Brazilian giants Botafogo are locked in a high-stakes legal battle at the Court of Arbitration for Sport over an unpaid $21 million transfer fee to MLS club Atlanta United for Argentine star Thiago Almada, a dispute that casts a spotlight on owner John Textor’s expansive multi-club network and the intricate financial web of modern football.
The world of international football transfers is often a complex dance of negotiations, agents, and multi-million dollar fees. Rarely, however, does a dispute escalate to the sport’s highest court, drawing in a World Cup winner, a South American champion, and a controversial multi-club owner. This is precisely the scenario currently unfolding with Brazilian club Botafogo, their American owner John Textor, Major League Soccer’s Atlanta United, and Argentine attacker Thiago Almada.
At the heart of the matter is an alleged unpaid $21 million transfer fee, which has propelled the clubs into a legal showdown at the Court of Arbitration for Sport (CAS) in Lausanne, Switzerland. This isn’t just a simple financial disagreement; it’s a saga that underscores the growing intricacies and potential pitfalls of global football ownership models.
The Heart of the Matter: A Record-Breaking Transfer Gone Sour
The dispute stems from Botafogo’s acquisition of Thiago Almada from Atlanta United in June of the previous year. Almada, a 24-year-old attacking midfielder, had made a name for himself in MLS as a designated player, and his move commanded a league-record transfer fee. He also famously contributed to Argentina’s 2022 World Cup victory, making one appearance off the bench.
According to FIFA’s ruling, which Botafogo is now challenging, the Brazilian club failed to make the first two scheduled $3 million payments to Atlanta United in July and September last year. When MLS, on behalf of Atlanta, requested the overdue payments, Botafogo reportedly asked for “more time to ‘sort it out’.” This delay led to default notices and eventually, a direct intervention by FIFA.
FIFA’s judge found that the $6 million in initial payments “indeed remained outstanding” as of February. Citing Botafogo’s “previous sanctions” from the world football body, FIFA imposed a substantial $150,000 fine along with $25,000 in legal costs on the club. Furthermore, a stern 45-day deadline was issued: pay the outstanding debts or face a ban on registering newly signed players, a sanction now pending the outcome of the CAS appeal, as reported by the Associated Press.
Thiago Almada’s Rapid Ascent and Shifting Allegiances
Almada’s talent is undeniable, and his career trajectory has been nothing short of meteoric. After his impactful stint with Atlanta United, he joined Botafogo, where he played a crucial role in their journey to become South American champions, clinching the prestigious Copa Libertadores title. This success, however, came amidst the backdrop of the unfolding transfer fee dispute.
The Argentine’s path didn’t stop in Brazil. In January, just weeks after Botafogo’s Copa Libertadores triumph, Almada was loaned to Lyon, another club within John Textor’s Eagle Football Holdings network, for the remainder of the season. Following his participation with Argentina at the 2024 Paris Olympics, Almada made yet another significant move in July, this time to Spanish giants Atletico Madrid, marking his fourth different club in less than 13 months, including two owned by Textor.
John Textor’s Vision and the Multi-Club Ownership Challenge
The Almada transfer saga cannot be fully understood without examining the broader context of John Textor’s ambitious multi-club ownership model. Textor, an American businessman, has rapidly expanded his portfolio of football clubs under his company, Eagle Football Holdings. This network includes controlling stakes in Botafogo in Brazil and Lyon in France, and he was previously a minority owner of English club Crystal Palace.
While multi-club ownership offers potential synergies in player development and transfers, it also presents complex financial and regulatory challenges. UEFA’s integrity rules on club ownership, specifically Rule 5.01, are designed to prevent conflicts of interest when two clubs with the same ultimate beneficial owner participate in European competitions. This rule states that no two clubs can be directly or indirectly involved in the management or sporting performance of another club participating in UEFA competitions, or have any power over them.
This regulation directly impacted Crystal Palace. When Lyon, another Textor-owned club, secured a spot in this season’s Europa League (after a challenging domestic season), and Botafogo qualified for CONMEBOL’s premier club competition (which has ties to UEFA’s structure), it created a conflict. As a result, Crystal Palace was downgraded to the third-tier Conference League by UEFA, an appeal against which the club failed at CAS. This incident, widely reported in sports media, highlights the strict enforcement of multi-club ownership rules by governing bodies like UEFA.
What This Means for Botafogo and the Fans
For Botafogo, a club with a storied history and a passionate fan base, this legal battle carries significant weight. Beyond the immediate financial burden of the $21 million fee, fine, and legal costs, a potential ban on registering new players could severely hamstring their sporting ambitions. Such a sanction could impact squad depth, transfer strategy, and competitiveness in both domestic and continental competitions.
Fans, deeply invested in their club’s success, are undoubtedly watching this situation closely. The financial health and stability of the club, especially under an ambitious foreign owner, are constant topics of discussion in fan communities. The perception of Textor’s management and the financial handling of high-profile transfers like Almada’s are critical for maintaining fan trust and support. The “behind-the-scenes” drama of boardroom disputes, while not directly on the pitch, shapes the future of the club as much as any goal or save.
The Road Ahead: Awaiting the CAS Verdict
The hearing at the Court of Arbitration for Sport on October 15, 2025, represents a critical juncture in this intricate transfer saga. While no deadline for a verdict was immediately given, the outcome will have far-reaching implications.
For Botafogo, a favorable ruling could alleviate financial pressure and avert a transfer ban. Conversely, a decision upholding FIFA’s order would force the club to settle the substantial debt and face the imposed sanctions. For Atlanta United, it’s about recovering a significant sum for one of their most talented exports. And for the broader football community, this case serves as a poignant reminder of the complex interplay between club ownership, transfer economics, and global regulatory frameworks in the modern game.
