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GFA wins substantive CAS case against Tema Youth SC

9 months ago
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The Ghana Football Association (GFA) has won the Final Arbitral Award against Tema Youth SC in the substantive case at the Court of Arbitration for Sport (CAS) concerning the transfer of player Joseph Paintsil by Tema Youth SC to KRC Genk, a Belgian football club, for a transfer fee of EUR 3,000,000.00

In a 31-page decision, CAS confirmed the decision of the GFA Appeals Committee issued on June 11, 2022 holding that Tema Youth SC shall pay the following amounts within 14 days from 11 June 2022:

- EUR 688,000 to Young Red Bull

- EUR 150,000 to the GFA; and

- EUR 150,000 to the Ghana League Clubs Association (“GHALCA”).

In its final decision, CAS, after considering all the evidence and arguments confirmed the decision of the GFA Appeals Committee and rejected all the reliefs sought by Tema Youth SC as being inadmissible against Young Red Bull FC and dismissed those in relations to the Ghana Football Association.

This ends the CAS case by Tema Youth SC, which has seen GFA win three decisions at CAS against Tema Youth SC in relation to the transfer of player Joseph Paintsil (two provisional measures decisions and this Final Arbitral Awarddecision).

BACKGROUND

On 23 March 2022, Young Red Bull FC filed a claim against Tema Youth SC before the GFA Players’ Status Committee(GFA PSC), claiming an amount of EUR 778,807 based on the Transfer Agreement between the two teams in relation to player Joseph Paintsil (i.e. 30% of the transfer fee received by Tema Youth SC from KRC Genk) less EUR 122,000 already paid by Tema Youth SC to Young Red Bull FC.

On 23 March 2022, the GFA PSC rendered its Decision, with the following operative part: “Tema Youth SC shall therefore pay the outstanding balance of Seven Hundred and Seventy-Eight Thousand, Eight Hundred and Seven Euros (€778,807.00) to Young Red Bull FC within one month after the latter has furnished the former with bank details of his choice.”

On 15 April 2022, Tema Youth SC filed an appeal against the PSC Decision with the GFA Appeals Committee.

On 11 June 2022, the GFA Appeals Committee rendered itsDecision, with the following operative part: “We hereby direct Tema Youth SC to pay Young Red Bull FC the €688,000.00 within fourteen (14) days from the receipt of our decision from the GFA. Tema Youth SC is further directed to pay the One Hundred and Fifty Thousand Euros (€150,000.00) due to the GFA and the One Hundred and Fifty Thousand Euros (€150,000.00) due GHALCA within the same fourteen days indicated earlier.”

On 1 July 2022, Tema Youth SC filed a Statement of Appeal with the CAS challenging the GFA Appeal Committee Decision.

In this submission, Tema Youth SC named the GFA as the sole Respondent and also applied for a Stay of Execution of the GFA Appeals Committee Decision.

TWO PROVISIONAL MEASURES EARLIER WON BY GFA

CAS on July 26, 2022 rejected a request of Tema Youth SC for a Stay of Execution of the GFA’s Appeals Committee decision in relation to the refusal to make payments to Young Red Bull FC and GFA in relation to the transfer of player Joseph Paintsil.

Young Red Bull FC thereafter instituted a case for Enforcement Case at the GFA disciplinary Committee for the payment against Tema Youth SC.

The Enforcement decision stated that Tema Youth SC shallcontinue to suffer 3 points after playing each match in accordance with the Disciplinary Code for their refusal to obey the decision of the Appeals Committee and that if the refusal to pay the debt persist to 6 October 2022 the team shall also suffer transfer ban.

Secondly, on 25 August 2023, the Tema Youth SC once again went to CAS and requested for a provisional measure due to Tema Youth SC relegation by its last position placement on the Division One League Zone 3 table in accordance with the Division One League Regulations.

Tema Youth SC argued for their relegation from the Division One League Zone 3 to Division Two League to be halted by CAS pending the release of the final decision in the substantive case before CAS.

Having considered all the arguments advanced by both Tema Youth SC and GFA, the CAS Panel decided that the "Petition on Demotion”, considered as a request for provisional measures, filed by Tema Youth Football Club on 25 August 2023 in the matter CAS 2022/A/9010 Tema Youth Football Club v. Ghana Football Association is dismissed.

FINAL ARBITRAL DECISION OF CAS

The Court of Arbitration for Sport rules that:

1. The appeal filed on 1 July 2022 by Tema Youth Football Club against the decision issued on 11 June 2022 by the Appeals Committee of the Ghana Football Association, insofar as it concerns the interests of Young Red Bull FC and the Ghana League Clubs Association, is inadmissible.

2. The appeal filed on 1 July 2022 by Tema Youth Football Club against the decision issued on 11 June 2022 by the Appeals Committee of the Ghana Football Association, insofar as it concerns the interests of the Ghana Football Association, is dismissed.

3. The decision issued on 11 June 2022 by the Appeals Committee of the Ghana Football Association, insofar as it concerns the interests of the Ghana Football Association, including the payment obligation concerning the amount of EUR 150,000 (one hundred fifty thousand Euros) to be paid to the Ghana Football Association, is confirmed.

4. The costs of the arbitration, to be determined and served on the Parties by the CAS Court Office, shall be borne in their entirety by Tema Youth Football Club.

5. Tema Youth Football Club shall bear its own costs and is ordered to pay to the Ghana Football Association the total amount of CHF 4,000 (four thousand Swiss Francs) as a contribution towards its legal fees and other expenses incurred in connection with these arbitration proceedings.

6. All other and further motions or prayers for relief are dismissed.

EFFECT OF THE FINAL DECISION BY CAS

The effect of the Final Decision by CAS in the matter means that the enforcement decision of the GFA Disciplinary Committee in favour of Young Red Bull FC for the payment against Tema Youth SC, for which Tema team continue to suffer 3 points after playing each match in accordance with the Disciplinary Code will continue until Tema Youth SC fully settle all the debt or reach a settlement agreement with parties.

Thus, each match that Tema Youth SC plays, the club will forfeit 3 points until it fully settles the indebtedness to Young Red Bull FC and others.

Secondly, since the debt has persisted beyond October 2022, Tema Youth SC will also suffer transfer ban in Ghana and internationally until the debt is settled or settlement reached by all parties.

Tema Youth SC transferred Joseph Paintsil to KRC Genk, a Belgian football club, for a transfer fee of EUR 3,000,000.00