FIDE accounts

[Angus French]

Where might FIDE's accounts be found? I couldn't see them at http://www.fide.com/.

I wondered about this is the context of the FIDE 2014 Election claim made by Kasparov's team (Winning Move 2 at http://kasparov2014.com/):

The national federations will prosper as FIDE prospers. FIDE should provide for its members instead of being supported by them.
- Reduce membership fees by 50% immediately.
- 25% reduction per year of all other fees.

[Roger de Coverly]

Where might FIDE's accounts be found?

They are presented to the appropriate Congress. Accounts to 31 Dec 2012 were presented in 2013.

http://www.fide.com/images/stories/NEWS ... nnex_1.pdf

[David Sedgwick]

Angus, you may have seen that Ali Nihat Yazici in his twitter feed (https://twitter.com/alinihatyazici) contrasts the openness of FIDE's accounts with the alleged secrecy regarding the funding of the Kasparov Chess Foundation.

[Roger de Coverly]

contrasts the openness of FIDE's accounts with the alleged secrecy regarding the funding of the Kasparov Chess Foundation.

I don't know that the current President ever publishes accounts of how much he spends of his own money on FIDE re-election, still less of how much he has spent in the past on prizes for the World Cup.

Looking at the accounts though, membership fees paid from Federations aren't a large part of FIDE's income, selling titles seems quite lucrative by contrast.

[Angus French]

Where might FIDE's accounts be found?

They are presented to the appropriate Congress. Accounts to 31 Dec 2012 were presented in 2013.

http://www.fide.com/images/stories/NEWS ... nnex_1.pdf

Thanks Roger.

I calculate that had 2012 membership fee income reduced by 50% and had the other fees from federations reduced by 25% (both reductions in line with the Kasparov team promise) then income would have been 300,903 Euros lower, an amount representing close to 10% of total income (total income = 3,015,644 Euros).

Perhaps this is affordable - there was a surplus of income over expenses of 634,203 Euros. That said, 2012 was an Olympiad year and net income from that event appears to be 775,598 Euros (income of 831,750 Euros less expenses of 56,152 Euros). Against this, there were legal expenses of 150,918 Euros (a reduction from 467,032 Euros in 2011).

I see that most of FIDE's income in 2012 came from taking a cut of the prize funds of the events it organises. In 2012 this source of income provided 1,671,563 Euros - as well as income from the Olympiad there was income from the World Championship of 486,254 Euros (against expenses for the same event of 17,957 Euros).

Maybe for 2012 FIDE wanted to rebuild its reserves after incurring significant legal expenses in 2011 and making a loss in that year of 512,579 Euros. (The Reserve Fund at the end of 2012 stood at 1,858,581 Euros.)

So far as I can see, no figures are provided for income from sponsorship or for prize fund outgoings. And what about venue hire costs for the Olympiad and World Championship match?

I think I'd like to know more about how the Kasparov team intends to finance FIDE.

[Angus French]

Angus, you may have seen that Ali Nihat Yazici in his twitter feed (https://twitter.com/alinihatyazici) contrasts the openness of FIDE's accounts with the alleged secrecy regarding the funding of the Kasparov Chess Foundation.

Thanks David. I think Mr. Yazici may have a point on the funding of the Kasparov Chess Foundation! Which isn't to say that FIDE's accounts couldn't be more open and accessible... I wonder where Yazici's figure of 1.5 million Euros came from?

[Roger de Coverly]

I think I'd like to know more about how the Kasparov team intends to finance FIDE.

I thought the intent was to get a major multi-national corporation or two on board. That may well be pie in the sky and certainly would be with Kirsan in charge, but I note for example that the French Federation (FFE) have generic support from BNP Paribas.

http://www.echecs.asso.fr/Default.aspx

[Roger de Coverly]

So far as I can see, no figures are provided for income from sponsorship or for prize fund outgoings. And what about venue hire costs for the Olympiad and World Championship match?

I don't think the detail accounts for events run on behalf of FIDE are ever shown in the FIDE accounts. All the accounts will ever show is FIDE's income from imposing a tax on the prize fund or organisational budget. So how much Candidates matches, the World Cup, the World Championships, the Olympiad etc cost in aggregate to stage won't be shown in the FIDE accounts.

[Angus French]

I think I'd like to know more about how the Kasparov team intends to finance FIDE.

I thought the intent was to get a major multi-national corporation or two on board. That may well be pie in the sky and certainly would be with Kirsan in charge, but I note for example that the French Federation (FFE) have generic support from BNP Paribas.

http://www.echecs.asso.fr/Default.aspx

FIDE finances:
- Increase the FIDE budget by 100% in the next two years via corporate sponsorship.
- Increase revenues through commercial sponsorship by reorganizing FIDE with a professional marketing approach that will make chess and the FIDE brand attractive to corporate and public sponsors.

What if the corporate sponsorship doesn't materialise?
Would a FIDE run by Kasparov's team continue with the practice of taking a cut of prize fund money?

[Angus French]

So far as I can see, no figures are provided for income from sponsorship or for prize fund outgoings. And what about venue hire costs for the Olympiad and World Championship match?

I don't think the detail accounts for events run on behalf of FIDE are ever shown in the FIDE accounts. All the accounts will ever show is FIDE's income from imposing a tax on the prize fund or organisational budget. So how much Candidates matches, the World Cup, the World Championships, the Olympiad etc cost in aggregate to stage won't be shown in the FIDE accounts.

Fair enough. Organisiation of the World Cup and the Olympiad are put out to tender. AGON has responsibility for organising the World Championship cycle (with the exception of the World Cup).

[Roger de Coverly]

What if the corporate sponsorship doesn't materialise?
Would a FIDE run by Kasparov's team continue with the practice of taking a cut of prize fund money?

Those are two of the many questions the ECF should be asking the Kasparov team. Will these issues be allowed to be debated at the April Council meeting?

[Alex Holowczak]

What if the corporate sponsorship doesn't materialise?
Would a FIDE run by Kasparov's team continue with the practice of taking a cut of prize fund money?

Those are two of the many questions the ECF should be asking the Kasparov team. Will these issues be allowed to be debated at the April Council meeting?

If they're on the Agenda. On the other hand, I didn't realise Kasparov was on Council.

[Roger de Coverly]

If they're on the Agenda.

Will the ECF Directors schedule a discussion, or will it be up to representative members to raise it?

On the other hand, I didn't realise Kasparov was on Council.

One of the principle advocates for the Kasparov campaign has access to the ECF Board and might be present at the Council meeting.

[Alex Holowczak]

If they're on the Agenda.

Will the ECF Directors schedule a discussion, or will it be up to representative members to raise it?

I don't know. I'm only one such Director, and it would be wrong of the Director of Home Chess to speak on behalf of the more appropriate Directors to put this to the meeting.

On the other hand, I didn't realise Kasparov was on Council.

One of the principle advocates for the Kasparov campaign has access to the ECF Board and might be present at the Council meeting.

Indeed. So if you have questions for him, why not fire off an e-mail to the one man you want to speak to now, rather than wait until a Council meeting that he "might be present" at? His ECF e-mail address can be found on the ECF website.

[Roger de Coverly]

I don't know. I'm only one such Director, and it would be wrong of the Director of Home Chess to speak on behalf of the more appropriate Directors to put this to the meeting.

If the ECF directors announced support for Kirsan, that would be extremely divisive amongst the wider English chess community. On the other hand, there would be reservations about support for Kasparov, if not him personally then for his announced policies and running mates. I'm suggesting that the ECF Directors take advantage of the only scheduled public opportunity between now and the FIDE elections to indulge in some limited consultation with those who put them in office.