Rajasthan Royals demanded over $30million from BCCI as their compensation
The Bombay High Court has upheld the stay on the termination of Rajasthan Royals issued by the judge hearing the arbitration case between the franchise and the BCCI.The contract was terminated by the Board last October for alleged breaches of the franchise agreement by the Royals including the ownership structure of the team. Earlier the owners of the Rajasthan Royals had filed an arbitration petition against the BCCI with the Bombay High Court in their attempts to get the Royals franchise reinstated . The decision to remove the Royals from next year’s tournament was unanimously agreed after the Governing Council examined the ownership structure at an emergency meeting in Mumbai at the start of October.
According to the show causes issued by the BCCI; the Royals restructured its ownership structure in March 2008 and in January 2009 which resulted in Emerging Media (IPL) Limited; winners of the franchise during the IPL franchise auction in 2008 with no shares in Jaipur IPL Cricket Private Limited, owners of the Royals franchise.Having taken the BCCI to court at the end of last year the Royals won their case and were reinstated by an arbitrator who ruled in favour of the franchise .The spokesman of team said to media that the Royals would be seeking damages totalling over $30 million after submitting their case to arbitrator Justice B N Srikrishna. The Team believes that the team have suffered a great loss as their brand is being spoiled by the BCCI , the had build their image with lots of hard work and have invested a lot of money in promotion so they need to seek compensation from BCCI to reimburse it again . After all this problems again one more problem hit the Royals , it was that the Royals were asked to submit a bank guarantee of almost $20 million to the BCCI before being allowed to take part in the player auction in January.
After the Royals won the case , Justice Srikrishna penned the case in favour of the Royals after a three day hearing with the BCCI.An independent arbitrator has given the Rajasthan Royals a new lifeline after he issued a six week stay on the franchise’s expulsion from the Indian Premier League. As per the decision The royals were allowed to take part In IPL’S auction and were asked to announce the name of four players who they still wish to retain for next years tournament . The decision of court which favoured Royal’s was dream savior for them . Justice BN Srikrishna after the decision was announced said , “There will be no interference with them exercising rights under the franchise agreement and further added that they will be allowed to participate in the auction without no offences ,”.