John Textor's Botafogo hit with transfer ban over unpaid MLS record fee

Tom Weber

1 Jan 2026 12:01 CST
4 min read

John Textor's Botafogo have been hit with a transfer ban by FIFA after failing to pay Atlanta United for the record transfer of Thiago Almada.

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The Argentine became the most expensive departure from Major League Soccer when the Brazilian club agreed a $30 million package with Atlanta United in the summer of 2024.

Botafogo's controversial owner John Textor later admitted that he signed Almada because he had been tipped off about his talents by a fan on X. The 24-year-old was previously one of the biggest stars in MLS due to his performances and participation in Argentina's successful 2022 World Cup campaign.

Current ETV

Thiago Almada

F (L), M (CL)

Atlético Madrid

Thiago Almada

F (L), M (CL)

Atlético Madrid

ETV Range

€22.7M - €27.8M

His move to Brazil was only viewed as a temporary measure, as Almada was earmarked as a future player for Lyon, also owned by Textor. However, the French club were unable to sign him permanently due to their financial difficulties.

Lyon were given a transfer ban by French football's financial watchdog in late 2024, so Almada ended up joining them on a 'free' loan in January 2025. He returned to Botafogo in the summer and was ultimately sold to Atletico Madrid.

Botafogo hit with transfer ban

It has now been revealed that FIFA has embargoed Botafogo for three transfer windows due to their failure to pay Atlanta United the money owed for the transfer of Almada.

FIFA ruled in February that Botafogo had to pay Atlanta the guaranteed initial $21m transfer fee, plus an additional $1.5m that had since been accrued in interest.

The Serie A side appealed the ruling, and the matter went to the Court of Arbitration for Sport, which ultimately supported FIFA's directive. Botafogo were ordered to pay by 26 December, but have clearly failed to do so.

The ban will be lifted once Textor coughs up the money, but The Athletic reports that this is unlikely to be the end of the story.

In addition to the $22.5m, Botafogo also still owe the $9m in bonuses from the original $30m package and the cut Atlanta should have received from Almada's move to Atletico Madrid due to a sell-on clause.

This is just the latest in a long line of incidents involving Textor and his various clubs. The American has been embroiled in numerous legal disputes and was forced to step down from his role as Lyon president after getting the Ligue 1 giants into a financial mess that almost culminated in an enforced demotion to Ligue 2.

Despite this, Textor has continued to look for clubs to invest in, expressing an interest in Wolves and Sheffield Wednesday after selling his stake in Crystal Palace in the summer.

Textor also recently raised eyebrows by admitting that he and Nottingham Forest owner Evangelos Marinakis "adjust" transfer fees for each other. Last summer alone, six players moved between Forest and Botafogo and Lyon. In 2024/25, Forest sold Moussa Niakhate and Orel Mangala to Lyon for fees that FootballTransfers' Estimated Transfer Value (ETV) algorithm suggests were hugely inflated.

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