Mumbai: The Bombay High Court on Wednesday set aside an arbitration award that directed the Board of Control for Cricket in India (BCCI) to pay over Rs 4,800 crore to Deccan Chronicle Holdings Ltd (DCHL) over the alleged illegal termination of the latter's IPL franchise team, Deccan Chargers Hyderabad, from the Indian Premier League (IPL).
A single-bench presided over by Justice Gautam Patel "set aside" the award that had been passed in July last year by a sole arbitrator appointed by the high court to ascertain if the termination of the franchise during the fifth IPL season in 2012 was illegal.
The arbitrator had held the termination illegal and awarded DCHL a compensation of Rs 4,814.67 crore plus 10 per cent interest that was to be computed from 2012.
Speaking to ANI, a BCCI official in the know of developments said it was a welcome decision. "We are extremely happy with the development. It has vindicated our position as we had always followed what was in the agreement," the official said.
To go back to the case, the IPL Governing Council had terminated Deccan Chargers in 2012 and the franchise had challenged the termination.
They had approached the Bombay HC and the process of arbitration started with Justice (retd) C.K. Thakar as the sole arbitrator and BCCI was ordered to shell out Rs 4800 crore to DCHL in July 2020. This after DCHL had claimed damages of Rs 6046 crore plus interest and charges as per reports.
While reacting to the development back in July 2020, a BCCI official had made it clear that an appeal was on the cards as the board strongly believed it had a very good case.
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