Bombay HC orders BCCI to pay Kochi Tuskers INR 538 crore

Published - 19 Jun 2025, 09:44 IST | Updated - 19 Jun 2025, 09:47 IST

After nearly 14 years, the Bombay High Court has finally ordered the Board of Control for Cricket in India (BCCI) to pay INR 538 crore to the owners of the now-defunct Kochi Tuskers Kerala franchise over wrongful termination from the Indian Premier League (IPL). The franchise, which played only the 2011 season, was abruptly terminated by the BCCI for alleged breach of contract.

The Kochi Tuskers Kerala franchise, which was formed in 2010, was jointly owned by an association under Kochi Cricket Private Limited (KCPL) and Rendezvous Sports World (RSW). The team made its debut in IPL 2011, finishing eighth under the captaincy of Mahela Jayawardene and featuring players like Brendon McCullum, Steve Smith, VVS Laxman, and Ravindra Jadeja.

However, the franchise's stint in the league was cut short in September 2011 when the BCCI terminated its agreement, citing the failure to offer a mandatory bank guarantee. The decision led KCPL and RSW to initiate negotiation proceedings, stating the termination was unlawful. On June 18, 2025, Justice Riyaz I. Chagla of the Bombay High Court confirmed the arbitration awards previously issued in 2015, directing the BCCI to compensate KCPL with INR 385.50 crore and RSW with INR 153.34 crore.

"The court has upheld the arbitration. It is now up to the BCCI whether to challenge the verdict in the Supreme Court. The BCCI has time up to six weeks," the BCCI counsel told Cricbuzz.

Rejecting BCCI’s petition under Section 34 of the Arbitration and Conciliation Act, Justice Chagla ruled that the arbitration had been conducted fairly and within legal boundaries.

"I am of the considered view that there are no valid grounds raised in KCPL's Petition and RSW's Petition under Section 34 of the Arbitration Act to warrant an interference with the KCPL Award and the RSW Award, which have been impugned therein. There is no patent illegality in the impugned awards which requires an interference by this Court. In view thereof, the Arbitration Petition No. 1752 of 2015 and Arbitration Petition No. 1753 of 2015 are devoid of merit and are accordingly dismissed. KCPL and RSW are permitted to withdraw the amounts deposited by BCCI after a period of four weeks from the uploading of this judgment and Order," Justice Chagla said in his 107-page verdict.

The court also noted that BCCI’s invocation of the bank guarantee amounted to a rejected breach of the franchise agreement, and therefore, Kochi Tuskers were entitled to the damages awarded.