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Bombay HC directs BCCI to pay Rs 9 crore to Nimbus for equipment services
MUMBAI: In yet another jolt for the Board of Control for Cricket in India (BCCI), the Bombay High Court has directed it to pay Rs 9 crore (Rs 90 million) to Nimbus Communications for the supply of equipment and associated services for TV production of matches.
This is a second major shock for the BCCI. Earlier, it was asked to pay Rs 550 crore (Rs 5.5 billion) to former Indian Premier League (IPL) franchise Kochi Tuskers by former chief justice R C Lahoti, the arbitrator in the case.
In the Nimbus case, BCCI had refused to pay the said amount contending that it must be adjusted from the payment claimed by the board under the TV rights agreement, according to a report in Mumbai Mirror.
The cricket board had terminated its TV rights contract with Nimbus in 2011 and had claimed Rs 362 crore (Rs 3.62 billion) from the company under that agreement.
Subsequently, Nimbus terminated the equipment supply and invoked the arbitration clause and filed arbitration proceedings against the BCCI.
The bench of Justice RD Dhanuka observed that the BCCI’s plea of adjusting the said amount with the dues it was claiming against Nimbus was legally untenable.
As per the report, the BCCI also sought a stay from the HC of its own order so that it could approach the higher court. However, Justice Dhanuka rejected the request.