BCCI asks Nimbus to pay Rs 130 cr by Friday
25 Oct, 2007, 0101 hrs IST
MUMBAI: The stand-off between the cricket board and Nimbus Sports has reached a turning point, with BCCI setting a deadline for the sports management company to clear its dues. On Tuesday, BCCI shot a letter to Harish Thawani, chairman, Nimbus Sports, to pay up Rs 130-crore dues, although it is still unclear what payments BCCI is referring to.
BCCI has threatened to invoke bank guarantees if Nimbus fails to make the payment by Friday. BCCI sources confirmed to ET that the letter has been sent.
Nimbus is yet to pay 50% of the fee for the recent Australia-India series, which works out to nearly Rs 100 crore. Besides, it is yet to pay the 50% upfront payment for the forthcoming Pakistan tour.
When contacted by ET, BCCI secretary Niranjan Shah neither denied nor confirmed the development. “This is a confidential matter between the board and Nimbus,” is all that he would say. Nimbus Sports chairman Harish Thawani said: “All our payments to BCCI are up to date.”
BCCI sources said the dispute could affect the domestic cricket telecast, too, if Nimbus fails to pay up before the Friday deadline. “BCCI may take a relook at the contract for the domestic cricket rights that Nimbus bagged in 2005. If Nimbus manages to cough up the money, things will be ironed out,” said the source.
Nimbus bagged the telecast rights for domestic cricket and all international matches played at home for $612 million, or Rs 4,500 crore. But it got a reduction of Rs 247 crore in lieu of the losses it suffered due to the encryption row with Doordarshan.
In May this year, the Afro-Asia Cup cricket tournament suffered a major setback, with Nimbus pulling the plug on match telecast.
The company, which had bagged the television rights for the inter-continental event from the Asian Cricket Council, said the relevant terms of the contract would not apply anymore since the matches were originally scheduled for last year. However, ACC claimed that Nimbus had defaulted in its payments, and hence the contract was terminated.
Nimbus is now negotiating with BCCI asking for a further reduction in the license fee, claiming that the cricket board’s new initiative — the Indian Premier League — would materially affect its contract with BCCI. Nimbus has asked for a 20% ($120 million) reduction in the license fee. The cricket board has, however, rejected the demand.
Source:
BCCI asks Nimbus to pay Rs 130 cr by Friday- Media-Media / Entertainment -News By Industry-News-The Economic Times
25 Oct, 2007, 0101 hrs IST
MUMBAI: The stand-off between the cricket board and Nimbus Sports has reached a turning point, with BCCI setting a deadline for the sports management company to clear its dues. On Tuesday, BCCI shot a letter to Harish Thawani, chairman, Nimbus Sports, to pay up Rs 130-crore dues, although it is still unclear what payments BCCI is referring to.
BCCI has threatened to invoke bank guarantees if Nimbus fails to make the payment by Friday. BCCI sources confirmed to ET that the letter has been sent.
Nimbus is yet to pay 50% of the fee for the recent Australia-India series, which works out to nearly Rs 100 crore. Besides, it is yet to pay the 50% upfront payment for the forthcoming Pakistan tour.
When contacted by ET, BCCI secretary Niranjan Shah neither denied nor confirmed the development. “This is a confidential matter between the board and Nimbus,” is all that he would say. Nimbus Sports chairman Harish Thawani said: “All our payments to BCCI are up to date.”
BCCI sources said the dispute could affect the domestic cricket telecast, too, if Nimbus fails to pay up before the Friday deadline. “BCCI may take a relook at the contract for the domestic cricket rights that Nimbus bagged in 2005. If Nimbus manages to cough up the money, things will be ironed out,” said the source.
Nimbus bagged the telecast rights for domestic cricket and all international matches played at home for $612 million, or Rs 4,500 crore. But it got a reduction of Rs 247 crore in lieu of the losses it suffered due to the encryption row with Doordarshan.
In May this year, the Afro-Asia Cup cricket tournament suffered a major setback, with Nimbus pulling the plug on match telecast.
The company, which had bagged the television rights for the inter-continental event from the Asian Cricket Council, said the relevant terms of the contract would not apply anymore since the matches were originally scheduled for last year. However, ACC claimed that Nimbus had defaulted in its payments, and hence the contract was terminated.
Nimbus is now negotiating with BCCI asking for a further reduction in the license fee, claiming that the cricket board’s new initiative — the Indian Premier League — would materially affect its contract with BCCI. Nimbus has asked for a 20% ($120 million) reduction in the license fee. The cricket board has, however, rejected the demand.
Source:
BCCI asks Nimbus to pay Rs 130 cr by Friday- Media-Media / Entertainment -News By Industry-News-The Economic Times
. One thing for sure i think quality of cricket will go down in the future and i feel its because of BCCI.............I dont know what the hell BCCI thinks itself especially Lalit Modi.....
