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Hi everyone,
Hope you’re all doing well as we kick off 2025!
After hearing multiple athletes complain about low bonuses and high penalties of WTT tournaments, we—a group of table tennis fans—decided to investigate the public financials of ITTF and WTT. What we uncovered is alarming: evidence of questionable governance, potential fraudulent transactions, and proceeds from events being transferred through under-the-table arrangements.
These rules appear designed to maximize revenue by ensuring top athletes’ participation, which aligns with WTT’s for-profit strategy. While profit-making is not inherently problematic, it must be conducted legally, compliantly, and in alignment with ITTF’s stated vision. Proper governance by ITTF and independent oversight of WTT are crucial to balancing profit motives with the long-term health of the sport.
We believe these issues stem from ITTF/WTT’s flawed values and operational practices. The economic arrangements behind WTT and lack of governance are at the heart of the problem. Since these two organizations shape the future of table tennis and its athletes, proper governance and compliance are essential. However, their financials and other public reveal the very opposite.
Our goal is simple: to ensure a fair, transparent, ethical, and sustainable future for table tennis - one where WTT’s toxic practices have no place. We hope you’ll join us in making that vision a reality.
Best regards,
Table Tennis Fans
Hope you’re all doing well as we kick off 2025!
After hearing multiple athletes complain about low bonuses and high penalties of WTT tournaments, we—a group of table tennis fans—decided to investigate the public financials of ITTF and WTT. What we uncovered is alarming: evidence of questionable governance, potential fraudulent transactions, and proceeds from events being transferred through under-the-table arrangements.
What We Advocate For
Transparency- Immediate release of ITTF and WTT financials in 2023 required by laws, which is long overdue
- WTT’s Board of Directors currently consists solely of employees from ITTF/WTT. To ensure proper oversight, the board should include more ITTF officials and, critically, independent members from outside.
- ITTF leadership must actively fulfill its governance and fiduciary responsibilities, which are currently inadequate.
- A task force should be established to address athlete concerns, with direct representation from member associations, players, and independent third parties.
- The task force announced by ITTF on January 3rd consists entirely of internal employees, which undermines its ability to deliver meaningful solutions to address athlete concerns.
Why We Think Financials and Operations of ITTF/WTT are Relevant
There have been ongoing complaints from athletes and fans about WTT, including:- Disorganized events with tight schedules
- Low bonuses for players and high penalties
- Unreasonably high ranking points (2000 points for WTT grand slams and Olympic championship)
These rules appear designed to maximize revenue by ensuring top athletes’ participation, which aligns with WTT’s for-profit strategy. While profit-making is not inherently problematic, it must be conducted legally, compliantly, and in alignment with ITTF’s stated vision. Proper governance by ITTF and independent oversight of WTT are crucial to balancing profit motives with the long-term health of the sport.
We believe these issues stem from ITTF/WTT’s flawed values and operational practices. The economic arrangements behind WTT and lack of governance are at the heart of the problem. Since these two organizations shape the future of table tennis and its athletes, proper governance and compliance are essential. However, their financials and other public reveal the very opposite.
What We Found (Summary)
For details and evidence, please refer to the attached files.- Suspicious Minority Shareholder Ownership
- WTT contributes over 90% of ITTF's revenue and its 85% equity is owned by ITTF. However, WTT's operations seems to be fully controlled by minority shareholder World Sports Industry Holding ("World Sports), and little governance was provided by ITTF.
- The inception of World Sports’ stake in WTT is highly suspicious. Just months prior, WTT’s audited report claimed the company was valued at zero due to ongoing losses (Amazon will be laughing at this statement). World Sports then acquired 15% equity through irregular means: 1) Conversion of a 10-year “coaching service" valued at $12M; and 2) Conversion of two loans totaling $3M.
- These transactions appear highly uncommon and alarming, with discrepancies in WTT’s financials and ITTF shareholder meeting minutes.
- addition - why WTT valuation of 0 raises red flags
- WTT had positive net assets in 2021 and 2022, with $3M and $6.7M in cash and $2–4M in debt and payables, far from illiquidity.
- Valuation, particularly for companies with valuable IP or long-term potential, is based on future cash flows, not just historical losses; the company valuation has little to do with book value of net assets. Many high- growth companies (e.g., Amazon pre-2023, OpenAI today) operate at a loss but are highly valued.
- WTT holds the Master License Agreement (MLA), granting exclusive rights to ITTF’s commercial events—a significant asset capable of generating future profits. Instead of a zero valuation, restructuring and leveraging this IP could have been a more viable path forward. A valuation of zero is highly suspicious and raises red flags.
- WTT did show 30%+ revenue growth in both 2023 and 2024 by running commercial events through the MLA. This potential for future growth should have been a critical consideration for ITTF leadership when evaluating the valuation report and assessing the inception of minority shareholders back in 2022. However, they chose to agree to a 0 valuation.
- Use of Shell Companies for Events
- WTT events are often operated by shell companies created shortly before the events. Evidence suggests these companies are controlled by the same beneficiaries behind World Sports.
- There is no evidence showing any proper diligence or procurement process was followed before WTT engaged these operating companies.
- Lack of Financial Transparency since 2023
- WTT has not filed its 2023 financials with Singapore’s Accounting and Corporate Regulatory Authority (ACRA), despite legal requirements.
- Quite conveniently, ITTF also pulled its 2023 financials from its website, raising further concerns about transparency.
- 2023 marked the first year that WTT events and sponsorships gained significant traction, making it particularly suspicious that both institutions failed to fulfill their disclosure obligations
- Understatement of Revenue and Proceeds
- WTT’s CEO Steve Dainton estimated 2024 revenue at $50M in ITTF board meeting, but this figure doesn’t align with the scale of WTT events or sponsorship deals. We suspect underreported revenue and proceeds being diverted to beneficiaries controlled by minority shareholder World Sports and other related parties.
What We’ve Done and Plan to Do
- Sent multiple emails to ITTF officials (including the Audit Committee and Integrity Board), requesting the release of 2023 financials and explanations for these alarming concerns.
- Reached out to member associations and relevant authorities (e.g., tax, anti-bribery, anti-fraud bodies).
- Now, we are seeking your attention and support.
How You Can Help
- Spread Awareness: Share this information within the global table tennis community.
- Contact Authorities: If you know channels to get regulatory authorities and media coverage involved, please let us know.
- Share Evidence: If you have additional information on WTT’s fraudulent activities, email us at [email protected].
Our goal is simple: to ensure a fair, transparent, ethical, and sustainable future for table tennis - one where WTT’s toxic practices have no place. We hope you’ll join us in making that vision a reality.
Best regards,
Table Tennis Fans
Attachments
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