By CricketCountry Staff
The Indian Premier League Governing Council will meet on Tuesday to decide on Deccan Chargers franchise, who allegedly have flawed rules by mortgaging itself to banks, which has enabled them to hold on during a tight financial situation.
Published: Aug 14, 2012, 10:09 AM (IST)
Edited: Aug 14, 2012, 10:09 AM (IST)
The IPL Governing Council discussed the issue on August 9 but failed to arrive at a decision © AFP
By CricketCountry Staff
New Delhi: Aug 14, 2012
The Indian Premier League Governing Council will meet on Tuesday to decide on Deccan Chargers franchise, who allegedly have flawed rules by mortgaging itself to banks, which has enabled them to hold on during a tight financial situation.
As per the rules of the IPL, the owners of franchises are not allowed to motgage their teams and use the incoming funds for any other purposes.
The Times of India reported that members of the IPL governing council were informed by some lenders a few days ago about their exposure to the IPL team, which is now a part of Deccan Chronicles Holdings.
The report added that the banks also wanted the Governing Council to help them get a security for their loan to the franchisee.
The cricket body had a meeting on the same issue on August 9 but failed to have any solution.
According to the sources, Deccan Chargers have taken a loan of Rs 480 crore from one private bank and Rs 170 crore from another by mortgaging their franchise.
Also, apart from these two loans, funds from other creditors are also said to be locked up in Deccan Chargers.
