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September 24, 1999

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BCCI-Doordarshan telecast deal challenged

The problems of the Board of Control for Cricket in India (BCCI) appear never-ending. The Delhi High Court today issued it a show cause notice on a plea challenging the Rs 230 crore contract it signed with Doordarshan for telecast of all international cricket matches to be played in India during the next five years.

A division bench comprising Chief Justice S N Variava and Justice S K Mahajan also issued notices to Prasar Bharati, and directed the two respondents to file their replies by the next date of hearing on October 26.

The public interest petition, filed by non-governmental organisation Grahak Panchayat and advocate Umesh Kumar Bohre, sought directions from the court to declare the agreement between Doordarshan and the BCCI null and void, as it was contrary to public policy.

Indira Jaisingh, the petitioners' counsel, submitted that the BCCI, which was responsible for the promotion and development of cricket in India, signed the agreement without inviting competitive bids or considering other commercially lucrative offers.

According to information available, offers ranging between Rs 400 crore and Rs 500 crore were not considered by the board, she alleged.

The petitioners submitted that the agreement with Doordarshan was entered into in great haste and without following the prescribed procedure despite the fact that the term of the last BCCI managing committee was to end on September 21.

"The outgoing managing committee entered into the agreement although it was not in the public interest because commercially profitable and lucrative offers were not considered and preference was shown to Doordarshan for extraneous and collateral reasons," Jaisingh contended.

Jaisingh further argued that the agreement would be subject to Doordarshan paying seven million US dollars to WorldTel, a private marketing agency, and withdrawing its appeal in the High Court against the WorldTel.

The petitioners submitted that in view of the facts and circumstances of the case, the agreement is arbitrary, illegal and contrary to the mandate of article 14 of the Constitution as it confers an undue commercial advantage in favour of a private party, apart from the fact that there is an expected loss of nearly Rs 200 crore to the public exchequer in general, which affects all viewers and consumers, who have to eventually bear the cost.

Claiming that the agreement was yet to be given effect to, the petitioners urged the court to restrain BCCI and Prasar Bharati from acting upon or giving effect to the agreement for giving telecast rights to Doordarshan for matches between 1999 and 2004.

The petition stated that the agreement with Doordarshan was reached for Rs 230 crore even though the BCCI had better bidders for the telecast rights.

The petitioners stated that the decision-making process itself, being suspect fraught with illegality and infirmity, ought to be judicially reviewed by the court in the exercise of its power of judicial review.

They submitted that without following the prescribed procedure, a contract, which could have fetched at least Rs 400-500 crore, has been rushed through, more so, when the term of the managing committee was coming to an end on September 21.

The committee, the petition charged, selected Doordarshan without the approval of the working committee and in violation of well established norms, contrary to principles of natural justice.

UNI

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