CVC Capital Partners, who were awarded the Ahmedabad IPL franchise ran into trouble for its links with betting companies. The franchise owner’s present and past gambling and betting investments include Tipico (Germany), Sisal (Italy), and Skybet. Facing backlash, BCCI announced due diligence on CVC Capital Partners’ investments in the betting companies.
The former IPL Commissioner Lalit Modi had questioned the cricketing body’s decision on allowing betting companies to buy IPL teams. Globally, gambling reformers are lobbying for prohibiting betting companies from sponsoring in sports tournaments.
i guess betting companies can buy a @ipl team. must be a new rule. apparently one qualified bidder also owns a big betting company. what next 😳😳😳 – does @BCCI not do there homework. what can Anti corruption do in such a case ? #cricket
— Lalit Kumar Modi (@LalitKModi) October 26, 2021
Nearly after one month, the BCCI is yet to provide an update on the due diligence outcome. “Both the matters are being discussed. Due diligence for Ahmedabad franchise is still on, once that is done we will let you know. But IPL Media Rights is no way connected to that. Yes, some delays have happened but the tenders for new cycle will be released soon”, said a top BCCI official to InsideSport.in
Earlier reports suggested that the due diligence update will be provided after Diwali. Now it’s been nearly 25 days post-Diwali and no public announcement is made by the cricket governing body. InsideSport reported that a very powerful member of BCCI is completely against giving the ownership of the IPL team to CVC Capital Partners who allegedly also has investments in a betting company.
CVC Capital Partners won the bid for a whopping ₹5,625 crore for the new IPL franchise with Ahmedabad as the home. If the cricket governing body decides to revoke its decision to award the franchise to CVC, then the next best bidder, Gujarat-based conglomerate Adani (₹5,100 crores) may get a chance to own an IPL team.
Although the officials have denied, the suspense on the Ahemdabad team is also responsible for the delay in media rights auction as a 9 team tournament will have lesser matches compared to a 10 team tournament. Nine bidders had turned up for two new IPL team auction with some big names like Manchester United, Adani Group showing interest. The RPSG (Sanjiv Goenka) group came as the first bidder for Lucknow franchise for a record price of Rs 7,090 crores, CVC was the second- highest bidder and was awarded the Ahmedabad franchise.