Wednesday, 5 October 2016

India v NZ, 3rd Test: Lodha panel asks banks to defreeze BCCI accounts

MUMBAI: The Justice Lodha Committee clarified on Tuesday morning that the Supreme Court "has not frozen the bank accounts of the BCCI nor has it objected to the banking operations/payments relating to routine administration and conduct of cricket matches/tournaments". The committee was reacting to TOI's exclusive report on Tuesday that said BCCI was worried about conducting the
Indore Test against New Zealand as its bank accounts had been frozen.  The committee said it had clarified to the banks in `express terms' that it had not asked for the BCCI accounts to be frozen as it did not want cricket and the public to suffer due to the actions of board administrators. Hours after the email was sent to the president, secretary, treasurer and the chief executive officer of the BCCI, it came to light that the Champions League T20 surplus cash - distributed by the board to member associations - was transferred on Saturday itself, the day when the adjourned SGM was held at the BCCI headquarters.
The Lodha Committee then wrote to all state associations, saying: "It is further learnt that amounts between Rs 10-20 crore were disbursed to each association as infrastructure subsidy and Rs 28 crore as compensation shares from the Champions League T-20 cancellation. The banks confirm that most of these transactions were hurriedly carried out by RTGS between 29th September and 1st October."
We never ordered the banks to freeze BCCI's accounts. After reading about it in the morning, we informed them to defreeze them immediately... Either our e-mail hasn't been read properly, or it's being presented in a wrong manner The letter adds, "In this light of events, as the actions of the BCCI to transfer these funds is contrary to this committee's directions and subjudice, you are hereby directed not to in any way transfer or disturb those funds that have been transferred as above to your association. If anything is done contrary to this express direction, it will be brought to the knowledge of the Hon'ble Supreme Court for appropriate orders on contempt."
Five state associations confirmed to TOI on Tuesday that they had received the Champions League surplus disbursement, but added that only part of the annual subsidy had been received. BCCI secretary Ajay Shirke, who convened the SGM, could not be reached for comments. BCCI sources said Shirke had left for London on a business trip and would be accessible only after 11pm IST on Tuesday night.
The board has 27 full members, apart from Railways, Universities, Cricket Club of India and the National Cricket Club. "You can do the math. Money in the excess of Rs 750 crore has already been transferred," a source in the know of things said. Star India, the broadcasters for the Champions League - which was shelved last year - had made a one-time payment to BCCI, Cricket Australia (CA) and Cricket South Africa (CSA) after the decision was taken to shelve the T20 tournament as it had failed to attract viewers. BCCI, CA and CSA were together in a tripartite agreement to run the Champions League which was introduced in 2009. The BCCI's share of compensation from the one-time payment ran to the tune of Rs 1,600 crore.
"Such decisions were neither routine nor emergent," the Lodha Committee said even as their sources clarified that any expenses related to cricket were perfectly alright.

India v NZ, 3rd Test: Lodha panel asks banks to defreeze BCCI accounts

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