Bombay High Court has given a big blow to BCCI, The court ordered the Board of Control for Cricket in India to pay Rs 539 crore to the now defunct IPL franchise Kochi Tuskers Kerala.
Actually, this case is of 2011, when BCCI suddenly broke the contract of Kochi Tuskers. Now the court has clearly said that BCCI’s decision was wrong.
What is the whole matter?
Kochi Tuskers was being run jointly by Rendezvous Sports World (RSW) and Kochi Cricket Private Limited (KCPL).
In 2011, this team participated in IPL, but after just one season, BCCI cancelled their contract.
Talking about the reason, BCCI claimed that KCPL and RSW did not submit the required bank guarantee. This is where the long dispute started.
What kind of blow did the court give to BCCI?
KCPL and RSW started arbitration in 2012 and the decision came in their favor in 2015. The arbitration ordered BCCI to pay Rs 385 crore to KCPL and Rs 153 crore (including interest and expenses) to RSW.
BCCI challenged this decision in Bombay High Court, but Justice Riyaz Chagla rejected all their arguments.
The court said, “The arbitration decision is final, there is no flaw in it. BCCI will have to pay the money.”
Kochi Tuskers’ glory
Kochi Tuskers performed brilliantly in IPL in 2011. Stars like Mahela Jayawardene, Brendon McCullum and Ravindra Jadeja were in this team. With 6 wins in 14 matches, they finished 8th among 10 teams. But BCCI’s decision ended their IPL story.
What will be next?
BCCI has 6 weeks to appeal. But for now, the court order is clear – pay Rs 539 crore. This amount is a big compensation for Kochi Tuskers and a lesson for BCCI that such behaviour with a franchise can be costly.
