Bombay high court upholds BCCI's decision to terminate Deccan Chargers

October 18, 2012
Deccan_Chargers


Mumbai, October 18: The cash-strapped Deccan Chargers will remain terminated from the IPL after the Bombay high court on Thursday set aside a status quo order passed by an arbitrator on cessation of its membership in the league.

Hearing a petition filed by the Cricket Board, Justice RD Dhanuka quashed the status quo order passed by the arbitrator appointed by the high court to resolve the dispute between BCCI and Deccan Chronicles Holdings Limited (DCHL).

On another petition filed by DCHL against termination of the contract of its IPL franchise, the court refused to grant any interim relief, but said the legality of the termination would be decided by the arbitrator.

The court's orders on the two petitions effectively means that the termination of Deccan Chargers' IPL membership would stand, according to legal circles.

The arbitrator, retired supreme court judge CK Thakker, had last week passed an order for status quo to be maintained following which BCCI had moved the high court in appeal.

"Arbitrator had no jurisdiction to grant status quo. On the same day (October 12), the high court had denied extension of time to DCHL to furnish Rs 100 crore bank guarantee as directed by the court on October 1," Justice Dhanuka said.


He further said the arbitrator is not "superior" to the high court and hence cannot pass an order which overrides the high court's direction.


Criticising the plea made by DCHL before the arbitrator for status quo, the court said, "Once the high court has rejected relief, the plea made before the arbitrator is not maintainable."


Justice Dhanuka noted that the order passed by another judge of the court on October 1 directing DCHL to furnish bank guarantee was "self operative and protective of the interests of both DCHL and BCCI".

The court also refused interim stay on termination of IPL franchise as sought by DCHL in a separate petition.

"DCHL has still not furnished bank guarantee. Hence there is no change in circumstances to grant relief to DCHL. No case is made out for interim relief for granting stay on termination. The application seeking stay is a gross abuse of law," Justice Dhanuka said.


The court, however, observed that the legality and validity of the termination would be a subject matter before the arbitrator.

The Deccan Chargers had lost its place in the IPL on October 13 after the high court stayed the arbitrator's order for maintaining status quo in the matter till further hearing, while BCCI declared that the termination of the IPL franchise stands following the court's order.

A day after ending the Deccan Chargers' franchise, the BCCI had begun the process of finding a new IPL team inviting bids in respect of 12 cities -- Ahmedabad, Cuttack, Noida Dharamsala, Indore, Hyderabad, Kanpur, Kochi, Nagpur, Rajkot, RanchI and Vizag.

BCCI Counsel Raju Subramaniam argued "IPL season 6 is going to commence from April next year. There are several good international players from the Deccan Chargers team who will be left high and dry if they are not included in the auction list".

The BCCI Counsel argued that DCHL was given sufficient time to submit the bank guarantee of Rs 100 crore as directed by another judge of the high court. He said "Justice Kathawala had kept DCHL and BCCI's interest in mind and asked them to submit bank guarantee if they wanted to participate in the IPL 6 season."

However, DCHL's failure to submit bank guarantee of Rs 100 crore of a nationalised bank allowed BCCI to initiate action in furtherance to the termination.


Senior counsel S U Kamdar, appearing for DCHL, told the court that the company, which is in financial difficulty, should be allowed to sell the team. "To help BCCI, the company decided to go out of IPL 6 by selling the team. But the cricket board has a problem with that also," he said.

Kamla Landmarc Realty, which had shown interest in buying the IPL franchise, submitted that no prejudice would be caused to BCCI if DCHL was allowed to sell the team and go out of the IPL 6.

Ratnakar Bank, which has lent Rs 55 crores to DCHL, urged the court to give DCHL a chance so that they can negotiate with prospective buyers for the IPL franchise instead of terminating the contract. If they are allowed to sell the franchise then the rights of lenders will be protected, Bank's Counsel Anjan Dasgupta submitted.

BCCI had on September 15 decided to terminate the contract at an emergency IPL Governing Council meeting in Chennai, which was challenged by DCHL in Bombay high court.

The court had on October 1 ordered DCHL to furnish a bank guarantee of Es 100 crore, bear all expenses for IPL 6, including making payments to BCCI towards franchise, players and support team costs. Besides, it was asked to bear the costs of conducting matches and other expenses.


In the event of any default on part of DCHL, BCCI shall be entitled to invoke the bank guarantee to the extent necessary, Justice Kathawala had ruled.

The Deccan Chargers had failed to produce Rs 100-crore bank guarantee before the court on October 12, the condition set by the court for the team's continuance in the IPL, effectively meaning the end of the road for the beleaguered team.

The DCHL, however, approached the same day and secured an order that status quo be maintained. The arbitrator's order had prevented BCCI from going ahead with the termination.

Aggrieved, the Cricket Board then moved the Bombay high court, which stayed the arbitrator's order on October 13, paving the way for the BCCI to go ahead with the termination of the franchise and invite bids for a new team.



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News Network
March 16,2020

Mar 16: With COVID-19 outbreak killing over 5,400 people globally, former Pakistan cricketer Shoaib Akhtar has lashed out at those responsible for making the coronavirus infect humans and blamed China solely for the outbreak.

"I don't understand why you have to eat things like bats, drink their blood and urine and spread some virus across the globe...I'm talking about the Chinese people. They have put the world at stake. I really don't understand how you can eat bats, dogs, and cats. I'm really angry," Akhtar said in a video posted on his Youtube channel.

"The whole world is at risk now. The tourism industry has been hit, the economy is badly affected and the whole world is going towards a lockdown.

"I'm not against the people of China but I'm against the law of animals. I understand this may be your culture but this is not benefitting you now, it is killing humanity. I'm not saying you boycott the Chinese but there has to be some law. You cannot go on and eat anything and everything," he added.

Coronavirus, which originated in China's Wuhan city, has so far spread to more than 100 countries, infecting over 1,30,000 people.

In Pakistan, the number of positive cases reached 28 on Saturday.

Many sporting events, including the Indian Premier League (IPL) and Pakistan Super League (PSL), have been affected by the disease which has now been declared a pandemic by the World Health Organisation (WHO).

While the IPL 2020, which was originally scheduled to start from March 29, has been postponed till April 15, the playoff stage of PSL has been curtailed and will be played behind closed doors.

"The biggest reason for anger is PSL...Cricket returned to Pakistan after so many years, the PSL was happening in our country for the first time now even that is at risk. The foreign players are leaving, it will take place behind closed doors," said Akhtar.

The total number of confirmed coronavirus cases across India has crossed 80 while two people have lost their lives due to the deadly disease. But Akhtar did not have the information and added: "God forbid the virus doesn't reach India. There are around 130 crore people there. I've been in touch with my friends in India and wishing them well."

In PSL, there will be no playoffs and the top four teams will now play semi-finals and then the final on March 17 and 18. The final was originally scheduled to be held on March 22.

"I've also heard that IPL has been postponed till April 15. The hotel industries, travel industries, broadcasters everything will incur losses because of this," he said.

The former Pakistan pacer also called on the world authorities to come out with a new animal protection law so that such diseases don't resurface in the future.

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News Network
April 15,2020

New Delhi, Apr 15: Indian cricket team head coach Ravi Shastri on Wednesday urged people to beat coronavirus by staying at home and by maintaining social distancing. He termed the virus 'mother of all World Cups' and asked people to combat this disease together and win the World Cup of humanity.

Taking to Twitter, Shastri shared a video post where he cited cricket examples to aware people about the seriousness of the COVID-19 pandemic. "As I would know, sports teaches you life lessons that can be applied to just about anything you want to pursue in rest of your life.

Today the COVID-19 has put us in a situation where we got our backs to the wall. To combat this coronavirus is like chasing a World Cup where you give your everything in trying to win it. What's staring you at the face is no ordinary World Cup. This is the mother of all World Cups where not just eleven are playing but 1.4 billion are in the playing arena and competing. Guys we can win this. For that, we have to observe the basics. You have got your Prime Minister leading from the front ahead of the curve like other countries have farmed out," Shastri said.

"You have to obey the orders that come from the top: be it centre, state or the frontline workers who are risking their lives. Two orders that stand out: staying home and maintaining social distancing. It is not easy but to win the game you got to go through the pain to break the chain and see the gain. Come on, guys! let's do it together. Let us get out there in a bruit force of 1.4 billion and beat this corona and get your hands on the World Cup of humanity. Let's do it," he added.

With 1,076 new COVID-19 cases reported in the last 24 hours, India's tally of coronavirus cases has risen to 11,439, said the Union Ministry of Health and Family Welfare on Wednesday.

Out of the total tally, 9,756 cases are active while 1,306 patients have been cured/discharged and migrated. With 38 new deaths reported in the last 24 hours, the death toll rises to 377.

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News Network
February 5,2020

New Delhi, Feb 5: IPL franchise Kolkata Knight Riders (KKR) has denied any financial dealings with the controversial Rose Valley Group except for it being a sponsor of the side's official jerseys in 2012 and 2013.

KKR issued the clarification after the Enforcement Directorate (ED) attached Rose Valley's assets worth over Rs 70 crore on Monday. The attached assets include Rs 11.87 crore bank deposits of Knight Riders Sports Pvt Ltd, that owns KKR, in connection with a money laundering probe.

The franchise said it hopes for the matter to be resolved expeditiously.

"Rose Valley Hotels was one of KKR's IPL jersey sponsors for IPL seasons 2012 and 2013. Rose Valley had paid KKR an approx. amount of Rs 11.87 crore as sponsorship fees," KKR CEO Venky Mysore said in a statement.

"KKR had no other dealings with the Rose Valley Group including Rose Valley’s micro finance business," he added.

The statement added that in July last year, KRSPL (Knight Riders Sports Pvt Ltd), received a "witness summon" from the ED in connection with an investigation relating to the Rose Valley Group, particularly its micro finance business.

"The ED continues the investigation of Rose Valley. KKR continues to cooperate with the authorities in all respects," Mysore said.

"As part of the investigative process, sometime in October 2019, the ED placed a lien on the said amount earlier paid by Rose Valley to KKR," he asserted.

The directors of KRSPL include Shah Rukh Khan's wife Gauri Khan, actor Juhi Chawla's husband Jay Mehta, Mysore and two others.

Mysore was questioned in this case by ED's Kolkata office in October last year.

Apart from KRSPL, the ED attached properties of two other entities -- Multiple Resorts Pvt. Ltd. and Kolkata's St Xavier's College on Monday.

The ED registered an FIR against the Rose Valley group, its chairman Gautam Kundu and others under the Prevention of Money Laundering Act in 2014.

Kundu was arrested by the agency in Kolkata in 2015 and is in judicial custody at present.

The ED has filed multiple charge sheets in Kolkata and Bhubaneswar courts in this connection and total attachments are now worth Rs 4,750 crore.

The group has been charged by the ED and the CBI with "illegally and fraudulently collecting deposits from public with the intention to cheat them by falsely promising high returns on their investment", thereby perpetrating a ponzi-like fraud.

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