BCCI Loses Court Case, Will Have To Pay IPL Kochi Team Rs.538 Crore

MUMBAI (IANS)- The Board of Control for Cricket in India (BCCI) has faced a significant setback. The Bombay High Court has upheld an arbitral award, directing the BCCI to pay Rs 538 crore to the defunct Indian Premier League franchise, Kochi Tuskers Kerala.

The court rejected the BCCI’s challenge to the arbitral ruling in this long-standing IPL franchise controversy, which has spanned over a decade. BCCI officials were unavailable for comment following the decision.

The dispute originated in 2011 when the BCCI terminated the Kochi franchise’s contract after just one IPL season. The Board accused the team of a contract breach for failing to submit a bank guarantee on time, a requirement under their agreement. The franchise, purchased for Rs 1,550 crore in 2010, had reportedly defaulted on its annual payment due to a falling out among its owners.

The matter proceeded to arbitration. In 2015, the arbitration tribunal ruled in favor of the Kochi Tuskers, ordering the BCCI to pay Rs 538 crore. This amount comprised Rs 384 crore to KCPL and Rs 153 crore to Rendezvous Sports World, the owners of the Kochi franchise.

Unhappy with this arbitral award, the BCCI chose to challenge the tribunal’s verdict in court.

On June 18, the Bombay High Court upheld the arbitrator’s decision. In its ruling, the High Court stated: “The jurisdiction of this Court under Section 34 of the Arbitration Act is very limited. BCCI’s endeavor to delve into the merits of the dispute is in teeth of the scope of the grounds contained in Section 34 of the Act. BCCI’s dissatisfaction as to the findings rendered in respect of the evidence and/or the merits cannot be a ground to assail the Award.”

Kochi Tuskers Kerala participated in the 2011 IPL season, finishing eighth among 10 teams.