Submit :
News                      Photos                     Just In                     Debate Topic                     Latest News                    Articles                    Local News                    Blog Posts                     Pictures                    Reviews                    Recipes                    
Ipl 2018
Can you believe it: IPL team Chennai Super Kings valued at just Rs. 5 lakh by its owners India Cements
This is amazing, unbelievable and equally shocking. In terms of a story running on social media and according to variou reports, India Cements had sold the Mahendra Singh Dhoni-led IPL franchise to a subsidiary in February at that weird price.

It is pertinent to add that under the existing provisions of the BCCI rule book, 5% of the sale price of any team must be given to the board. Therefore, in case the given valuation of Rs. 5 lakh is to be accepted, then the Board got just a meagre amount Rs. 25,000 from the sale of the Chennai Super Kings. This is simply not correct.

Though, it has been reported that the IPL Governing Council has refused to accept this valuation and has not given its consent to the sale of the team. A report in the English daily Indian Express reveals that the sale was done in at an IPL Governing Council meeting in February, when the BCCI was in limbo.

The move to sell CSK began after the Supreme Court issued an order of Srinivasan's ineligibility to stand for re-election as BCCI president.

Thereafter the elections were held in March and the new IPL Governing Council under current president Jagmohan Dalmiya met on Monday when this huge anomaly was noticed. The report further says that "Jyothiraditya Scindia, who was also present as a special invitee during the meeting, was the first to raise the issue, insisting that it wasn't possible for CSK to be valued at Rs 5 lakh when India cements has been paying an annual franchise fee of Rs 40 crore to the BCCI."

It is not out of place to mention that according to a report published in India Today, in January this year, the Supreme Court had ruled that BCCI officials had to pick between running cricket or owning teams. Since Srinivasan was accused of conflict of interest, the court order prompted the transfer of CSK ownership. And then CSK was transferred to a subsidiary called Chennai Super Kings Cricket Ltd.

It has been decided by the India Cements Board that the subsidiary will be owned by existing shareholders on a proportionate basis. Public holds 70% shares India Cements. Promoters hold 28 per cent and N Srinivasan holds 0.14 per cent of the shares.

Email Id
Verification Code
Email me on reply to my comment
Email me when other CJs comment on this article
Sign in to set your preference
merinews for RTI activists

Not finding what you are looking for? Search here.