NEWS BRIEFS

UZBEKISTAN: FOOTBALL CLUBS GET TAX BREAK
4/10/09

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Football clubs in Uzbekistan have received an exemption from taxes and customs fees for three years. The tax holiday, which took effect on April 1, is a boon to Uzbekistan’s biggest club Bunyodkor, which has allegedly been linked to President Islam Karimov’s daughter, Gulnara.

The Tashkent club is currently building a new $150 million stadium and has signed multi-million dollar contracts with several aging but still fit world-class players. Samuel Eto’o, a striker for Spanish super club Barcelona, was reportedly offered a short-term contract worth $25 million to play at Bunyodkor for three months. He refused, but Barcelona has partnered with Bunyodkor and will be paid $5 million for an exhibition match in Tashkent later this year.

The club is officially owned by Miradil Djalalov, the boss of Zeromax, a Swiss-registered company with extensive assets in Uzbekistan. However, Karimova is widely believed to have a major role in the club’s operations. The Russian daily Nezavisimaya Gazeta and a host of Uzbek news sources have reported that Zeromax "is controlled by Gulnara Karimova." The president’s daughter has not publicly confirmed that she is connected with the company.

The tax exemption will cover "customs fees (except fees for customs clearance) on imported goods, equipment and materials not produced in the country necessary for reconstruction of stadiums and strengthening the material-technical base of football clubs," and "all types of taxes and charges," except for social insurance payments, Uzreport.com reported April 9.

Posted April 10, 2009 © Eurasianet
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