Botafogo Demands €125 Million from Lyon Amid Unpaid Loan Dispute

G. E (Elbotola)

04 April 2026at18:55

Brazilian club Botafogo filed a formal complaint against French club Olympique Lyon on Saturday, seeking to recover outstanding debts totaling €125 million.

These legal actions stem from what the Brazilian club describes as Lyon's failure to repay loans granted to the French club when both teams operated under the leadership of John Textor within the Eagle Football Holdings group.

In an official statement, Botafogo explained that Eagle Football Holdings acquired Olympique Lyon in late 2022 when the club was in financial distress. The club stated, "Eagle Football acquired Lyon while the club was in a difficult financial situation, under threat of heavy sanctions. In this context, Botafogo provided successive financial contributions exceeding 745 million Brazilian Reais (approximately €125 million) in the form of loans with clear expectations of repayment according to specific terms." The Brazilian club further indicated that the French team breached its obligations by refusing to repay these debts, which were intended to ensure the stability of its sporting project.

This crisis is linked to a series of reciprocal actions between the two parties. Olympique Lyon had previously initiated proceedings with FIFA against Botafogo due to the non-payment of the transfer fee for player Jeffinho in January 2025.

For its part, the Brazilian club asserted that Lyon's payment default hindered its financial planning and ultimately led to FIFA imposing a transfer ban against it in late 2025. The club's statement read, "This default directly impacted Botafogo's operations and resulted in us being deprived of signing new deals."

In a related context, the Brazilian club affirmed that its decision to pursue legal action is an irreversible step to ensure the full recovery of the amounts owed by Olympique Lyon. Additionally, information has emerged regarding further claims totaling €12 million for Belgian club RWD Molenbeek, also part of the same group.

This crisis unfolds at a time when John Textor has been removed from the leadership of Eagle Football Holdings, having overseen the management of both clubs during the period when these loans were provided.

Q&A

What is the dispute between Botafogo and Lyon about?

The dispute between Botafogo and Lyon centers on €125 million in unpaid loans. Botafogo alleges it provided financial contributions to Lyon when both clubs were under Eagle Football Holdings, expecting repayment according to specific terms.

How did the loan dispute impact Botafogo's operations?

The loan dispute significantly impacted Botafogo's operations, leading to financial planning difficulties. The Brazilian club states Lyon's payment default resulted in FIFA imposing a transfer ban against them, preventing new player signings.

What are the next steps in the legal action against Olympique Lyon?

The next steps involve Botafogo pursuing irreversible legal action to recover the full €125 million owed by Olympique Lyon. Additionally, other clubs within the former Eagle Football Holdings group, like RWD Molenbeek, are also reportedly making claims.