navanavonmilita
2010-05-24 22:56:15 UTC
Of Cricket, Scandals and Scoundrels: Sid Harth
http://navanavonmilita.wordpress.com/of-cricket-scandals-and-scoundrels-sid-harth/
Modi's defence: BCCI in on IPL deals
Gaurav Choudhury, Hindustan Times
New Delhi, May 25, 2010
First Published: 00:22 IST(25/5/2010)
Last Updated: 00:42 IST(25/5/2010)
For the fortnight following Lalit Modi's dramatic just-after-midnight
suspension from the post of Indian Premier League chairman on April
26, everyone from the tax authorities to the media, from irate
bloggers to unnamed "sources" in the Enforcement Directorate,
speculated on who really owned the IPL teams.
According to the Indian cricket board (BCCI), only one man (Modi) had
foreknowledge of the gory details and he wasn't talking. However,
according to Modi's reply to the first showcause notice issued by the
BCCI, every detail was known to the BCCI-IPL brass and they had signed
off on ownership details, including those pertaining to change of
ownership.
Modi's 156-page, triple-spaced reply 10 days ago, to the BCCI's 35-
page showcause notice contains detailed minutes of Governing Council
meetings and documents he says have been signed off on by top IPL and
BCCI officials.
It also has one very important annexure — the 'secret' ownership
details of teams, a copy of which is with the Hindustan Times.
The bulwark of Modi's defence is illustrations, anecdotes and
incidents supported by detailed documentation, which Modi's camp says
it will implicate senior BCCI-IPL officials and damage their
credibility. Modi's camp insists that the fact that BCCI is yet to
respond shows that it has something to hide.
BCCI officials were unwilling to comment till Modi replies by May 31
to the second showcause notice issued to him. However, a source said
that the BCCI believed Modi's reply to be "weak".
"He has concentrated on the charge of proxy ownership of three teams,
which, in any case, is up to the ED to prove. Apart from that, he has
nothing of substance regarding the $80m facilitation fee, the arm-
twisting tactics and threats used by him to intimidate franchises or
the other deals entered into by him."
HT has learnt in addition to the '11,000-odd supporting documents'
that are supposed to show that Modi was neither "taking unilateral
decisions" nor keeping other officials "in the dark about deals on
behalf of the IPL", he has directly taken on N Srinivasan in his
reply.
He has reportedly stated Srinivasan is in serious conflict of interest
because of his position in India Cements — therefore being "chief
promoter of Chennai Super Kings" — and being BCCI secretary (and part
of the IPL decision-making process).
Interestingly, the only team for which Modi has not provided ownership
details is Chennai Super Kings.
"He is free to make whatever charges he wants, but Srinivasan is not
being charged here," said a source.
"Plus, of the 9,000 documents, about 8,000 come from AC Muthiah's
petition (former BCCI president who has petitioned the Supreme Court
against the 'conflict of interest' specifically in Srinivasan's case),
all the franchise papers and the tender documents. Of the reply
itself, if you make it single-spaced, it will be only 50 pages instead
of 150."
Modi though, has made his point-by-point rebuttal to the BCCI's
chargesheet.
For instance, in response to the Board saying it was unaware of the
team's shareholding pattern and the fact that Modi's family members
were shareholders, he has affixed a newspaper report from May 11, 2008
quoting IPL vice-chairman Niranjan Shah where he defends Modi's
brother-in-law partly owning Rajasthan Royals.
Shah is quoted as saying there is no conflict of interest.
He also countered the BCCI's claim that the IPL governing council
meeting was legal.
He attached a December 2009 newspaper report in which Manohar is
saying: "Lalit is appointed by the general body till 2012. There is no
reason, power or authority upon us to remove Lalit. There could be
differences in issues between the board members, but that does not
make them enemies."
There's lots more. Meanwhile, in a game of brinkmanship unlike any
other, Modi's high-powered team of lawyers, including Harish Salve,
Ram Jethmalani, Tony Jethmalani, Amit Desai, Swadeep Hora, Venkatesh
Dhond, Harish Salve, Shailesh Mendon and Mehmood Abdi, are collecting
and collating ammunition to fortify his second reply.
But if the BCCI's frazzled, no one's showing it.
http://www.hindustantimes.com/Modi-s-defence-BCCI-in-on-IPL-deals/Article1-548068.aspx
Governing Council not party to most Modi decisions: Manohar
Mumbai, April 26, 2010
First Published: 18:04 IST(26/4/2010)
Last Updated: 18:06 IST(26/4/2010)
BCCI president Shashank Manohar today rubbished Lalit Modi's claims
that all IPL decisions were taken collectively by the Governing
Council, saying that most of the time the suspended Commissioner acted
unilaterally.
"An allegation is being made and the media is saying all the members
of the (IPL) Governing Council are party to all
these decisions. Now most of the contracts which are entered into are
entered into without the consent of the governing
council," Manohar told reporters here.
The BCCI chief said Modi would informed about contracts after he had
signed them on behalf of IPL and the other
parties and the GC will have to pass them as there were no other
alternatives.
"And they are brought before the Governing Council after the contracts
are signed. So the Governing Council has no
other option and are presented with a fait accompli," Manohar said
while explaining about the murky deals that have come under the
scanner of the Income Tax and Enforcement Directorate departments.
To prove his point, Manohar said the contract for the IPL Awards
function held here on April 23 was signed only the
previous night and the document was not available with the IPL CEO
Sundar Raman when he summoned for it soon after reaching Mumbai from
Nagpur last week.
http://www.hindustantimes.com/special-news-report/ModivsTharoor/Governing-Council-not-party-to-most-Modi-decisions-Manohar/Article3-535986.aspx
Lalit Modi to fight suspension, calls it illegal: Report
Agencies
Mumbai, April 26, 2010
First Published: 19:39 IST(26/4/2010)
Last Updated: 20:45 IST(26/4/2010)
IPL Czar Lalit Modi today called his suspension illegal and decided to
fight it, according to media reports. He tweeted that he was still the
IPL Chairman, just suspended. He was dethroned in a swift counter-
attack by the BCCI, which accused him of rigging bids for teams.
Suspended from his high-profile position in the middle of the night,
ironically minutes after his third successful IPL concluded here, Modi
was this morning replaced as interim Chairman by a virtual unknown,
businessman Chirayu Amin one of the vice-presidents of BCCI.
The suspension pre-empted 46-year-old Modi's last ditch attempt to
outmanouvre his detractors by announcing last night that he would
chair today's meeting of the 14-member IPL Governing Council that was
to decide his fate. The suspension having been communicated to him
through e-mail ensured his absence.
The BCCI bosses then met at the Board's headquarters here for 90
minutes after which they announced that Modi had been given 15 days
time to respond to charges such as irregularities in the initial bids
of Rajasthan Royals and Kings XI Punjab and rigging the bids of the
two new franchises Kochi and Pune.
Other charges include irregularities in the broadcast deal,
irregularities in the internet deal and his behaviorial pattern.
Modi, never short of sound bytes or tweets, remained mum and avoided
the media. He was said to be planning his response.
Addressing a press conference after the meeting, BCCI President
Shashank Manohar gave a clean chit to Union Minister Sharad Pawar,
saying there is no involvement of any of his relatives either in the
present or the initial bids.
He ruled out any political interference in the functioning of the BCCI
saying as far he was concerned nobody can change his decisions.
At the meeting, a three-member committee of former players -- Sunil
Gavaskar, M A K Pataudi and Ravi Shastri --was appointed to discuss
the modalities of withholding three foreign and four Indian players
after discussing the issue with franchises.
Manohar said many important documents were missing from the IPL and
BCCI offices.
"Many of the records are missing. The IT is asking for documents. We
don't have them. We have asked BCCI CAO Prof Ratnakar Shetty to look
into the missing records and papers," he said. (With PTI inputs)
http://www.hindustantimes.com/special-news-report/News-Feed/Lalit-Modi-to-fight-suspension-calls-it-illegal-Report/Article1-535999.aspx
Shocking details of Modi’s dubious deals and ways revealed
Kadambari Murali Wade , Hindustan Times
New Delhi, April 26, 2010
First Published: 23:53 IST(26/4/2010)
Last Updated: 02:39 IST(27/4/2010)
If the other members of the Indian Premier League’s Governing Council
(GC) are to be believed, suspended chairman Lalit Modi was involved in
a host of irregularities, among the most shocking of which was the way
he allegedly tried to arm-twist Rendezvous Sports World, the promoters
of the Kochi franchise, into withdrawing their successful bid.
“He told them he would engineer an environmental litigation against
them, which would prevent them from building a new stadium in Kochi,”
said a GC member. “He also said he could have them disqualified for
not conforming to some standard or the other, and have the franchise
taken away from Kochi and awarded to some distant town, either Bhiwani
or Guwahati.”
Modi reportedly told Rendezvous he would “remove the cap on players'
salaries so that Rendezvous would not be able to afford them, or
compete with other (much wealthier) franchises” according to another
GC member. "He said he would make a rule that would allow teams to
retain seven existing players in the next season, so the best would be
unavailable to Kochi,” the member added.
An official said Rendezvous had detailed these threats in writing and
would be asked to appear before a BCCI inquiry committee looking into
the charges against Modi.
Hindustan Times spoke to four GC members in an attempt to piece
together the reasons for Modi's sudden fall from grace. All asked not
to be identified, as an internal inquiry against Modi is on and he is
yet to respond.
One revealed how Modi tried to rig the players' auction on March 7 by
inserting a clause in the tender document that no one else knew about.
The clause said corporations making bids would have to have a turnover
of over $1 billion (Rs 4600 crore) and present a Rs 460-crore bank
guarantee upfront. “By 5pm on March 7, after several telephonic
exchanges, we found that basically, only two companies (Videocon and
the Adani Group of Ahmedabad) met his conditions, so we cancelled that
auction. Shashank (BCCI president Manohar) reprimanded Lalit and we
decided that on the day of the new auction (March 21), the entire GC
would be present to accept and open the bids. This was the time we
started getting suspicious.”
Sources said at no stage were the cancelled bids from the March 7
auction returned to the BCCI, nor were copies kept in the IPL office.
“Modi received them in person and kept them in his own office at the
Four Seasons hotel in Mumbai. This was highly irregular,” said a GC
member.
There was also the TV rights issue. According to sources, these were
given to Sony (through a subsidiary, MSM Satellite Singapore), in
January 2008 and “unilaterally cancelled by Modi in 2009”. “In March
2009, just ahead of IPL II, they were given to World Sport Group,
Mauritius, and neither the GC nor the BCCI was informed,” said the
source.
“Modi parked the rights in Mauritius for 10 days with WSG and then
renegotiated an agreement with MSM. It was a private arrangement,
signed by him without our knowledge. We didn’t have the documents. In
fact, even when the income tax department asked us for the documents
at 11am today, we had to say we didn’t have them,” the GC member told
HT on Monday.
A clause in the new agreement said that if MSM owed any money to WSG
Mauritius, their contract could be cancelled. This, a source said, was
used by Modi to “virtually blackmail” MSM into paying WSG a
facilitation fee. “MSM has admitted to us privately only now that they
were forced to sign this at gunpoint (metaphorically speaking).”
Officially, however, MSM stated in a press statement on Friday that
they negotiated “in an open and transparent manner and in keeping with
applicable laws” and paid a “facilitation fee of Rs. 425 crore” to WSG
Mauritius to “secure business interests” and regain the IPL
broadcasting rights for the Indian subcontinent.
But BCCI officials maintain that this facilitation fee is the same
money that government authorities have traced from “bank to bank to an
account in the British Virgin Islands”. This could not be
independently confirmed.
Another official told HT of how various digital and mobile rights
“were allowed to be sold and re-sold” without the knowledge or consent
of the Board. “It was smart, the way one company conveniently gave way
to another company and then another, so that ultimately, all the
rights landed up with the company (Global Cricket Ventures) in which
his son-in-law’s private equity fund held 50 per cent of the equity,”
a GC member said.
Again, the problem here lay in the non-disclosure of relationships.
“At no stage did Modi tell the Governing Council, officially or
otherwise, that his son-in-law or ‘co-brother-in-law’ were involved in
the IPL. That’s a direct relationship,” said an official.
“Who is he to make accusations of conflict of interest? In (BCCI
secretary) Srinivasan’s case, he asked and got permission before the
first auction, plus, he’s not a majority shareholder in India Cements
(who own the Chennai Super Kings).”
The charge that Council members say will not be easy to prove is that
Modi owns shares, by proxy, in two, at least three teams, including
the Rajasthan Royals and the Kings XI Punjab. The part that can be
proved, they say, is that he “allowed irregularities” in the Royals’
ownership process.
“We were under the impression that the franchisee was Manoj Badale of
Emerging Media, as he made the successful bid. After that, he in turn
signed with Jaipur IPL Cricket Limited, out of nowhere. Again, we were
unaware,” a GC member said. This point was also made in detail by BCCI
president Shashank Manohar.
Meanwhile, though the irrepressible Modi was back to tweeting by
Monday evening, he would not return calls requesting interviews or
reactions. Earlier, when contacted on his UK number, Manoj Badale had
earlier directed HT to his PR firm, which did not return calls either.
Venu Nair of WSG has not responded to text messages seeking
clarifications.
http://www.hindustantimes.com/special-news-report/News-Feed/Shocking-details-of-Modi-s-dubious-deals-ways-revealed/Article1-536119.aspx
Mallya backs Modi
Press Trust Of India
Mumbai, April 24, 2010
First Published: 15:30 IST(24/4/2010)
Last Updated: 15:32 IST(24/4/2010)
Royal Challenger Bangalore owner Vijay Mallya on Saturday threw his
weight behind beleaguered Lalit Modi and said the IPL Commissioner
should be given a chance to defend himself in the wake of the raging
controversy.
"If there is any prima facie evidence of wrong doing and then do
whatever needs to done thereafter. But right now there is too much
speculations, things are actually way way out of control," Mallya told
reporters after meeting former BCCI president Sharad Pawar.
"I think Modi must be given some opportunity at some point of time to
explain himself," Mallya said.
"This whole controversy has become an unnecessary toofan. Yes, there
may be some questions about the way in which IPL runs. Clearly some
governing council members may not be happy. Let all that be properly
investigated."
"But to rubbish the IPl as a league then start casting aspersions on
owners, alleging black money involvement, alleging funds from tax
havens. I think this is stretching things way way too far," he added.
The liquor baron also rubbished the match-fixing allegations and said
government is welcome to hold an inquiry.
"Yesterday, even something new appeared about match fixing. This is
utter rubbish. Several of our political leaders are calling the IPL
gambling den which is completely not true," he said.
"In case of foreign direct investment in our country, money comes from
Mauritius or Switzerland, no body questions it. How can it certainly
become a big issue when it comes to IPL investigations."
"The Finance Ministry I had heard on TV has promised a full inquiry
into all this, let the inquiry be conducted. Till then, I don't think
we should jump into conclusions."
Mallya was particularly unhappy at the way politicians are questioning
the sanctity of the IPL and using it as a platform to get political
mileage.
"If they don't understand success of the world's sixth largest
sporting league, they should do their homework. They should look at
other competible league in the world then figure out what the IPL
really is.
"I don't think they even understand the business model of IPL. It is
all very easy to make allegations but I think we should all calm down
till the investigations is done and then conclude what we need to.
"The ultimate part is too many people are jumping on to the bandwagon.
Several political parties are now using this as an excuse to make a
big issue out of this. Let them wait for an investigation to be
completed.
Modi, who is currently facing the heat from the BCCI and government
for financial irregularities in running the IPL, had asked to postpone
the April 26 IPL Governing Council by few days but the BCCI has not
agreed to to so.
http://www.hindustantimes.com/News-Feed/mumbai/Mallya-backs-Modi/Article1-535205.aspx
HC seeks income details of T-20 matches in Maharashtra
Press Trust Of India
Mumbai, April 22, 2010
First Published: 19:10 IST(22/4/2010)
Last Updated: 19:18 IST(22/4/2010)
Seeking to know whether Indian Premier League tournament was a
"profiteering" venture, the Bombay High Court today asked BCCI and IPL
to give information on the income generated from T-20 matches that
were played in Maharashtra.
The court's directive came in response to a PIL filed by Shiv Sena MLA
Subhash Desai, demanding that the state collect entertainment tax from
the IPL.
A division bench of Justices PB Majmudar and Rajesh Ketkar also asked
the IPL to maintain accounts of remaining matches in the current
season which would take place in the state.
The High Court directed both the cricket bodies to furnish copies of
their respective constitutions, and memorandum of articles at the next
hearing on April 26.
Among other things, the court has sought information as to "whether
IPL is a profiteering activity...The manner in which IPL and BCCI are
functioning in organising T20 matches", as well as how BCCI "controls"
IPL.
On reports that IPL tickets are priced at as high as Rs 40,000, the
court also sought to know the ticket rates.
Desai's petition alleges the government decided to levy tax on IPL at
a cabinet meeting in January but the decision was not implemented.
However, government pleader Dhairyashil Nalavade told the court today
that only discussion was held on this issue and a decision had not
been taken.
http://www.hindustantimes.com/specials/cricket/IPL/HC-seeks-income-details-of-T-20-matches-in-Maharashtra/mumbai/SP-Article10-534588.aspx
Bombay HC asks IPL, BCCI to furnish income deatils earned from T-20
matches
Press Trust Of India
Mumbai, April 22, 2010
First Published: 18:40 IST(22/4/2010)
Last Updated: 20:11 IST(22/4/2010)
Seeking to know whether Indian Premier League tournament was a
"profiteering" venture, the Bombay High Court on Thursday asked BCCI
and IPL to give information on the income generated from T-20 matches
that were played in Maharashtra.
The court's directive came in response to a PIL filed by Shiv Sena MLA
Subhash Desai, demanding that the state collect entertainment tax from
the IPL.
A division bench of Justices P B Majmudar and Rajesh Ketkar also asked
the IPL to maintain accounts of remaining matches in the current
season which would take place in the state.
The High Court directed both the cricket bodies to furnish copies of
their respective constitutions, and memorandum of articles at the next
hearing on April 26.
Among other things, the court has sought information as to "whether
IPL is a profiteering activity...the manner in which IPL and BCCI are
functioning in organising T20 matches", as well as how BCCI "controls"
IPL.
On reports that IPL tickets are priced at as high as Rs 40,000, the
court also sought to know the ticket rates.
Desai's petition alleges the government decided to levy tax on IPL at
a cabinet meeting in January but the decision was not implemented.
However, government pleader Dhairyashil Nalavade told the court today
that only discussion was held on this issue and a decision had not
been taken.
http://www.hindustantimes.com/special-news-report/News-Feed/Bombay-HC-asks-IPL-BCCI-to-furnish-income-deatils/Article1-534570.aspx
BCCI ready to take harsh decisions: Shukla
Press Trust Of India
New Delhi, April 21, 2010
First Published: 13:05 IST(21/4/2010)
Last Updated: 13:07 IST(21/4/2010)
Faced with a defiant Lalit Modi who is refusing to step down as IPL
Commissioner, the BCCI on Wednesday talked tough and said it would not
hesitate to take harsh decisions to protect its image which has taken
a hit due to allegations of financial irregularities.
BCCI's media and finance committee chairman Rajiv Shukla said if
situation demands tough decisions, they would be taken when the IPL's
Governing Council meets on April 26.
"The question of people refusing to back down or not, they don't
matter. After the meeting between BCCI President Shashank Manohar and
Sharad Pawar yesterday, it has been decided that in the April 26
Governing Council meeting, we will sit together and unanimously decide
what to do," Shukla told reporters in New Delhi.
"These decisions would in the interest of cricket and the BCCI. No
matter how harsh they might seem, decisions would be taken to protect
the BCCI and cricket's image in the country. We have never compromised
on our image in the past 60 years and there would be no compromise
this time too," he added.
Modi, who is facing allegations of financial irregularities and
favouring family and friends in franchise bids, has so far refused to
step down from his post despite mounting pressure.
The skeletons started tumbling out after Modi's tweets on the
shareholding pattern of the new Kochi franchise disclosed that former
junior foreign minister Shashi Tharoor's close friend Sunanda Pushkar
had a 'sweat equity' worth Rs 70 crore in the team.
Tharoor had to resign as a result but Modi is also in trouble after
damaging revelations of his alleged 'silent' stakes in at least three
IPL teams. Besides, Modi is also facing accusations of money
laundering and betting in the IPL.
A concerned BCCI has been in damage control mode ever since and there
are indications that the Board's top brass wants Modi out after the
IPL ends on April 25.
http://www.hindustantimes.com/News-Feed/cricketnews/BCCI-ready-to-take-harsh-decisions-Shukla/Article1-534011.aspx
BCCI itself is responsible for IPL controversy: Muthiah
Press Trust Of India
Chennai, April 20, 2010
First Published: 22:51 IST(20/4/2010)
Last Updated: 17:48 IST(22/4/2010)
Holding the Indian Cricket Board responsible for all the mess that IPL
is in today, former BCCI President AC Muthiah today demanded that all
the officials having a stake in the IPL franchisees should no more be
a part of the Board.
Muthiah claims he had raised the issue of BCCI insiders having
commercial interest in the IPL but his suggestions were not heeded and
instead rules were changed to help certain people.
"I feel to a larger extent the Members of BCCI have failed in their
responsibilities and they had consciously allowed themselves to be
exploited by certain groups by amending the byelaws of the Society.
"BCCI should ensure all those who have some stake or interest either
directly or indirectly should be kept away from BCCI, so that BCCI
shall perform independently," Muthiah said in a statement.
Muthiah was indirectly taking a dig at BCCI Secretary N Srinivasan,
who is defacto owner of Chennai Super Kings as he is Vice-Chairman and
Managing Director of India Cements Ltd which owns the franchise.
"Just expelling one or two members will not be a solution to the
present episode," he added.
The former BCCI president said he will take the matter to the Apex
court and suggested that Board should bar officials in its affiliated
state associations from having any commercial interests either
directly or indirectly in IPL franchise.
http://www.hindustantimes.com/special-news-report/ModivsTharoor/BCCI-itself-is-responsible-for-IPL-controversy-Muthiah/Article3-533813.aspx
...and I am Sid Harth
http://navanavonmilita.wordpress.com/of-cricket-scandals-and-scoundrels-sid-harth/
Modi's defence: BCCI in on IPL deals
Gaurav Choudhury, Hindustan Times
New Delhi, May 25, 2010
First Published: 00:22 IST(25/5/2010)
Last Updated: 00:42 IST(25/5/2010)
For the fortnight following Lalit Modi's dramatic just-after-midnight
suspension from the post of Indian Premier League chairman on April
26, everyone from the tax authorities to the media, from irate
bloggers to unnamed "sources" in the Enforcement Directorate,
speculated on who really owned the IPL teams.
According to the Indian cricket board (BCCI), only one man (Modi) had
foreknowledge of the gory details and he wasn't talking. However,
according to Modi's reply to the first showcause notice issued by the
BCCI, every detail was known to the BCCI-IPL brass and they had signed
off on ownership details, including those pertaining to change of
ownership.
Modi's 156-page, triple-spaced reply 10 days ago, to the BCCI's 35-
page showcause notice contains detailed minutes of Governing Council
meetings and documents he says have been signed off on by top IPL and
BCCI officials.
It also has one very important annexure — the 'secret' ownership
details of teams, a copy of which is with the Hindustan Times.
The bulwark of Modi's defence is illustrations, anecdotes and
incidents supported by detailed documentation, which Modi's camp says
it will implicate senior BCCI-IPL officials and damage their
credibility. Modi's camp insists that the fact that BCCI is yet to
respond shows that it has something to hide.
BCCI officials were unwilling to comment till Modi replies by May 31
to the second showcause notice issued to him. However, a source said
that the BCCI believed Modi's reply to be "weak".
"He has concentrated on the charge of proxy ownership of three teams,
which, in any case, is up to the ED to prove. Apart from that, he has
nothing of substance regarding the $80m facilitation fee, the arm-
twisting tactics and threats used by him to intimidate franchises or
the other deals entered into by him."
HT has learnt in addition to the '11,000-odd supporting documents'
that are supposed to show that Modi was neither "taking unilateral
decisions" nor keeping other officials "in the dark about deals on
behalf of the IPL", he has directly taken on N Srinivasan in his
reply.
He has reportedly stated Srinivasan is in serious conflict of interest
because of his position in India Cements — therefore being "chief
promoter of Chennai Super Kings" — and being BCCI secretary (and part
of the IPL decision-making process).
Interestingly, the only team for which Modi has not provided ownership
details is Chennai Super Kings.
"He is free to make whatever charges he wants, but Srinivasan is not
being charged here," said a source.
"Plus, of the 9,000 documents, about 8,000 come from AC Muthiah's
petition (former BCCI president who has petitioned the Supreme Court
against the 'conflict of interest' specifically in Srinivasan's case),
all the franchise papers and the tender documents. Of the reply
itself, if you make it single-spaced, it will be only 50 pages instead
of 150."
Modi though, has made his point-by-point rebuttal to the BCCI's
chargesheet.
For instance, in response to the Board saying it was unaware of the
team's shareholding pattern and the fact that Modi's family members
were shareholders, he has affixed a newspaper report from May 11, 2008
quoting IPL vice-chairman Niranjan Shah where he defends Modi's
brother-in-law partly owning Rajasthan Royals.
Shah is quoted as saying there is no conflict of interest.
He also countered the BCCI's claim that the IPL governing council
meeting was legal.
He attached a December 2009 newspaper report in which Manohar is
saying: "Lalit is appointed by the general body till 2012. There is no
reason, power or authority upon us to remove Lalit. There could be
differences in issues between the board members, but that does not
make them enemies."
There's lots more. Meanwhile, in a game of brinkmanship unlike any
other, Modi's high-powered team of lawyers, including Harish Salve,
Ram Jethmalani, Tony Jethmalani, Amit Desai, Swadeep Hora, Venkatesh
Dhond, Harish Salve, Shailesh Mendon and Mehmood Abdi, are collecting
and collating ammunition to fortify his second reply.
But if the BCCI's frazzled, no one's showing it.
http://www.hindustantimes.com/Modi-s-defence-BCCI-in-on-IPL-deals/Article1-548068.aspx
Governing Council not party to most Modi decisions: Manohar
Mumbai, April 26, 2010
First Published: 18:04 IST(26/4/2010)
Last Updated: 18:06 IST(26/4/2010)
BCCI president Shashank Manohar today rubbished Lalit Modi's claims
that all IPL decisions were taken collectively by the Governing
Council, saying that most of the time the suspended Commissioner acted
unilaterally.
"An allegation is being made and the media is saying all the members
of the (IPL) Governing Council are party to all
these decisions. Now most of the contracts which are entered into are
entered into without the consent of the governing
council," Manohar told reporters here.
The BCCI chief said Modi would informed about contracts after he had
signed them on behalf of IPL and the other
parties and the GC will have to pass them as there were no other
alternatives.
"And they are brought before the Governing Council after the contracts
are signed. So the Governing Council has no
other option and are presented with a fait accompli," Manohar said
while explaining about the murky deals that have come under the
scanner of the Income Tax and Enforcement Directorate departments.
To prove his point, Manohar said the contract for the IPL Awards
function held here on April 23 was signed only the
previous night and the document was not available with the IPL CEO
Sundar Raman when he summoned for it soon after reaching Mumbai from
Nagpur last week.
http://www.hindustantimes.com/special-news-report/ModivsTharoor/Governing-Council-not-party-to-most-Modi-decisions-Manohar/Article3-535986.aspx
Lalit Modi to fight suspension, calls it illegal: Report
Agencies
Mumbai, April 26, 2010
First Published: 19:39 IST(26/4/2010)
Last Updated: 20:45 IST(26/4/2010)
IPL Czar Lalit Modi today called his suspension illegal and decided to
fight it, according to media reports. He tweeted that he was still the
IPL Chairman, just suspended. He was dethroned in a swift counter-
attack by the BCCI, which accused him of rigging bids for teams.
Suspended from his high-profile position in the middle of the night,
ironically minutes after his third successful IPL concluded here, Modi
was this morning replaced as interim Chairman by a virtual unknown,
businessman Chirayu Amin one of the vice-presidents of BCCI.
The suspension pre-empted 46-year-old Modi's last ditch attempt to
outmanouvre his detractors by announcing last night that he would
chair today's meeting of the 14-member IPL Governing Council that was
to decide his fate. The suspension having been communicated to him
through e-mail ensured his absence.
The BCCI bosses then met at the Board's headquarters here for 90
minutes after which they announced that Modi had been given 15 days
time to respond to charges such as irregularities in the initial bids
of Rajasthan Royals and Kings XI Punjab and rigging the bids of the
two new franchises Kochi and Pune.
Other charges include irregularities in the broadcast deal,
irregularities in the internet deal and his behaviorial pattern.
Modi, never short of sound bytes or tweets, remained mum and avoided
the media. He was said to be planning his response.
Addressing a press conference after the meeting, BCCI President
Shashank Manohar gave a clean chit to Union Minister Sharad Pawar,
saying there is no involvement of any of his relatives either in the
present or the initial bids.
He ruled out any political interference in the functioning of the BCCI
saying as far he was concerned nobody can change his decisions.
At the meeting, a three-member committee of former players -- Sunil
Gavaskar, M A K Pataudi and Ravi Shastri --was appointed to discuss
the modalities of withholding three foreign and four Indian players
after discussing the issue with franchises.
Manohar said many important documents were missing from the IPL and
BCCI offices.
"Many of the records are missing. The IT is asking for documents. We
don't have them. We have asked BCCI CAO Prof Ratnakar Shetty to look
into the missing records and papers," he said. (With PTI inputs)
http://www.hindustantimes.com/special-news-report/News-Feed/Lalit-Modi-to-fight-suspension-calls-it-illegal-Report/Article1-535999.aspx
Shocking details of Modi’s dubious deals and ways revealed
Kadambari Murali Wade , Hindustan Times
New Delhi, April 26, 2010
First Published: 23:53 IST(26/4/2010)
Last Updated: 02:39 IST(27/4/2010)
If the other members of the Indian Premier League’s Governing Council
(GC) are to be believed, suspended chairman Lalit Modi was involved in
a host of irregularities, among the most shocking of which was the way
he allegedly tried to arm-twist Rendezvous Sports World, the promoters
of the Kochi franchise, into withdrawing their successful bid.
“He told them he would engineer an environmental litigation against
them, which would prevent them from building a new stadium in Kochi,”
said a GC member. “He also said he could have them disqualified for
not conforming to some standard or the other, and have the franchise
taken away from Kochi and awarded to some distant town, either Bhiwani
or Guwahati.”
Modi reportedly told Rendezvous he would “remove the cap on players'
salaries so that Rendezvous would not be able to afford them, or
compete with other (much wealthier) franchises” according to another
GC member. "He said he would make a rule that would allow teams to
retain seven existing players in the next season, so the best would be
unavailable to Kochi,” the member added.
An official said Rendezvous had detailed these threats in writing and
would be asked to appear before a BCCI inquiry committee looking into
the charges against Modi.
Hindustan Times spoke to four GC members in an attempt to piece
together the reasons for Modi's sudden fall from grace. All asked not
to be identified, as an internal inquiry against Modi is on and he is
yet to respond.
One revealed how Modi tried to rig the players' auction on March 7 by
inserting a clause in the tender document that no one else knew about.
The clause said corporations making bids would have to have a turnover
of over $1 billion (Rs 4600 crore) and present a Rs 460-crore bank
guarantee upfront. “By 5pm on March 7, after several telephonic
exchanges, we found that basically, only two companies (Videocon and
the Adani Group of Ahmedabad) met his conditions, so we cancelled that
auction. Shashank (BCCI president Manohar) reprimanded Lalit and we
decided that on the day of the new auction (March 21), the entire GC
would be present to accept and open the bids. This was the time we
started getting suspicious.”
Sources said at no stage were the cancelled bids from the March 7
auction returned to the BCCI, nor were copies kept in the IPL office.
“Modi received them in person and kept them in his own office at the
Four Seasons hotel in Mumbai. This was highly irregular,” said a GC
member.
There was also the TV rights issue. According to sources, these were
given to Sony (through a subsidiary, MSM Satellite Singapore), in
January 2008 and “unilaterally cancelled by Modi in 2009”. “In March
2009, just ahead of IPL II, they were given to World Sport Group,
Mauritius, and neither the GC nor the BCCI was informed,” said the
source.
“Modi parked the rights in Mauritius for 10 days with WSG and then
renegotiated an agreement with MSM. It was a private arrangement,
signed by him without our knowledge. We didn’t have the documents. In
fact, even when the income tax department asked us for the documents
at 11am today, we had to say we didn’t have them,” the GC member told
HT on Monday.
A clause in the new agreement said that if MSM owed any money to WSG
Mauritius, their contract could be cancelled. This, a source said, was
used by Modi to “virtually blackmail” MSM into paying WSG a
facilitation fee. “MSM has admitted to us privately only now that they
were forced to sign this at gunpoint (metaphorically speaking).”
Officially, however, MSM stated in a press statement on Friday that
they negotiated “in an open and transparent manner and in keeping with
applicable laws” and paid a “facilitation fee of Rs. 425 crore” to WSG
Mauritius to “secure business interests” and regain the IPL
broadcasting rights for the Indian subcontinent.
But BCCI officials maintain that this facilitation fee is the same
money that government authorities have traced from “bank to bank to an
account in the British Virgin Islands”. This could not be
independently confirmed.
Another official told HT of how various digital and mobile rights
“were allowed to be sold and re-sold” without the knowledge or consent
of the Board. “It was smart, the way one company conveniently gave way
to another company and then another, so that ultimately, all the
rights landed up with the company (Global Cricket Ventures) in which
his son-in-law’s private equity fund held 50 per cent of the equity,”
a GC member said.
Again, the problem here lay in the non-disclosure of relationships.
“At no stage did Modi tell the Governing Council, officially or
otherwise, that his son-in-law or ‘co-brother-in-law’ were involved in
the IPL. That’s a direct relationship,” said an official.
“Who is he to make accusations of conflict of interest? In (BCCI
secretary) Srinivasan’s case, he asked and got permission before the
first auction, plus, he’s not a majority shareholder in India Cements
(who own the Chennai Super Kings).”
The charge that Council members say will not be easy to prove is that
Modi owns shares, by proxy, in two, at least three teams, including
the Rajasthan Royals and the Kings XI Punjab. The part that can be
proved, they say, is that he “allowed irregularities” in the Royals’
ownership process.
“We were under the impression that the franchisee was Manoj Badale of
Emerging Media, as he made the successful bid. After that, he in turn
signed with Jaipur IPL Cricket Limited, out of nowhere. Again, we were
unaware,” a GC member said. This point was also made in detail by BCCI
president Shashank Manohar.
Meanwhile, though the irrepressible Modi was back to tweeting by
Monday evening, he would not return calls requesting interviews or
reactions. Earlier, when contacted on his UK number, Manoj Badale had
earlier directed HT to his PR firm, which did not return calls either.
Venu Nair of WSG has not responded to text messages seeking
clarifications.
http://www.hindustantimes.com/special-news-report/News-Feed/Shocking-details-of-Modi-s-dubious-deals-ways-revealed/Article1-536119.aspx
Mallya backs Modi
Press Trust Of India
Mumbai, April 24, 2010
First Published: 15:30 IST(24/4/2010)
Last Updated: 15:32 IST(24/4/2010)
Royal Challenger Bangalore owner Vijay Mallya on Saturday threw his
weight behind beleaguered Lalit Modi and said the IPL Commissioner
should be given a chance to defend himself in the wake of the raging
controversy.
"If there is any prima facie evidence of wrong doing and then do
whatever needs to done thereafter. But right now there is too much
speculations, things are actually way way out of control," Mallya told
reporters after meeting former BCCI president Sharad Pawar.
"I think Modi must be given some opportunity at some point of time to
explain himself," Mallya said.
"This whole controversy has become an unnecessary toofan. Yes, there
may be some questions about the way in which IPL runs. Clearly some
governing council members may not be happy. Let all that be properly
investigated."
"But to rubbish the IPl as a league then start casting aspersions on
owners, alleging black money involvement, alleging funds from tax
havens. I think this is stretching things way way too far," he added.
The liquor baron also rubbished the match-fixing allegations and said
government is welcome to hold an inquiry.
"Yesterday, even something new appeared about match fixing. This is
utter rubbish. Several of our political leaders are calling the IPL
gambling den which is completely not true," he said.
"In case of foreign direct investment in our country, money comes from
Mauritius or Switzerland, no body questions it. How can it certainly
become a big issue when it comes to IPL investigations."
"The Finance Ministry I had heard on TV has promised a full inquiry
into all this, let the inquiry be conducted. Till then, I don't think
we should jump into conclusions."
Mallya was particularly unhappy at the way politicians are questioning
the sanctity of the IPL and using it as a platform to get political
mileage.
"If they don't understand success of the world's sixth largest
sporting league, they should do their homework. They should look at
other competible league in the world then figure out what the IPL
really is.
"I don't think they even understand the business model of IPL. It is
all very easy to make allegations but I think we should all calm down
till the investigations is done and then conclude what we need to.
"The ultimate part is too many people are jumping on to the bandwagon.
Several political parties are now using this as an excuse to make a
big issue out of this. Let them wait for an investigation to be
completed.
Modi, who is currently facing the heat from the BCCI and government
for financial irregularities in running the IPL, had asked to postpone
the April 26 IPL Governing Council by few days but the BCCI has not
agreed to to so.
http://www.hindustantimes.com/News-Feed/mumbai/Mallya-backs-Modi/Article1-535205.aspx
HC seeks income details of T-20 matches in Maharashtra
Press Trust Of India
Mumbai, April 22, 2010
First Published: 19:10 IST(22/4/2010)
Last Updated: 19:18 IST(22/4/2010)
Seeking to know whether Indian Premier League tournament was a
"profiteering" venture, the Bombay High Court today asked BCCI and IPL
to give information on the income generated from T-20 matches that
were played in Maharashtra.
The court's directive came in response to a PIL filed by Shiv Sena MLA
Subhash Desai, demanding that the state collect entertainment tax from
the IPL.
A division bench of Justices PB Majmudar and Rajesh Ketkar also asked
the IPL to maintain accounts of remaining matches in the current
season which would take place in the state.
The High Court directed both the cricket bodies to furnish copies of
their respective constitutions, and memorandum of articles at the next
hearing on April 26.
Among other things, the court has sought information as to "whether
IPL is a profiteering activity...The manner in which IPL and BCCI are
functioning in organising T20 matches", as well as how BCCI "controls"
IPL.
On reports that IPL tickets are priced at as high as Rs 40,000, the
court also sought to know the ticket rates.
Desai's petition alleges the government decided to levy tax on IPL at
a cabinet meeting in January but the decision was not implemented.
However, government pleader Dhairyashil Nalavade told the court today
that only discussion was held on this issue and a decision had not
been taken.
http://www.hindustantimes.com/specials/cricket/IPL/HC-seeks-income-details-of-T-20-matches-in-Maharashtra/mumbai/SP-Article10-534588.aspx
Bombay HC asks IPL, BCCI to furnish income deatils earned from T-20
matches
Press Trust Of India
Mumbai, April 22, 2010
First Published: 18:40 IST(22/4/2010)
Last Updated: 20:11 IST(22/4/2010)
Seeking to know whether Indian Premier League tournament was a
"profiteering" venture, the Bombay High Court on Thursday asked BCCI
and IPL to give information on the income generated from T-20 matches
that were played in Maharashtra.
The court's directive came in response to a PIL filed by Shiv Sena MLA
Subhash Desai, demanding that the state collect entertainment tax from
the IPL.
A division bench of Justices P B Majmudar and Rajesh Ketkar also asked
the IPL to maintain accounts of remaining matches in the current
season which would take place in the state.
The High Court directed both the cricket bodies to furnish copies of
their respective constitutions, and memorandum of articles at the next
hearing on April 26.
Among other things, the court has sought information as to "whether
IPL is a profiteering activity...the manner in which IPL and BCCI are
functioning in organising T20 matches", as well as how BCCI "controls"
IPL.
On reports that IPL tickets are priced at as high as Rs 40,000, the
court also sought to know the ticket rates.
Desai's petition alleges the government decided to levy tax on IPL at
a cabinet meeting in January but the decision was not implemented.
However, government pleader Dhairyashil Nalavade told the court today
that only discussion was held on this issue and a decision had not
been taken.
http://www.hindustantimes.com/special-news-report/News-Feed/Bombay-HC-asks-IPL-BCCI-to-furnish-income-deatils/Article1-534570.aspx
BCCI ready to take harsh decisions: Shukla
Press Trust Of India
New Delhi, April 21, 2010
First Published: 13:05 IST(21/4/2010)
Last Updated: 13:07 IST(21/4/2010)
Faced with a defiant Lalit Modi who is refusing to step down as IPL
Commissioner, the BCCI on Wednesday talked tough and said it would not
hesitate to take harsh decisions to protect its image which has taken
a hit due to allegations of financial irregularities.
BCCI's media and finance committee chairman Rajiv Shukla said if
situation demands tough decisions, they would be taken when the IPL's
Governing Council meets on April 26.
"The question of people refusing to back down or not, they don't
matter. After the meeting between BCCI President Shashank Manohar and
Sharad Pawar yesterday, it has been decided that in the April 26
Governing Council meeting, we will sit together and unanimously decide
what to do," Shukla told reporters in New Delhi.
"These decisions would in the interest of cricket and the BCCI. No
matter how harsh they might seem, decisions would be taken to protect
the BCCI and cricket's image in the country. We have never compromised
on our image in the past 60 years and there would be no compromise
this time too," he added.
Modi, who is facing allegations of financial irregularities and
favouring family and friends in franchise bids, has so far refused to
step down from his post despite mounting pressure.
The skeletons started tumbling out after Modi's tweets on the
shareholding pattern of the new Kochi franchise disclosed that former
junior foreign minister Shashi Tharoor's close friend Sunanda Pushkar
had a 'sweat equity' worth Rs 70 crore in the team.
Tharoor had to resign as a result but Modi is also in trouble after
damaging revelations of his alleged 'silent' stakes in at least three
IPL teams. Besides, Modi is also facing accusations of money
laundering and betting in the IPL.
A concerned BCCI has been in damage control mode ever since and there
are indications that the Board's top brass wants Modi out after the
IPL ends on April 25.
http://www.hindustantimes.com/News-Feed/cricketnews/BCCI-ready-to-take-harsh-decisions-Shukla/Article1-534011.aspx
BCCI itself is responsible for IPL controversy: Muthiah
Press Trust Of India
Chennai, April 20, 2010
First Published: 22:51 IST(20/4/2010)
Last Updated: 17:48 IST(22/4/2010)
Holding the Indian Cricket Board responsible for all the mess that IPL
is in today, former BCCI President AC Muthiah today demanded that all
the officials having a stake in the IPL franchisees should no more be
a part of the Board.
Muthiah claims he had raised the issue of BCCI insiders having
commercial interest in the IPL but his suggestions were not heeded and
instead rules were changed to help certain people.
"I feel to a larger extent the Members of BCCI have failed in their
responsibilities and they had consciously allowed themselves to be
exploited by certain groups by amending the byelaws of the Society.
"BCCI should ensure all those who have some stake or interest either
directly or indirectly should be kept away from BCCI, so that BCCI
shall perform independently," Muthiah said in a statement.
Muthiah was indirectly taking a dig at BCCI Secretary N Srinivasan,
who is defacto owner of Chennai Super Kings as he is Vice-Chairman and
Managing Director of India Cements Ltd which owns the franchise.
"Just expelling one or two members will not be a solution to the
present episode," he added.
The former BCCI president said he will take the matter to the Apex
court and suggested that Board should bar officials in its affiliated
state associations from having any commercial interests either
directly or indirectly in IPL franchise.
http://www.hindustantimes.com/special-news-report/ModivsTharoor/BCCI-itself-is-responsible-for-IPL-controversy-Muthiah/Article3-533813.aspx
...and I am Sid Harth