Bombay HC units apart arbitration award that directed BCCI to pay over Rs. 4800 cr to Deccan Chargers

In a significant reduction to the Board of Control for Cricket in India (BCCI), the Bombay High Court on Wednesday put aside an arbitrator’s order that directed it to pay over Rs. 4800 crore to Deccan Chronicle Holding Ltd (DCHL) concerning dispute pertaining to termination of Indian Premier League (IPL) franchise crew Deccan Chargers (DC).
A single-judge bench of Justice Gautam S Patel put aside the 2020 award handed by the only real arbitrator, who was appointed in 2012, to determine whether or not BCCI’s termination discover to Deccan Chargers was unlawful.
While setting apart the arbitral award, the bench mentioned that over Rs. 30 crore due and payable by the BCCI to DCHL usually are not but paid could also be given to the corporate by the Board with curiosity.
In July, final 12 months, the HC appointed arbitrator handed an order in favour of the Deccan Chargers, one of many eight groups of IPL, additionally awarded over Rs. 4,800 crore to DCHL plus curiosity and held that the BCCI’s termination of the franchise was unlawful.
The arbitrator granted damages of over Rs. 600 crore and compensation to DHCL of almost Rs. 4150 crore. The award was subsequently challenged by the BCCI earlier than the Bombay HC.

In main reduction to Board of Control for Cricket in India (BCCI), Bombay High Court bench of Justice G S Patel put aside arbitrator’s order that directed it to pay over Rs. 4800 crore to Deccan Chronicle Holding Ltd concerning dispute for termination of IPL crew @IndianSpecific
— Omkar Gokhale (@OmkarGokhale91) June 16, 2021
Solicitor General Tushar Mehta showing for BCCI had submitted that the arbitration tribunal proceeded opposite to the contract whereas declaring termination to be unhealthy on the bottom the situation for the fee to gamers, help workers and many others. had been “substantially complied with”.
He had added that the tribunal just about entered into the realm of re-writing the contract whereas holding that the BCCI ought to have paid the gamers and different help workers.
Mehta submitted that the Tribunal dedicated a critical error in awarding Rs. 4150 crore withoutassigning any causes in any respect for arriving at this determine and added that there was no methodology of computation to reach at this determine that’s even remotely talked about.
The dispute arose in 2012 after the DCHL was declared a profitable bidder for franchise Deccan Chargers from Hyderabad and an settlement was made between DC and BCCI for ten years. However, in August 2012, the BCCI issued a show-cause discover for the termination of DC to DCHL. The termination was confirmed a day earlier than the expiry of the 30-day interval granted to answer the discover.
Aggrieved DCHL then approached the HC in opposition to the termination and the court docket in September 2012 appointed retired Supreme Court choose Justice (Retd) C K Thakker as the only real arbitrator to determine the dispute who handed the award in favour of DHCL July, final 12 months.
The detailed HC order on BCCI’s attraction will probably be made out there sooner or later.