The main change that the decree provided in relation to sport is related to article 19 bis of the Sports Law 20.655The new regulations allow sports entities to assume the legal figure of SAD.
In this way, civil associations may form part of commercial companies, transform, or merge with the unanimous vote of their partners.
He Government estimates that they could enter between US$2.5 billion and US$3 billion in investments. He claims that there are 11 companies determined to land in the Argentina with fresh bills. For example, Milei mentioned the Chelsea of England as one of them. Could it be?
The fine print of the Government’s regulation on SADs
In the new decree, they defined that the “associated with civil associations” will be “those who participate in the extraordinary meeting of the association that considers the decision to transform the entity into a public limited company or resolves to be a member of public limited companies.”
Furthermore, in the second article they specified that, even though the statutes or internal codes of the sports associations, federations and confederations have not yet been adapted, they may not “prevent, hinder, deprive or undermine any right of a sports organization, including its right to affiliation to a confederation, federation, association, league or union, based on its legal form, original or derived.”
In the same sense, he clarified that all clubs and associations “They will have the right to maintain their participation in any competition in which they participated under their previous legal structure and under the same conditions as they were prior to the modification.”
The AFA remains against the entry of SADs into Argentine football
Currently, the governing organizations of sport in our country – such as the Argentine Football Association (AFA)– prohibit membership and participation in tournaments of a club that is a SADIn other words, for a club to be admitted into the AFA must be legally organized as a civil association.
Currently, the Statute of the AFAin its article 9 on admission, suspension and expulsion, provides that clubs to be incorporated as guests by said entity must have “the character of non-profit civil associations”This was last voted on at the AFA’s Ordinary General Assembly, which took place on November 23 at the Lionel Andrés Messi complex in Ezeiza.
“Each of you made a public demonstration against the SADs and I want to congratulate you. The clubs need to fulfil the function they fulfil as the civil associations that they are. I am convinced that this is their essence.”he noted at the time Claudio “Chiqui” Tapiapresident of the AFA.
Pablo Tovigginotreasurer of the AFA and right hand of Wallassured that “The AFA is prepared to debate with its clubs and defend the current format.”
Weeks ago, the Executive Committee of the Argentine Football Association issued a statement clarifying that they are opposed to forcing any private entity (such as civil associations) to associate with entities with a different legal structure, something that contradicts the statutes and the will of the member.
The injunction against SADs ratified by the Justice
There are currently several precautionary measures requested against the Decree 70/23but so far only one was awarded by the Justice and ratified by Chamber 1 of the Federal Chamber of San Martin. It is the one that presented the Salto Football League.
This Federal Chamber considered that the aforementioned The DNU “alters the status of a group with a social impact such as sports entities, as it prevents them from developing their associative life”.
The interpretation of the ruling is disputed. Government states that the effects of the injunction apply only to that league. But the AFA He seizes on the ruling and maintains that it is a plain and simple suspension for the entire country.
That is, they are convinced that if the government regulates the DNU and establishes the SADthey will not be able to force the AFA nor any club to incorporate the Public limited companies to its statutes while the injunction is in force.
The Argentine club that is in favor of SADs
Positions on the SAD are dissimilar. The clubs of the different categories of the Argentine football Last November they rejected the incorporation of public limited companies.
The only club of First Division who did not participate in that meeting was Workshops in Cordobathe only club in Argentine football that welcomed the victory of Milei in the runoff. The “T” is led by its president Andres Fassi as a company and managed by Mexican capital.
The other clubs of the Professional Football League that act as a “covert SAD” are Defense and Justice and Riestra Sports.
The ideal example of SAD
In the world, Manchester City It is the most representative case of a SAD which did work. The English club was bought in 2008 by Abu Dhabi United Groupthen chaired by Mansour bin Zayed Al Nahyan.
In 16 years, at a sporting level, he won 7 of the last 10 editions of the Premier League and the long-awaited Champions Leaguein 2022/2023. To do so, it spent more than $2.5 billion.
Currently, the 20 clubs in the Premier Leaguethe top flight of English football, are owned by private capital. Most of them USAalthough there are also consortiums, sheikhs and magnates of Middle Eastand even of China.
However, the biggest and most successful club in the world, the real Madrid of Spainis not a sports corporation. On the contrary, it is a non-profit civil society represented by a president elected by its partners. With this format, it won 6 Champions League in the last 10 years.
The SADs that were not successful
However, the SAD They also have their negative side. Argentinawere configured as managements. In Racing It started well, with a championship after 35 years, and ended badly, with the transfer of the debt of “White and Blue Limited Company” to the club and Fernando De Tomaso in bankruptcy. Interestingly, it was Cuneo Libarona the one who requested the execution of the judgment for unpaid fees.
Remember the Badajoz of Spainwith Marcelo Tinelli at the head, it was a big fiasco. The driver arrived in 1998 with about twenty Argentine players and sold their rights in 2001with the team in the Second Division. Deportivo Mandiyú, Argentinos Juniors and Quilmes They were also unsuccessful in the Argentina under privatization.
In Europe There are also negative cases such as Troyesmanaged by the City Groupcame down from the Ligue 1 to the Third Division. A popular traditional club like Bordeauxwho was champion in 2008 in Francewent bankrupt due to mismanagement. Currently, Juventusof the family Agnelliis just getting its finances back on track.
Source: Ambito
I am Pierce Boyd, a driven and ambitious professional working in the news industry. I have been writing for 24 Hours Worlds for over five years, specializing in sports section coverage. During my tenure at the publication, I have built an impressive portfolio of articles that has earned me a reputation as an experienced journalist and content creator.
