IPL: BCCI Refuses to Compensate Kochi Tuskers Kerala

The Board of Control for Cricket India (BCCI), has refused to pay a compensation price of Rs 850 crore to defunct Indian Premier League franchise Kochi Tuskers Kerala. The board decided during its Special General Meeting on Monday (December 11).

The Kochi-based franchise, which was inducted into the IPL in 2010, played its first and only season in 2011, as the Board of Control for Cricket in India (BCCI) terminated its contract after an internal dispute among co-owners resulted in the franchise defaulting on submitting the 10% bank guarantee of the total franchise fee ahead of the season.

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The BCCI had justified its claims by stating that several reminders sent to the franchise didn’t elicit a response. In October this year, IPL chairman Rajiv Shukla had said the franchise demanded Rs 850 crore as compensation.

“Kochi Tuskers has demanded Rs. 850 crore as compensation. Today we discussed the matter at IPL GC meeting, and we will now place the matter before general body. Let them take a call, but obviously, some negotiations are needed,” Shukla had said.

Shukla’s comments had come after a prolonged tussle between the BCCI and the franchise. In 2015, the owners of the franchise had won an arbitration challenging BCCI decision to encash bank guarantee citing breach of the contractual agreement. The RC Lahoti headed panel had directed BCCI to pay Rs. 550 crore as compensation with 18 percent annual penalty on failing to do so.

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However, the Indian cricket board, on its part, was adamant in neither paying compensation nor taking back the franchise in the IPL, And it looks like the now-defunct franchise is set to remain empty-handed for at least the coming few months.

“Suppose if we curtail the number of days, the broadcasters will then pay us accordingly. Now we are in a position where we have to pay Rs 850 crore fine after losing the arbitration to Kochi Tuskers.

“From where will the money be recovered. In any case, FTP or pay hike can only be passed by the General body,” a senior office bearer of the BCCI had told PTI earlier.

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