfer fee for Argentina attacker Thiago Almada, a 2022 World Cup winner. The hearing took place on Wednesday, though no verdict deadline has been set. FIFA’s ruling revealed that Botafogo failed to make the first two installment payments of $3 million each in July and September 2023, leading to default notices from MLS. The Brazilian club had requested additional time to resolve the issue, but FIFA imposed a $150,000 fine and $25,000 in legal costs, citing Botafogo’s history of previous sanctions as an aggravating factor. FIFA also set a 45-day deadline for Botafogo to settle its debts or face a ban on registering new players. Almada, who played for Argentina in the 2022 World Cup and now represents Atletico Madrid, was transferred to Botafogo in June 2023 in a record-breaking MLS deal. After helping Botafogo win the Copa Libertadores, Almada was loaned to Lyon, another club owned by Textor, in January 2024. Lyon’s financial instability nearly led to their demotion from Ligue 1, but they secured a Europa League spot, indirectly affecting Crystal Palace’s UEFA competition status due to ownership integrity rules. Palace’s appeal to CAS to overturn their demotion to the Conference League was unsuccessful.
Brazilian club Botafogo in court for $21M transfer fee dispute with Atlanta United and FIFA
