IPL terminates Punjab, Rajasthan franchises
ESPNcricinfo staff
October 10, 2010
The IPL governing council has ejected the Rajasthan Royals and the Kings XI Punjab from the league on charges of transgression of shareholding and ownership norms that threatened to "shake the very foundation of the tender process", while granting a temporary breather to the Kochi franchise to put its house on order.
The decision was taken at the emergency meeting of the governing council in Mumbai on Sunday, a full five days before the deadline given to the three franchises to reply to notices issued by the IPL lapsed. While a co-owner of the Rajasthan Royals, Raj Kundra, said that they would challenge the matter in the court, a Punjab official said that they would try to resolve the issue through negotiations.
The announcement to terminate agreements with the two franchises came after days of hectic speculations and raised further speculations about its implications. Shashank Manohar, the BCCI president said that the board was yet to consider the possibilities, which now include keeping the IPL down to eight teams, its original size, or a fresh tender process to induct two new teams.
"With regards to Rajasthan, the bid was given by a different bidder and the agreement was entered into with a different company," Manohar said. "The shareholding pattern was different. The shares were transferred into with different people without the permission of the governing council."
When asked about Kochi, Manohar said the franchise hadn't been scrapped because it hadn't violated the agreement yet, but was only suffering from internal disputes. He said Kochi had ten days to resolve all problems and form a joint venture company to hold the franchise rights otherwise it also ran the risk of being ejected from the league.
Kundra said he was shocked by the developments. "I don't know how IPL 4 will be held if the BCCI starts treating teams in this manner," he said. "I am not in a position to make any further comments until I receive a formal copy of the termination agreement. Obviously, I will be seeking legal opinion in this matter."
Vijay Mallya, the owner of Royal Challengers Bangalore, reacted strongly in a message to Shilpa Shetty, another co-owner of Rajasthan, on his Twitter page. "This is down right ridiculous and raises serious questions on the attitude of the BCCI towards IPL franchisees," Mallya said.
An official with the Punjab franchise, however, said that they were not considering legal options at the moment and expressed hope of resolving the situation with the BCCI. "We are in shock," he told ESPNcricinfo. "It came out of the blue, it was absolutely unexpected."
Sunday's meeting was the first for the reconstituted governing council, which had its membership reduced from 14 to eight, and its tenure and powers cut. Chirayu Amin was appointed the chairman of body, replacing ousted chairman Lalit Modi, and the rest of the council comprises five other members - Arun Jaitley, Ranjib Biswal, Anurag Thakur, Ajay Shirke and Rajiv Shukla - and two former cricketers, Ravi Shastri and Mohinder Amarnath, as honorary members.