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Olympic Scandal: Baku Alleged in Deal to Fix Boxing Medals

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  • Olympic Scandal: Baku Alleged in Deal to Fix Boxing Medals

    Olympic Scandal: Baku Alleged in Deal to Fix Boxing Medals

    09.23.2011 13:06 epress.am

    BBC Newsnight has uncovered evidence of secret payments of millions of
    dollars from Azerbaijan to international boxing organization World
    Series Boxing (WSB).

    Whistleblowers say that WSB's chief claimed the money was in return
    for a guarantee that Azerbaijani fighters would win two boxing gold
    medals at the London 2012 Olympics.

    The boxing organizer at the Olympics, AIBA, admits an Azeri national
    paid $9m to one of their competitions.

    But they deny any deal to fix medals.

    Lawyers for the International Amateur Boxing Association (AIBA) told
    the BBC that any such allegation was `preposterous and utterly
    untrue'.

    That view was backed by AIBA President Dr. Ching-Kuo Wu, who told
    Newsnight that the claims were `totally untrue and ludicrous', adding
    that `WSB is conducted in a totally transparent way'.

    However, he said that AIBA had a zero tolerance policy on corruption
    and that he would conduct an immediate investigation into the
    allegations.

    The AIBA is the international governing body for the sport of boxing
    recognized by the International Olympic Committee (IOC). World Series
    Boxing, a franchised league of professional boxing, is one of its
    initiatives.

    Whistleblowers from inside boxing approached Newsnight with
    allegations about the Chief Operating Officer of the AIBA's World
    Series Boxing (WSB), Ivan Khodabakhsh.

    WSB had run into financial difficulties in the US and was in need of funding.

    The insiders said Khodabakhsh told them that a secret deal had been
    done to secure funding from Azerbaijan in return for manipulation of
    the Olympic boxing tournament to guarantee gold medals for Azerbaijani
    fighters.

    One insider told Newsnight: `Ivan boasted to a few of us that there
    was no need to worry about World Series Boxing having the coin to pay
    its bills. As long as the Azeris got their medals, WSB would have the
    cash.'

    Another said that Khodabakhsh came in and said: `We are safe now -
    Azerbaijan came in - we have to give them medals for that.'

    `He was talking about gold medals in London in return for millions of
    dollars of secret payments,' the insider added. `Medals are being sold
    so blatantly it's amazing.'

    But Khodabakhsh told Newsnight that claims that there was any deal
    with Azerbaijan were `an absolute lie'.

    `I deny that I have offered anyone two gold medals or have any
    understanding that anybody else has offered two gold medals to
    Azerbaijan,' he added.

    AIBA has previously claimed that the money for WSB America came from a
    private Swiss company, but documents obtained by Newsnight show
    communications between Khodabakhsh, AIBA executive director Ho Kim and
    Azerbaijan's Minister for Emergency Situations Kamaladdin Heydarov
    about an investment agreement for a $10m loan.

    These include an email from Khodabakhsh to the ministry in Azerbaijan
    with the following request: `Please transfer the investment money
    soonest possible to the WSB America account.'

    Newsnight interviewed Khodabakhsh earlier this month in Switzerland,
    where WSB have offices, and asked him about the source of the money.

    `The money for WSB America came from an investment company here based
    in Switzerland,' he said.

    However, lawyers for AIBA and WSB, have now confirmed that although
    the money was paid through a Swiss company it actually came from
    Azerbaijan. But they deny that it was from the government there.

    They say that the government minister, Heydarov, introduced a private
    Azerbaijani investor to WSB and that the minister and his assistant
    acted as the interface between the two since the investor did not
    speak good English.

    Newsnight tried to contact Heydarov via his office, but has received
    no response.

    To date the anonymous investor has contributed $9m to WSB America.

    Sporting events promoter Barry Hearn was asked to look at the
    economics of WSB when it was first mooted in 2009 and came to the
    conclusion that it could not make money.

    He told Newsnight he was surprised that any investor would think that
    it offered the opportunity for high returns:

    `If an investor comes into this scheme with $10m I can only think he's
    arrived from another planet'.

    There have been repeated allegations of corruption in Olympic boxing
    competitions.

    The legendary boxing commentator Jim Neilly told Newsnight `There have
    been enough incidences down the years to suggest there has been
    collusion'.

    Speaking to Newsnight, AIBA President Dr. Wu said his organization had
    spent the last four years `cleaning the house of boxing' and that any
    corruption or manipulation within the sport was not tolerated.

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