TRT threatens Rio clubs

Botafogo, Fluminense and Vasco have five more years to pay off their debts

Michel Castellar.\ RIO\

The president of the Regional Labor Court of the 1st Region of Rio de Janeiro (TRT-RJ), Doris Castro Neves, issued an ultimatum to Botafogo, Fluminense, and Vasco yesterday: if they fail to honor their labor debt settlement agreements, she will file for bankruptcy. The exception is Flamengo, which, according to the judge, is up to date with its debts.

Representatives from Vasco and Fluminense attended the meeting held yesterday afternoon in the main hall of the Regional Labor Court of Rio de Janeiro (TRT-RJ) in downtown Rio de Janeiro. Botafogo's supporters were absent, and Fluminense were not called up.

The TRTRJ president's objective was to sign a new agreement with the three Rio clubs, which had not honored the agreement made in 2004. At the time, the president of the court was Nelson Tomaz Braga, who agreed to receive 10% of the clubs' income monthly to pay off the clubs' labor debts.

Even with the agreement, Rio's big three were unable to honor their commitments and, based on the average payments over the last four years, Botafogo, Fluminense and Vasco would take up to 30 years to pay off their debts.

The solution found by the president of the TRT-RJ, together with the judges responsible for each club's debts, was to propose an additional five years for the payment of all charges.

- Nine years (2004 to 2012) is more than enough time for any club to resolve its problems - said the president of TRT-RJ.

According to the court's calculations, Botafogo owes approximately R$55 million, and with the current agreement, it would take 27 years to pay off the debt. Fluminense owes R$42 million over 23 years.

Vasco has a debt of R$31 million, with a payment schedule of 28 years. However, Vasco's Vice President of Legal Affairs Paulo Reis assured that the amount will decrease.

He explained that, on Friday, the club reached an agreement with the family of former player Dener (who died in 1994) to pay R$3,2 million, instead of the expected R$16 million for a labor debt.

To resolve the legal dispute and avoid bankruptcy filings, the clubs will have 30 days to present a proposal to settle their debts by 2012.

"I don't want to see our clubs disappear. But I can't allow things to continue this way," said the president of the TRT-RJ.

Flamengo is the only major Rio club that is up to date with its labor debts.