East Bengal, who were confirmed as the 11th side to play in the ISL 2020-21 season, have transferred their sporting rights to the Shree Cement East Bengal Foundation (which comprises of a majority share of 76% to Shree Cement Limited), the new joint venture between the club and Shree Cement Limited.
Shree Cement Limited's late investment in East Bengal was vital to the club's financial ability to gain a late entry into the ISL through a bidding process which they officially entered as Shree Cement East Bengal Foundation.
The club has now transferred all its assets and properties, including its intellectual property, to the new joint venture. The decision was approved by the existing members of East Bengal at a general body meeting at the club tent on Tuesday.
One of the many agendas at the meeting was "to approve that in case of differences/conflict between Club Rules (as amended from time to time) and Term Sheet/Definitive Agreement(s) entered into between Club and SCL (together with its affiliates), the conditions of the Term Sheet/Definitive Agreement(s) will prevail.”
East Bengal likely to play as SC East Bengal in the ISL
This means that the club is expected to play in the upcoming ISL season as 'SC East Bengal', and the new governing structure will have eight directors from Shree Cement Limited while two directors will be from East Bengal, according to a report in Times of India.
After the club's participation in the ISL was confirmed, East Bengal fans welcomed the fact that they would continue to play in the new league as 'East Bengal'. However, this is unlikely with the new developments.
There will be an official announcement from the club in the coming days about the structural changes in their operations going forward.Published 01 Oct 2020, 08:27 IST