Premier League clubs raided during fraud investigation
LONDON — Tax investigators launched a crackdown on suspected fraud in soccer in England and France Wednesday with arrests and raids on teams after 180 officers were deployed in a far-reaching investigation.
Premier League leader Chelsea said investigators arrived at Stamford Bridge and “requested certain information which the club will provide.” Officials from Britain’s tax agency were pictured during early morning swoops on two other clubs — Newcastle and West Ham — to seize potential evidence.
Premier League club West Ham said it was “co-operating fully with Her Majesty’s Revenue and Customs to assist their inquiries” at its East London stadium. Newcastle, which secured promotion back to the Premier League Monday, was silent on the raids at its northeast England base.
“This criminal investigation sends a clear message that, whoever you are, if you commit tax fraud you can expect to face the consequences,” HMRC said in a statement.
The clubs or individuals involved were not named, but the agency told legislators in December that 43 players and 12 soccer clubs in the British leagues, alongside eight agents, were being investigated. The French branch of the investigation only emerged after Wednesday’s raids.
“HMRC has arrested several men working within the professional football industry for a suspected fivemillion-pound ($6 million) Income Tax and National Insurance fraud,” the agency said. “Investigators have searched a number of premises in the northeast and southeast of England and arrested the men and also seized business records, financial records, computers and mobile phones.
“The French authorities are assisting the U.K. investigation, have made arrests and several locations have been searched in France.”
French prosecutors declined to comment.
Specifics of the case were also not revealed in England. In December, HMRC head of enforcement and compliance Jennie Granger told a British parliamentary committee it was investigating the issue of image rights.
Earnings from image rights are treated as a separate income stream from cash taxed at domestic rates for playing for a team. Players can pay different tax rates on image rights earnings from commercial deals. HMRC has questioned clubs and players in the past when a player lacking a public profile claims significant earnings are from image rights.