New Delhi, July 18: The Board of Control for Cricket in India (BCCI) has been asked to pay Rs 4,800 crore to Deccan Chronicles Holding Ltd (DCHL) over the termination of the company's Indian Premier League (IPL) franchise team Deccan Chargers, by a Bombay High Court-appointed arbitration tribunal.
“A Bombay High Court-appointed arbitration tribunal found, on Friday, illegal the termination of the Deccan Chargers IPL team by the Board of Cricket Control in India (BCCI). It may be mentioned here that the dispute arose in the fifth IPL season, when the BCCI issued a show-cause notice for termination on August 11, 2012, over what the promoters alleged were “trivial matters”, the statement said.
The former IPL franchise Hyderabad Deccan Chargers was terminated in 2012. DC which had won the second IPL which was one of the first original teams of IPL. However, The lawyer further added that the arbitrator also held the termination of the franchise as illegal.
Back on August 11, 2012, BCCI issued a show-cause notice for termination of the franchise to DCHL (aka Deccan Chargers). However, according to the DCHL lawyer, the termination official happened a day before the 30-day expiry period of the granted to respond to the notice. DCHL, thus approached the Bombay High Court appealed that their termination was arbitrary. In September 2012, the HC also appointed retired Supreme Court Justice C K Thakker as the sole Arbitrator to determine the matter.
“The damages and compensation allowed by the arbitrator amount to Rs. 4,814.67 crore plus 10 percent interest per year from the date of the initiation of arbitration proceedings (in 2012) plus the cost of Rs. 50 lakh. The BCCI's counterclaim was allowed in part. BCCI has yet to comment on the award,” the statement said.