Home > News >

Deccan Chargers’ termination order stands, confirms BCCI

IPL franchise Deccan Chargers sold

Mumbai based real-estate company Kamla Landmarc bought the Hyderabad franchise © AFP

Mumbai: Oct 13, 2012 

 

After a month long legal battle, the cash-strapped Deccan Chargers lost its status as an IPL team after the Bombay High Court stayed the order of Arbitrator for maintaining status quo on the matter till further hearing.

 

The beleaguered owners of Deccan Chargers had yesterday failed to produce a Rs 100-crore bank guarantee before the Bombay High Court, a condition that had been set for the struggling team’s survival in the league. They later approached the Court-appointed Arbitrator who had passed the order of status quo.

 

“BCCI moved an appeal against the Order of Arbitrator and the same was heard today morning. The Hon’ble High Court was pleased to stay the Order of Arbitrator after hearing both the parties”, the BCCI said in a  statement.

 

“Thus, the termination of Deccan Chargers franchise stands”, the BCCI said, ending the uncertainty on the fate of the team which has run into huge financial problems.

 

Deccan Chronicle Holdings Limited’s failure to furnish the guarantee money before the 5pm deadline yesterday effectively meant that the BCCI’s termination of the team stood and the Board was free to float the tender for a new franchise. But the Arbitrator’s order prvented BCCI from going ahead with its termination process.

 

“The termination of Deccan Chargers franchise was challenged in the Hon’ble Bombay High Court by the DCHL pending the arbitration. A Conditional Order of stay was granted by the Hon’ble High Court pending arbitration on 1st October 2012″.

 

“The condition to give BCCI a Bank Guarantee of a Nationalized Bank for Rs 100 Crores by 5.00 p.m. on 12.10.2012 to cover expenses of IPL 6, was breached by DCHL”, the BCCI statement said. 

 

 DCHL, the owner of the franchise, had on Friday sought an extension to the deadline until October 15 to submit an “irrevocable and unconditional” bank guarantee but the High Court refused to grant further time.

 

Justice S J Kathawala had declined to give them more time, saying the earlier deadline of October 9 had been extended by three days to accommodate them.

 

The court had on October 1 asked DCHL to give the bank guarantee which would be in force for a period of one year.

 

The BCCI had last month taken the decision to terminate the contract after an emergency IPL Governing Council meeting in Chennai. The DCHL had moved the Bombay High Court challenging the termination.

 

The court had at an earlier hearing ordered DCHL to bear all expenses for IPL 6 including making payments to BCCI towards franchise, players and support staff. 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 said.

 

The court had on September 26 appointed retired Supreme Court judge C K Thakkar as arbitrator to resolve within three months the dispute between BCCI and DCHL over the termination of Deccan Chargers franchise.

 

DCHL had on Friday informed the Bombay Stock Exchange about its decision to sell the IPL franchise to a Mumbai-based real estate firm Kamla Landmarc Real Estate Holdings Ltd for an undisclosed sum. The fate of the deal remained uncertain now.

 

Deccan Chargers was hoping to resolve its financial problems by selling the team but it rejected the sole bid it received at the auction in Chennai on September 13.

 

PVP Ventures Limited, the Hyderabad-based urban infrastructure and film production company, had offered Rs 900 crores but Deccan rejected it finding the terms of payment and the amount unacceptable. DCHL purchased the Hyderabad franchise for Rs 428 crore in 2008. (PTI)

World T20 League 2014

Sep 20, 2014 (16:00 IST)   at Mohali

World T20 League 2014

Sep 20, 2014 (20:00 IST)   at Mohali

World T20 League 2014

Sep 21, 2014 (16:00 IST)   at Hyderabad

World T20 League 2014

Sep 21, 2014 (20:00 IST)   at Hyderabad

World T20 League 2014

Sep 22, 2014 (20:00 IST)   at Bengaluru

More

World T20 League 2014

Sep 19, 2014  at Raipur

NK won by 33 runs (D/L method)

World T20 League 2014

Sep 18, 2014  at Mohali

Kings XI Punjab won by 5 wkts

World T20 League 2014

Sep 17, 2014  at Hyderabad

Kolkata Knight Riders won by 3 wkts

World T20 League 2014

Sep 16, 2014  at Raipur

Northern Knights won by 6 wkts

World T20 League 2014

Sep 16, 2014  at Raipur

Lahore Lions won by 55 runs

Photos

CSK vs KKR, Match 1 CLT20 2014

Videos

Anderson plays golf with Jaguar competition winners

Pakistan selectors thinking of dropping Younis Khan from ODI squad

Champions League T20 (CLT20) 2014: Kane Williamson’s ton for Northern Knights against Cape Cobras proves that T20 isn’t all about slogging

Furious MS Dhoni and CSK check out of Hyderabad hotel following Biryani episode

Herbert Chang: The Jamaican of Chinese origin who wasted his life in South Africa

Champions League T20 (CLT20) 2014: Kings XI Punjab’s batting gets the extra punch with Thisara Perera’s inclusion

Champions League T20 Champions League T20 2014 Chennai Super Kings CLT20 CLT20 2014 CSK vs KKR Hobart Hurricanes Hobart Hurricanes vs Kings XI Punjab Kings XI Punjab Kings XI Punjab vs Hobart Hurricanes KKR vs CSK Kolkata Knight Riders Northern Knights Pakistan

West Indies women defeat New Zealand women by 4 runs in dramatic last-over finish

Ian Healy’s son speaks about his upcoming U-19 tour to Sri Lanka

Pakistan selectors thinking of dropping Younis Khan from ODI squad

Ashwell Prince plays down talk of ‘racist’ abuse

Ian Bell out of county final against Durham due to toe injury

Dolphins vs Perth Scorchers, Match 4, CLT20 2014 — Key battles

Kings XI Punjab (KXIP) vs Barbados Tridents CLT20 2014 Match 5: KXIP’s likely XI

Champions League T20 (CLT20) 2014: Kane Williamson’s ton for Northern Knights against Cape Cobras proves that T20 isn’t all about slogging

Northern Knights vs Cape Cobras in CLT20 2014, 3rd match: 5 talking points

Ramesh Saxena: The Bihar mainstay with a restricted Test career

Fan of the Day

Niharika Shah

Niharika Shah

669 Posts | 6 Fans

Video Highlights: Kings XI Punjab (KXIP) vs Hobart Hurricanes (HH) CLT20 2014

X-Men spin-off ‘Deadpool’ to release on February 12, 2016

iPhone 6 launch: Tim Cook kicks off sale at Palo Alto Retail Store, obliges fans with selfies

Health Minister Harsh Vardhan confident of lowering child mortality before 2030

Ashish Sharma: Karan Johar is the coolest judge on Jhalak Dikhhla Jaa 7!

No, you can’t charge your iPhone in a microwave

Jammu & Kashmir floods: Bill Gates to donate USD 7 lakh for flood victims

Kunal Kapoor’s next on water scarcity similar to Sushant Singh Rajput’s Paani?

Jitu Rai wins first gold medal for India in 50m Pistol Men’s finals of Asian Games 2014

Also on cricketcountry.com

Play Fantasy Cricket & Win

Cash Daily! Click here