BCCI among richest sporting bodies, boasts of Rs.5,300-crore revenue
However, the figure comes with a few riders. Around R3,200 crore of this magical figure is locked in arbitration or is with tax authorities, but the BCCI believes these are ‘receivables’. On the flip side, if things don’t go the BCCI’s way, it will have to cough up only around R1,200 crore to the media companies, marketing firms and those franchisees whose contracts it cancelled.
While the scale of ‘‘disputed sum’’ would hint at financial mismanagement, the cricket board’s treasurer, Ajay Shirke, is confident of recovery. ‘‘We definitely believe that the amount which is locked in arbitration and is with the tax authorities are receivables. The only issue that is in arbitration is our case with Nimbus for the television rights. Our claim is based on legitimate bank guarantees,’’ said Shirke.
The report clearly outlines that BCCI is involved in over half-a-dozen arbitration cases where it has claimed an aggregate of
R2,226 crore from various parties involved. BCCI also thinks it is being wrongly taxed because it should be exempted from paying taxes. For 2011-12, the BCCI paid almost R1,000 crore in tax “under protest”. It expects a refund of entire R973 crore in taxes in subsequent financial years.
As for the tax wrangle, Shirke said they have a genuine claims for a write-off. ‘‘As far as taxes
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