The club have released a statement on it's official website which reads:
A grossly misleading and incorrect article appeared in the Daily Mail on Wednesday 10th April. The article reported that Celtic Chairman Brian Quinn had indicated to Sky Sports' Inside Scottish Football magazine that Football Club Director Jim Hone had '… sanctioned the signing of Rafael…' The article also reported that Mr Quinn had indicated to Inside Scottish Football that Jim had '… watched the Brazilian three times in action for Corinthians - with his club losing 13-0 on aggregate.'
Mr Quinn did not in fact make any statements to the above effect. Jim Hone played no part whatsoever in the selection of Rafael Scheidt as a suitable player for Celtic. He did not sanction the signing of the player by the Club. He has never seen Rafael play for Corinthians.
He was never asked nor, indeed, would it have been appropriate for him to be asked to 'watch' Rafael on behalf of the Club prior to Rafael's employment as a Celtic Player
He was never asked nor, indeed, would it have been appropriate for him to be asked by the Club for his opinion of Rafael Scheidt's abilities or lack thereof as a footballer. Mr Hone and the Club are now pursuing this matter with the Daily Mail.