Srinivasan’s ego hurting BCCI, tweets Lalit Modi

Sparking off what seems to be another controversy, Lalit Modi, the suspended CEO of IPL, in his latest tweet has accused the current BCCI Secretary N Srinivasan of causing huge loses for the BCCI.

He has stated: “Years of effort went into making the BCCI the most cash rich cricket body in the world. This helped us provide players with better infrastructure, coaches, facilities, team staff, stadiums and increased pay. A carefully made edifice is being shattered by one man- Narayanswamy Srinivasan who is unmindful of the consequences of his actions.”

According to him, N Srinivasan’s arrogance in handling the concerns raised by Sahara Sri resulted in their backing out of IPL team ownership and also cutting off financial ties with BCCI such as sponsorship deals. He reasons that, “the High handedness of the current BCCI regime in turning down requests which was mentioned by Sahara as the prime motive to back off was pitted against Srinivasan’s arrogance.

“The first request that Sahara wanted was that it had made its bid based on a 94-match schedule that IPL had promised. When the schedule was reduced to 74 matches, Sahara wanted some concession on the amount payable to BCCI. The second request that Sahara made was that since Yuvraj Singh was unwell and could not play IPL 5 his price be added to their auction purse.Their first demand was reasonable and as for their second demand there have been so many changes of rules to suit some team owners it was only fair – that Sahara was asking for a level-playing field.

IPL was set up to ensure even playing field for all the teams. In that scenario rules can and should be made which benefits all or none. I have always maintained that the IPL should never go the EPL way and have a few top teams in the running for the title. That is against the very philosophy of the IPL. Only when every team has a chance of winning the title, does the league get exciting. But unfortunately now some team owners are trying to manipulate the league. This will hurt everyone. No team should become bigger than the league.”

“I am not saying Sahara’s demand for an extra purse is justified. But what their main frustration was that rules were being bent for one franchise – but when Sahara brought up an issue it was ignored; they cannot take decisions like this lightly. There is more than what’s appeared in the press as to why they wanted to walk away.”

He also points out that with just eight teams in the fray and about 59 games, IPL will result into a loss of 2 billion USD or INR 10,000 crores with contracts being cancelled or downsized or lost by this administration.

He further added that: “The losses because of the Zee contract, Kochi contract, Sahara contract for Team India, Sahara contract for IPL team, and reduction of Sony guarantee money due to less number of teams and games and your math will fall around the same figure.This will have direct consequences in the future on our ability to upgrade infrastructure, build new stadiums, new academies.Consequently it would mean fewer subsidies to state associations, because states survive on the grant from BCCI revenue, with 80% of the central revenues being distributed equally.Someone needs to answer why this is being done?

Lalit Modi’s apprehensions:

BCCI will say they will replace Nimbus with another broadcaster, which I am sure they will.But will they be able to bring in a broadcaster at the same or higher price? I think not.Did we replace Zee? No, because there was no buyer then.BCCI will now say they can re-auction the two new teams in the IPL. But will they get USD 700 million for two new teams and that too in such limited time? I guarantee they will not. In the end if all stakeholders in the game are not seeing increase in their values, why will they keep investing in the game? If ratings continue to drop, why will we expect them to shell out more?

If fans keep getting disappointed and we keep changing the rules and the goal post they too will not return. Fans are critical to the game. They are the lifeline of the sport. With such massive changes in players from teams, the loyalty factor will also suffer.

Profits made during Lalit Modi’s regime:

-Board benitted to the tune of to the tune off approximately USD 7 billion.

-Notable amongst these were media rights deal with Nimbus for four years of USD$612 million in 2006.

-team sponsorship deal with Sahara for four years of USD$103 million in 2005, team apparel sponsor deal with Nike for four years worth USD$53 in 2006.

-BCCI sponsorship deal with WSG for USD$46million in 2007.

-Indian team overseas rights with Zee TV for around USD$200 m, the Indian Premier League eight franchisees for USD$723.59 million in 2008

-ESPN deal for CLT20 global rights for USD$1 billion in 2008, IPL Media Rights Deal with Sony-WSG for USD$1.26 Billion in 2008 , web media rights of BCCI for USD$50 million in 2008.

-IPL title sponsorship and ground sponsors for UDS$220 million in 2008 , Renegotiated Sony- WSG IPL Media rights from $1.26 billion to over USD$2.16 billion on in 2009.

- Nimbus Communications four year deal for the rights to India’s home international games at USD$431 million in 2009 ,IPL Theatrical Rights Deal with ESD for over USD$ 100 million in 2009, IPL Entertainment Broadcast deal with Viacom for over USD$30 Million in 2010, the Indian Premier League two franchises for USD$723.59 million in 2010 .