Company responsible for Corinthians Free Fire delays salaries and causes internal problems

CDS, the company that manages Corinthians Free Fire, owes salaries to players and staff. In addition, young people have already faced problems with housing and even the internet. The situation has caused internal conflicts, openings of lawsuits in the legal sphere and discontent on social networks, according to an investigation by the My Helm with several people connected to the sport team.

The project is officially under the command of CDS since July of this year, when Nomad eSports left claiming not to have had the expected financial return for the investment made. The company arrived at the Parque São Jorge club to take over the club’s eSports department. Thus, in addition to Free Fire, they also created the Counter Strike and Rainbow Six team at Timão.

The first acts of CDS at Corinthians Free Fire were the dismissal of player João Pedro “Memgod” and manager Bruno “Fornax” Zanini, in addition to the hiring of players Ronald “R7” Santos and Robson “RBN” Gomes.

However, other acts of the company began to be questioned internally. The report of My Helm found out from different sources that when the CDS officially took over, at the end of the Free Fire Cup, the athletes went to their homes and then returned, in order to prepare for the eighth edition of the Brazilian Free Fire League. On their return, they were surprised to be placed in a one-bedroom house. Reported dissatisfaction, they were transferred to a motel.

Training and work were done in a gameoffice, close to the site. In August, CDS started a partnership with Gamefy, so that athletes and staff were directed to a bigger and more comfortable Game House, where they arrived on the 16th of last month. According to people interviewed by the My Helm, however, there was an eviction order made on September 8, by Gamefy, alleging that CDS is also not honoring the commitments. The matter was resolved internally and the players remain in place to this day.

Thus, according to reports from sources linked to the Free Fire team, in addition to the CDS being late paying salaries since the first month, it is not complying with food and house payments and there was an episode of internet suspension. The company, in contact with the report, denies most of the accusations, says it is resolving the situation internally, but assumes the delay in salaries.

“The problem of the internet crash was a technical issue and not due to lack of payment. We are six days behind in salaries, but we are organizing the cash flow to definitively correct this issue”, said the CDS, in an official note to the My Helm.

In addition to debts with the current professionals of the Free Fire team, even a former employee still has refunds to be received. Bruno “Fornax” Zanini, former manager, made food purchases on his own credit card and was not reimbursed even after leaving the team.

Currently, they make up the Corinthians Free Fire team: Nicolas “band“Jesus, Ramon”Razure” Gomes, Victor “VitinXP“Silva, Kevin”Deley“Lamb, Ronald”R7“Santos and Robinson”RBN” Gomes. The coach is Ítalo “stark” Barros. Timão is in 13th place in the LBFF 8.

Who is responsible for CDS?

As determined by the report, CDS is Cds E-Sports e Entretenimento Ltda. With CNPJ active since December 9, 2021 and capital calculated at R$ 25 thousand, under the responsibility of managing partner Tate Costa. The same was sought by My Helm, but passed it on to the company’s legal department and did not speak personally. According to the sources heard, Tate is not part of the daily life of the Free Fire team.

Businesswoman Tate Costa, in addition to being CEO of CDS E-Sports, is also CEO of Cinderellas Esports, an organization of electronic teams. In contact with the report, she said that the organization is not over, it is just on pause.

In October 2021, players on Cinderellas’ Rainbow Six team exposed that the organization had failed to comply with contractual provisions regarding payment of back wages. At the time, Cinderellas unilaterally terminated the contract with the athletes and did not make the payment after the agreed date.

CDS Project at Corinthians

The report of My Helm had access to a document presenting the CDS project for Corinthians. In the document, CDS presents itself as “the union of companies specialized in Esports and Entertainment, with extensive experience in impactful projects and consistent results”.

Thus, in the document, the company promised to develop an audacious, safe and sustainable Esports project for Corinthians. Among the electronic games of interest were: Valorant, Pubg Mobile, Rocket League, League of Legends Wild Rift, Fortnite, Clash Royale, Rainbow Six, Just Dance, Chess online (chess.com) and Truco online.

The purpose of the proposal was defined as: “to offer Sport Club Corinthians Paulista the complete licensing management of the Esports brand, involving the most modern technologies, such as Blockchain, and managed by specialist professionals with great experience in the sector”.

In addition, CDS presented a complete communication and engagement system, with influencers and an exclusive channel (Timão Esports TV).

As for the values, CDS defined a monthly amount + taxes of R$557,660 for this project presented, considering the sports side (with all the teams for the aforementioned games) and marketing (with professionals such as communication director, social media, designer , screenwriter, freelance video maker, video editor and influencers).

It is unknown, however, whether this project proposal was accepted by the club, as only the Rainbow Six team was created on July 20.

What does the Corinthians say?

The report sought out Corinthians for a position on the outsourced company. According to Donato Votta, director of the club’s eSports department, the problem is a matter of cash flow and Timão is monitoring the situation.

“Corinthians is monitoring the situation with CDS, which recently took over the licensing of some E-sports modalities. The partner has been paying off the commitments related to the transition of the teams and, according to the company, there are no delays of months – not least because it has just taken over. -, only referring to the current month, due to a cash flow issue, and which will be paid in the next few days”, explained the director, through a note via advice.

See more at: Corinthians on e-Sports.

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