Sebastian Coe, president of the International Association of Athletics Federations (IAAF), has relinquished his deal as a Nike ambassador, after increasing unrest over what some critics have described as a potential conflict of interests. At a conference in Monaco on Thursday, Coe denied any such issues but admitted that the debate had become a distraction, at a time when he and other officials were working hard to deal with doping scandals in athletics.

Nike said it was disappointed but respected Coe's decision. The company previously declined to comment on the controversy, saying only that it was proud to work with Coe in his capacity as Nike international advisor and an ambassador for Designed to Move, a global initiative to tackle physical inactivity. Coe has been a Nike athlete since the seventies and he was one of the first to win a gold medal in Nike shoes, at the Moscow Olympics.

The discussion about Coe's relationship with Nike came after a doping scandal that erupted this summer and allegations of state-sponsored doping in Russia, outlined earlier this month in a report by an independent commission launched by the World Anti-Doping Agency (Wada).

Coe has been urged to lead a radical clean-up, with suggestions that the ending of his ties with Nike would support this drive. In this context, some critics have been disgruntled about Nike's relationship with Justin Gatlin, a U.S. sprinter who was twice banned for testing positive for banned substances.

Another cause of controversy is that the 2021 athletics championships were attributed to Eugene, Oregon without the usual bidding process – even though Gothenburg was interested. Nike is strongly linked with Eugene's athletic community. The decision was taken in April, before Coe was elected IAAF president in August. He has firmly denied intervening in favor of Eugene. The IAAF stated at the time that its decision to bypass the usual bidding process was “taken in response to what was seen as a unique opportunity to host the IAAF World Championships for the first time in the USA.”

Coe has been a Nike partner for 38 years and under his latest agreement he reportedly earned about £100,000 (€141,901-$150,330) per year as a Nike ambassador. The presidency of the IAAF is an unpaid job that relies on expenses to compensate board members. However, there has been talk of making it a paid position. Coe announced on Thursday that he would step down as chair of the British Olympic Association after the Rio Games and that his sports marketing company, CSM, would not tender any IAAF work.

Earlier this month Coe was asked to appear before the U.K. parliament's culture, media and sport select committee on Dec. 2, to answer questions about the latest doping scandals and probably about his relationship with Nike. This committee includes Damian Collins, who has been particularly pro-active in addressing governance issues in several international sports organizations in recent years. Collins has been quoted as saying that he thought Coe should end his Nike ambassadorship due to potential conflicts of interest.

The Russian athletics federation was suspended by the IAAF earlier this month for an undefined period. This means all Russian athletes are temporarily banned from taking part in international competitions. It remains unclear if the issues will be resolved in time for them to take part in the Rio Olympics next year.

The IAAF's governance under the leadership of its former president, Lamine Diack, has come under scrutiny in relation with this doping scandal. Diack is under investigation by French authorities on allegations of taking bribes to cover up positive doping tests of Russian athletes. Diack was provisionally suspended as an honorary member of the International Olympic Committee (IOC) and resigned.

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