IPL

Sponsors hit back at FIFA and BCCI: Image is everything

Joseph Blatter (Photo credit: Wikipedia)

Sponsors have hit back and with a vengeance.

First, it was their demand for probity in FIFA affairs with Coca Cola, McDonalds, Visa and Budweiser seeking Joseph Blatter’s ouster.

Blatter responded with his characteristic bluster failing to acknowledge the winds of change.

His own Ethics Committee reacted less than a week later suspending him and his lieutenant Michel Platini for 90 days.

In India, Pepsi India served notice to the BCCI over its inept handling of the spot-fixing and betting scandals threatening to pull out of the title sponsorship.

The newly elected BCCI working committee has its hands full when it meets on October 18 to discuss the issue.

Blatter’s troubles originate with the Ethics Committee’s investigation into allegations of under-the-table payments to its former marketing partner International Sports and Leisure (ISL) in 2013.

(Photo credit: Wikipedia)

Blatter’s mentor and godfather João Havelange resigned as honorary President. Blatter was given a clean chit.

Matters came to a head this year when the Federal Bureau of Investigation(FBI) and the Internal Revenue Service Criminal Investigation Division (IRS-CI) arrested seven FIFA officials and indicted 14 on charges of racketeering, wire fraud and money laundering.

Since FIFA employees are not government officials, the US government cannot charge them for bribery. Federal laws prevent them from doing so.

Blatter resigned four days after his re-election for an unprecedented fifth time.

Blatter was first elected president in 1998.

The arrests triggered separate inquiries in Australia, Colombia, Costa Rica and Switzerland.

Part of the Swiss investigation involved a ‘disloyal payment’ of two million Swiss francs to Michel Platini by Blatter for work performed between 1999 and 2002.

The Swiss head was also alleged to have signed off television rights for the 2010 and 2014 World Cups to a former FIFA official Jack Warner at below market rates.

Criminal proceedings began last week against the FIFA president.

The Ethics Committee moved swiftly suspending him and Platini  for 90 days. They further banned Ex-FIFA vice president Chung Mong-joon for six years.

While Coca-Cola, Anheuser-Busch InBev, McDonald’s and Visa were united in their opposition to Blatter’s continuance, Adidas refused to join  them.

The German sporting giant that has manufactured the World Cup match ball since 1970 and has been licensed to do till 2030 has the most to lose.

Soccer is the only sport in which it has a lead over its competitors. It is a Catch-22 situation.

It could either back the other advertisers and lose its most important market or suffer an erosion of its market share given the bad publicity surrounding FIFA and its running.

Blatter is believed to be an Adidas stooge.

Aidan Radnedge writes:

“Adidas supremo Horst Dassler plucked Blatter from the marketing department of luxury Swiss watchmaker Longines, trained him up for several months in Landersheim offices then installed him on the first – if lofty – rung of the Fifa ladder.

‘He taught me the finer points of sports politics – an excellent education for me,’ Blatter later said of Dassler, who also provided useful instruction in how to best enjoy a good cigar.”

It was Dassler and Havelange who  plotted the ouster of Sir Stanley Rous as Fifa president in 1974.

It was they who recognised the power vested in the federations of Asia and Africa. The poorer bodies felt alienated and under-represented. Havelange exploited their fears thus paving the way to become the most powerful man in soccer. He was ably assisted by his then right-hand man—Joseph Blatter.

ISL was founded in 1982 by Adidas heir Horst Dassler. For nearly two decades, it enjoyed a virtual monopoly of the commercial interests of both the world football federation and the Olympic movement.

ISL went bankrupt in 2001.

It is believed that without the pressure from Coca Cola and the others, the Ethics Committee would have proceeded more judiciously giving the accused a first hearing before issuing penalties.

FIFA expert professor Alan Tomlinson from the University of Brighton said:

“The sponsors have certainly ratcheted things up, and this is one of the main reasons why the ethics committee has, for once, acted quite swiftly. The normal procedure is for the accused to be initially heard and then, perhaps, issued with a provisional suspension, pending a full inquiry.

The sponsors have told FIFA that they have had enough and this has had a huge impact on recent events. This whole thing has come down to money because that is the one thing that people within FIFA understand.”

(Photo credit: Wikipedia)

A quarter of FIFA’s revenues over a 4-year-World-Cup cycle comes via sponsorship deals.

In India, PepsiCo, the soft drinks giant, are considering exiting the title spot citing concerns about the image of the IPL given the spot-fixing and betting imbroglios and suspension of franchises Chennai SuperKings and Rajasthan Royals.

PepsiCo India signed a deal for Rs.396 crores in 2012 for a five-year period.

If Pepsi pull out, then not just BCCI but also the franchises that have sold it ‘pouring rights’ will be adversely affected.

The ‘pouring rights’ are worth Rs.2 crores per season.

A co-owner of a franchise said:

“If the news about them pulling out of the IPL sponsorship is true, it’s a big loss. In these times when the brand value of the IPL is down so much, it will be difficult to sell the ‘pouring rights’ for more than Rs 50 lakh.

The tobacco and liquor companies were the ones to spend big money in sponsorship deals in cricket, then the cola giants became the big sponsors. In between, there were a few to associate with cricket like DLF and Hero Honda, but they pulled out too. If the cola companies pull out, it’s not good for the sport.”

The teams’ revenues too will be hit. The central revenue pool which is shared at 60:40 between the teams and the BCCI is the other main source of income besides team sponsorships. Any reduction in title sponsorship will lessen this intake.

The BCCI sought to play down the crisis.

An anonymous source within the BCCI and IPL said:

“Firstly, it has nothing to do with the 2013 IPL spot fixing scandal. At the moment, they’re concerned about the future of the IPL – whether it’ll be a 6, 8, 10 or 12-team tournament. Secondly, they’re not satisfied with the publicity that they’re getting out of the event vis-a-vis the other sponsors. They’ve to pay us Rs 90-100 crores every year, which isn’t a small amount.

It’s a sham. They have sponsored two IPL editions since the scandal broke out. I think they’re facing financial difficulties of their own. When we met them in Delhi some time back, they never gave an indication about this. In fact, we had a healthy discussion with their chairman and CEO for India region, D Shivakumar, about our future plans.”

The stern action and harsh words employed by commercial interests in the sporting properties of FIFA and the BCCI are reminiscent of tactics employed by activist investors in corporate governance.

Activist shareholders secure equity stakes in corporations to put public pressure on their management.

Their goals may be financial or non-financial.

Despite having a relatively small stake–sometimes just 1% is enough—, these activist investors seek the support of financial institutions who hold larger stakes to further their goals.  Some of them even manage to secure seats on the board.

While sponsors cannot be said to own equity stakes in sporting federations, given the huge contribution they make to their revenues, their influence cannot be discounted.

The IPL, in the wake of Lalit Modi’s ouster, installed a Governing Council to overlook its operations. Would it be a far-fetched idea to have a sponsor representative on the council that could safeguard their interests?

Corporate governance for sports federations that include the interests of sponsors would be more than practical.

For once, interests of fans and sponsors are aligned. Will it always be so?

An apertura and clausura for the IPL?

In a recent article on the ISL, I briefly expounded on the J-League and how it has two sections in a season. There are two champions in a year and the league champion is decided by a series of playoffs between the winners of each section and the top two point accumulators in each phase.

This also happens to be a feature of Latin American soccer leagues with the traditional season from August to May divided into two parts termed the ‘Apertura’ [aperˈtuɾa] and ‘Clausura’ [klawˈsuɾa] tournaments. These words are Spanish for ‘opening’ and ‘closing’.

Light-green shows countries that have Apertura and Clausura tournaments during calendar year. Orange shows countries where seasons are similar with European system Autumn/Spring. Number 1 shows countries where the Apertura and Clausura are parts of a larger tournament, and the winners are not national champions. (Photo credit: Wikipedia)

In Haiti, where they speak French, it’s ‘Ouverture’ and ‘Fermeture’. In Belize, where English is the pre-dominant tongue, it’s simply the ‘Opening’ and ‘Closing’ seasons.

The National American Soccer League also adopts a similar regime dividing the second-level league into ‘Spring’ and ‘Fall’ championships.

The terminology varies across different countries.

In Argentina, it’s ‘Inicial’ and ‘Final ‘(Spanish for “initial” and “final“). In Colombia, ‘Apertura’ and ‘Finalización’ and  in  Costa Rica, ‘Invierno’ and ‘Verano’ (Spanish for ‘winter’ and ‘summer’).

In some countries, these tournaments are national championships by themselves. In others, there is a final stage much like the J-League where the top teams play each other to be crowned the season’s winners. In yet others, the two league winners play each other in a curtain-raiser at the beginning of the next season.

Most tourneys with fewer teams utilize a double round-robin format while in leagues with many more sides participating, only a single round-robin format suffices.

Relegations, if any, are usually on an aggregate basis.

Application to IPL

A photo of a match between Chennai SuperKings and Kolkata Knightriders during the DLF IPL T20 tournament (Photo credit: Wikipedia)

This year, the Champions League Twenty20 was scrapped by the Australian, English and Indian boards jointly.

The reasons given were poor viewership and lack of sponsorship.

Franchises from India, Sri Lanka, West Indies, New Zealand, South Africa, Australia and England take part. England have not participated since 2013 citing clashes with their domestic season.

Amongst all the T20 leagues taking place today, the Indian Premier League is the richest, most glamorous and most successful by far.

However, the competition is plagued by player withdrawals and injuries as well as viewer fatigue given the sheer number of matches over a period of two months.

This year, the IPL followed the ODI World Cup. It was difficult to attract television sponsors given their budgets had already been exhausted on 2015’s premier cricket tournament.

This is a perennial problem with the IPL when international tournaments are scheduled either before or after it. The BCCI, with its clout, may have cleared the ICC calendar for its showcase tourney  but it has no control on the purse-strings of corporate sponsors and where they choose to spend their advertising money.

The splitting of the IPL into two phases can be the solution to these worries.

A shorter tourney would be more attractive to sponsors, cut both player and viewer fatigue and keep interest right from the beginning without having the audience tune in towards the end of the league to clue in as to which teams would finally qualify for the knock-out rounds.

The current format is a double round-robin league featuring home and away games.

Each side plays a total of 14 games. In a single round-robin league, this would be reduced to seven each.

Seven is not an even number. Half the teams would be slightly advantaged, playing one game more at home. This, of course, is offset by them playing one less home-game in the latter phase.

The division into two pieces would allow for a much tighter ship. Interest in the next phase would be retained by the addition of a playoff round deciding the eventual victor.

This would also allow players to make themselves available for at least one phase of the tournament and not have them either arrive or leave abruptly midway through the tournament. The first phase could be scheduled for April and the second in October using the spot vacated by the Champions League.

An addition of four more games as a season closer can always be accommodated. This, of course, may entail expenditure on two more trophies but that is a small price to pay for a much more streamlined event.

The clamour for reform in the IPL ought not to be confined to spot-fixing allegations, conflicts of interest, transparency and probity in ownership.

The tournament itself needs to be examined and vetted to see that it can withstand the wares from mushrooming leagues in other sports that slowly but surely will erode their viewership.

Standing still on a moving treadmill is never a good idea.

Lalit Modi wishes to take over the cricketing world

Lalit Modi is a megalomaniac.

The former czar of the IPL wishes to take over the world—the cricketing world.

And that too in style.

Modi and his cronies have envisaged a new world order that does not require the sanction of the ICC, one that affiliates itself with the Olympic movement. The blueprint will do away with ODI cricket altogether and consist of only Test and T20 tourneys.

Modi said:

“We’re talking about another cricketing system. There is a blueprint out there, it’s got my rubber stamp on it. I have been involved in it. I say it for the first time, I’ve been involved in putting that (blue)print together. We could take on the existing establishment, no problem. It requires a few billion dollars, I don’t think it would be a problem to get that … into action.

The plan that I have put together is a very detailed plan, it’s not a plan that’s come off the cuff, it’s been taking years and years and years in the making.”

International Cricket Council (Photo credit: Wikipedia)

The fugitive from justice has termed the big three of international cricket, India, Australia and England “snakes”.

Speaking to ABC Network in its documentary, ‘The Great Cricket Coup’, Modi said:

“They are the three snakes of cricket. You’ve got to take their neck off, you’ve got to chop their head off, otherwise cricket will not survive.”

(Modi apparently does not understand that snakes have no necks.)

Modi added:

“For me to get players would be…a switch of a button. There was a report that ran on the front of The Australian newspaper that said $100 million pay cheque for two of your players. I think that’s an easy cheque to write and if that cheque is easy to write then ‘would I get the players or not?’ is a question you should ask the players, not me.”

The heartening aspect of this extraordinary plan is that Modi does not intend to do away with Test cricket.

Also, he does see the need to gain approval from another body, if not the ICC, the IOC.

That is going to be an onerous task.

The ICC is unlikely to relinquish control over a sport that is a money-spinner for the powers-that-be without a fight.

It would be interesting to see how Modi’s plot pans out.

Kerry Packer and his ‘pyjama cricket’ improved cricket telecasting and was the harbinger of fatter pay packets for the players and commentators.

Not that the sport needs more; at least, the Indian players would differ strongly.

But an offshoot of any such attempt might mean that more cricket is played all over the world and the profits redistributed to many more nations much like Sepp Blatter’s FIFA, perhaps, without the endemic corruption and powerplay(s).

More power to Modi.

‘The Great Cricket Coup‘ is available for viewing here.

BCCI fires off conflict of interest missive to members

When the BCCI stated that it would accept the Lodha Committee’s recommendations in toto, few believed it would make any substantial difference to its inner workings and the postponement of any decision about the suspended teams CSK and RR only fueled these suspicions.

The first inkling of sweeping changes in the offing occurred yesterday when the BCCI addressed the issue of conflict of interest in a letter to its members requested them to sign a declaration stating that they have no existing conflicts of interest in their capacities as officials with the BCCI or any state association.

The letter states:

“Conflict of interest is not about beliefs or biases. It is about a person’s roles and responsibilities, and the tendency or apprehension of bias that assumes to exist when duties, decisions or actions conflict. Deciding that someone has a conflict of interest is a description of a situation, not a judgement about the person or their actual beliefs.”

It also asks members to declare the absence of “any personal or family allegiance, bias, inclination, obligation or any interest of whatsoever nature, directly or indirectly which may in any way affect or provide any financial or any other benefit to me, my family or close relations or which may tend to interfere with or affect my objectivity, independence, impartiality and neutrality in any decision making process, acts and conduct relating to or arising out of discharge of my office of President/Hony. Secretary of …”

It is a pity really that the antics of politicians and certain ‘luminaries’ within the BCCI and other national sports federations have tarred all who have been accused of conflicts of interest with the same brush.

The paucity of qualified people especially ex-sportspersons willing to be a part of sports administration is well known and there is always a possibility that there will be some entanglement of private and public roles and responsibilities.

That’s as it is. It should not be sufficient reason to jettison recent developments as non-viable or unworkable in an Indian context. This has been the bane of any attempt at reforms.

Let us revisit the definition of ‘conflict of interest‘ first.

Wikipedia states:

“A conflict of interest (COI) is a situation in which a person or organization is involved in multiple interests (financial, emotional, or otherwise), one of which could possibly corrupt the motivation of the individual or organization.

The presence of a conflict of interest is independent of the occurrence of impropriety. Therefore, a conflict of interest can be discovered and voluntarily defused before any corruption occurs. A widely used definition is: “A conflict of interest is a set of circumstances that creates a risk that professional judgement or actions regarding a primary interest will be unduly influenced by a secondary interest.” Primary interest refers to the principal goals of the profession or activity, such as the protection of clients, the health of patients, the integrity of research, and the duties of public office. Secondary interest includes not only financial gain but also such motives as the desire for professional advancement and the wish to do favours for family and friends, but conflict of interest rules usually focus on financial relationships because they are relatively more objective, fungible, and quantifiable. The secondary interests are not treated as wrong in themselves, but become objectionable when they are believed to have greater weight than the primary interests. The conflict in a conflict of interest exists whether or not a particular individual is actually influenced by the secondary interest. It exists if the circumstances are reasonably believed (on the basis of past experience and objective evidence) to create a risk that decisions may be unduly influenced by secondary interests.”

Conflict of interest is best understood in the judicial context. It’s probably no surprise that Shashank Manohar, a lawyer by profession, was and is one of former BCCI supremo N Srinivasan’s staunchest critics.

“Judicial disqualification, also referred to as recusal, refers to the act of abstaining from participation in an official action such as a court case/legal proceeding due to a conflict of interest of the presiding court official or administrative officer. Applicable statutes or canons of ethics may provide standards for recusal in a given proceeding or matter. Providing that the judge or presiding officer must be free from disabling conflicts of interest makes the fairness of the proceedings less likely to be questioned.

In the legal profession, the duty of loyalty owed to a client prohibits an attorney (or a law firm) from representing any other party with interests adverse to those of a current client. The few exceptions to this rule require informed written consent from all affected clients, i.e., an “ethical wall”. In some circumstances, a conflict of interest can never be waived by a client. In perhaps the most common example encountered by the general public, the same firm should not represent both parties in a divorce or child custody matter. Found conflict can lead to denial or disgorgement of legal fees, or in some cases (such as the failure to make mandatory disclosure), criminal proceedings. In the United States, a law firm usually cannot represent a client if its interests conflict with those of another client, even if they have separate lawyers within the firm, unless (in some jurisdictions) the lawyer is segregated from the rest of the firm for the duration of the conflict. Law firms often employ software in conjunction with their case management and accounting systems in order to meet their duties to monitor their conflict of interest exposure and to assist in obtaining waivers.”

Wikipedia also lists the following methods for mitigation of conflicts of interest:

Removal

“Blind trust”

Disclosure

Recusal

N Srinivasan, in an attempt to retain his position as BCCI president, has placed his CSK shareholdings in a ‘players’ trust‘.  This, however, did not cut any ice with the Supreme Court since the remaining 71% shares were still owned by India Cements in which he and his family members hold a controlling interest.

Disclosure and recusal sometimes go hand-in-hand where the (usually prior) disclosure of a conflict of interest may lead to the official abstaining himself from any deliberations where a personal stake could affect the outcome.

The stakes are high. The aforesaid letter is just the beginning.

The next step would be for the BCCI and state associations to set out code of ethics and conduct for players, office bearers and umpires.

Will N Srinivasan see the writing on the wall and step down from the ICC?

Sarfaraz Khan joins the ‘moneyed’ big league

He made connoisseurs and critics alike sit up with his stirring performances for Royal Challengers Bangalore at this year’s IPL.

He’s switched loyalties from Mumbai to Uttar Pradesh in order to gain more playing time in the Ranji trophy and hopefully catch the selectors’ eye.

And now he’s been signed up by Sunny Gavaskar’s Professional Management Group (PMG) for a princely sum rumored to be in the range of Rs. 1.5 to 2 crores.

Royal Challengers Bangalore (Photo credit: Wikipedia)

All this while he is yet to exit his teens.

What else can a 17-year-old want or seek?

His name is Sarfaraz Khan and he is not the next Sachin Tendulkar.

He is the first and only Sarfaraz Khan.

The move to UP is crafty and many will suspect Sunny’s guiding hand behind the decision.

Rohan Gavaskar turned out for West Bengal to improve his chances of playing for India.

That’s beside the point. The advice is sound.

What Sarfaraz Khan and his parents do not need is an incessant intrusion into his private and playing moments.

The lad is young and will have to prove his mettle over the years.

The dye is cast. Let the true colors shine through.

IPL Governing Council buys time for all concerned, except the fans

Trust the BCCI (more specifically, the IPL Governing Council) to appoint a working group to look into the recommendations of the Lodha panel.

Franchises’ input into the process is ostensibly the reason touted by the council.

It is an excuse to buy more time. It does not come as a surprise; the BCCI is split into two warring factions, one for ICC chief N Srinivasan and the other against.

The BCCI has six additional weeks to arrive at a decision.

“The show must go on,” says IPL chairman Rajiv Shukla.

It’s evident that there will be another IPL next year with eight teams, not six.

There will be yet another auction, the players and support staff will be happy that they are not monetarily or otherwise affected, the Supreme Court verdict will be honored—if not in principle.

The question on everyone’s mind: What is N Srinivasan going to do?
Embed from Getty Images
His position as ICC chairman is even more untenable by the day.

Can he pull yet another rabbit out of his hat?

The governing council’s decision has given him time to ponder his limited options.

If the BCCI (and the ICC) is serious about clearing the mess that is the IPL, the India Cements strongman has to exit.

Whether the CSK and RR franchises are terminated is moot. The Supreme Court verdict is less harsh than what the rules dictate.

Teams have been terminated for less.

The BCCI has painted itself into an inglorious corner with its inability and unwillingness to clean up its Augean stables.

It waited for the Supreme Court to burn them down, instead.

Is it now delaying only for the Supreme Court commission to drive the final nail into its coffin when it completes its investigation into the allegations against IPL COO Sundar Raman?

That will be Judgment Day indeed.

MS Dhoni announces retirement from IPL, signs up for ISL (Satire)

In a surprise announcement that again bewildered fans and critics, Mahendra Singh Dhoni announced his signing up as a marquee player for Chennaiyin Football Club in the Indian Soccer League (ISL).

The Indian ODI skipper is co-owner of the city club and will now represent the side in the next edition of the football league at the end of this year.

Dhoni announced his retirement from club T20 cricket effectively ending speculation about his future in the Indian Premier League (IPL).

The wicket-keeper batsman said:

“I have decided to discontinue my association with Chennai Super Kings and the IPL but my love affair with Chennai continues. I would love to give back to the metropolis that has adopted me with such passion and love over the past eight years. I have always loved playing soccer since my school days. Cricket was a fortuitous accident that has rewarded me in abundance. But I am still young and would love to ,maybe, emulate my idol Sir Vivian Richards who represented Antigua in soccer. I am a sportsman at heart—whatever the game. Soccer will also allow me to use my head more. The two months off from the IPL will be accommodated here. My commitment to the ISL is total and my playing for Team India (cricket) will be scheduled around the ISL league games.”

He added:

“I would love to try out my heads, hands and feet at other sports as well. In the future, I will also be looking at Motocross racing and kabaddi as possible outlets for the zing and zest within me.”

Abhishek Bacchan, co-owner of Chennaiyin FC, said:

“We are proud to have MSD as part of the team. We believe that he is a great motivator and can move our franchise right to the top of the league. Besides, after years of practice catching a small, red cricket ball, grasping a larger one under the bar should be a cinch.”

Disclaimer: The personalities are real but the story is fictional. Some facts (and figures) are made up, but you knew that already, didn’t you?

Shilpa Shetty announces soap opera on IPL (Satire)

Shilpa Shetty at the IIFA Awards (Photo credit: Wikipedia)

July 15, 2015, Mumbai:

Shilpa Shetty and her husband Raj Kundra announced the making of a soap opera for Indian television titled ‘IPL: Heroes to Zeroes‘.

At a glitzy affair attended by most of the bigwigs in Bollywood, the glamorous actress  said:

“S2 Global Productions will be producing a magnum opus on the Indian Premier League, that will begin with its inception in 2008 and end with the current denouement by the Supreme Court on the fate of teams Chennai Super Kings and Rajasthan Royals. It will attempt to present our side of the story—the IPL saga from the viewpoint of team owners and their travails and run-ins with the BCCI dictatorship. Raj and I will be portraying ourselves. My husband has always been fascinated with Bollywood and has always wondered if he could romance me onscreen. This is his golden opportunity.

Our friends in Bollywood, Preity Zinta, Shah Rukh Khan and Juhi Chawla have graciously consented to be a part of this venture and play themselves as well. Talks are on with Lalit Modi to have him play a stellar role in the series. His is indeed a unique role. He is both hero and villain. Indian television has never seen such a paradoxical character and we would love to have him on-board. We will be shooting all his scenes overseas and are willing to accommodate his travel schedule while meeting our requirements.

We would love to have Mr. N Srinivasan and his son-in-law Mr. Meiyappan shoot for us as well. But we hope the public understand if that’s not possible.”

English: Indian actress Preity Zinta (Photo credit: Wikipedia)

Ms. Shetty added:

“The production values for this series are lavish. We estimate that this will an even more expensive affair than Anil Kapoor’s 24. The show will be in Hindi and will be dubbed in the regional languages. We are also looking at international tie-ups for an English version of the series. The series will have several firsts. Each episode will be streamed live on a pay-per-view basis. The publicity will be conducted on social media only. We have a predilection for  Twitter and Instagram as our preferred vehicles of choice.

We also hope that our out-of-work IPL crew and team-members will join us. We have starring roles of every member of the CSK and RR franchises. This is our way of ensuring that they do not feel left out in any way. We also have bit roles for the various team cheerleaders and hope that some of them can go on to bigger roles as item girls in Bollywood films. IPL anchors such as Archana Vijay and Shibani Dandekar are also being sought to be narrators for different seasons of the soap.

While we do have screen writers for the scenes and dialogues, the twists and turns in the plot write themselves. Truth in this case is stranger than fiction and we have no qualms in courting it.”

Mr. Raj Kundra said:

“This is a big bet for us. It can make or break our production house.”

Disclaimer: This is a work of fiction. While the personalities are real , all facts are made up and any resemblance to any persons living or dead is purely coincidental. But you knew that, didn’t you?

AFI, anti-competition and road races in India – I

The Athletics Federation of India (AFI) is anti-competitive.

The sports ministry of India believes so.

Unable to overturn a ban on its athletes participating in unauthorized road races, the ministry has called upon the Competition Commission of India to squash the draconian move by a body that ironically receives funding from the central government.

No athlete affiliated to the AFI is currently allowed to compete without first obtaining clearance from it.

The decision was ratified in its AGM.

“The house unanimously approved to take action against the state units officials athletes and individuals who en courage the unauthorized marathons and become part of such marathons where AFI permission was not taken and it was made mandatory to seek permission of AFI before organizing any road race marathon on national and international level.”

The sports ministry in its complaint termed the move “anti competitive, not conducive to development of sports at grassroots level and was likely to have an adverse impact on promotion of sports and protection of the interest of sportspersons.”

AFI president Adille J Sumariwalla responded:

“We have a meeting with the ministry every 10 days, but nobody has raised this issue with AFI. If the ministry has any problem with AFI, they should discuss the issue with us.”

He also denied that there were any such restrictions on its athletes.

The ministry also claimed that the AFI was only one among many national sports federations resorting to such unethical practices to retain their hegemony.

The ministry also claimed that it was unable to take any action as the AFI was an autonomous body.

The Tribune, in its editorial titled ‘Let People Run‘ , was critical of the AFI.

It read:

“Greed is the root cause of the ongoing conflict between the Athletics Federation of India (AFI) and the organisers of various road races in the country. The AFI wishes to control all athletic competitions. Laughably, it declares that various marathons — like the Mumbai Marathon or Delhi Half Marathon — are its properties. That’s patently false. They are not the AFI’s properties for they’ve been organised and nurtured by private companies like Airtel, Standard Chartered or TCS. The AFI’s role in these races has been restricted to obtaining royalty and capitation fee — running into lakhs of rupees — from the organisers. These races have become extremely popular, attracting celebrities and a very large number of runners. For instance, last year’s Delhi Half Marathon had over 32,000 entries, and over 15 sponsors/partners. The AFI wants a larger chunk of the pie. It’s about money.

 

It’s not unprecedented for a sports association to desire complete control over a sport in an attempt to completely control the cash inflow. The Indian cricket board (BCCI) did the same when the rebel Indian Cricket League (ICL) was launched by the Zee group in 2007. The BCCI banned all the cricketers who associated with the ICL, which eventually collapsed. But the players benefited from the emergence of competition — the BCCI made a dramatic increase in the wages for the players at the domestic and international levels. 

 

There’s a marked difference between the BCCI and the AFI. The former is an independent society, which now resembles a corporate entity with money-making as an objective. The AFI, though autonomous, can exist and operate only because it’s supported by public funding. The road races, which attract people toward sport, should have been the AFI’s own initiative in the first place. But now it wants to jump in for money. The AFI can’t stop commoners from running, and it must not be allowed to ban the athletes who compete in the races as well.”

The Mid-Day, in a piece titled ‘Marathons: Who’s running the show?‘, expressed concern for elite athletes.

“What this current imbroglio does, though, is throw athletes into a quandary. It is hugely confusing for state and national athletes. Which event do they participate in? Should they take part in a road race that does not have the AFI blessing? Would they even know which events are ‘authorised’ or ‘unauthorised’? Who would be able to tell them?”

The DNA, in an article by Chander Shekhar Luthra, revealed another aspect behind the AFI’s decision.

“………a senior AFI official said on condition of anonymity that the ‘marathon business has been flourishing in India in last one decade and it needs to be regulated in order to check any malpractices’.

In one such non-recognised marathon event, The winner was not given any. And when this athlete complained to the ministry, AFI was asked to file an explanation. The GBM resolution was passed to curb such unethical practices only,’ said the official on Friday.”

The Competition Commission of India website states:

“Competition is the best means of ensuring that the ‘Common Man’ or ‘Aam Aadmi’ has access to the broadest range of goods and services at the most competitive prices. With increased competition, producers will have maximum incentive to innovate and specialize. This would result in reduced costs and wider choice to consumers. A fair competition in market is essential to achieve this objective. Our goal is to create and sustain fair competition in the economy that will provide a ‘level playing field’ to the producers and make the markets work for the welfare of the consumers.
The Competition Act
The Competition Act, 2002, as amended by the Competition (Amendment) Act, 2007, follows the philosophy of modern competition laws. The Act prohibits anti-competitive agreements, abuse of dominant position by enterprises and regulates combinations (acquisition, acquiring of control and M&A), which causes or likely to cause an appreciable adverse effect on competition within India.
Competition Commission of India
The objectives of the Act are sought to be achieved through the Competition Commission of India (CCI), which has been established by the Central Government with effect from 14th October 2003. CCI consists of a Chairperson and 6 Members appointed by the Central Government.It is the duty of the Commission to eliminate practices having adverse effect on competition, promote and sustain competition, protect the interests of consumers and ensure freedom of trade in the markets of India.The Commission is also required to give opinion on competition issues on a reference received from a statutory authority established under any law and to undertake competition advocacy, create public awareness and impart training on competition issues.”

This is not the first time an Indian sports body has been in the cross hairs of the regulatory watchdog.

In 2013, the BCCI was slapped with a Rs.52.24 crore fine for blocking players from opting to participate in competitive league such as Subhash Chandra’s Indian Cricket League (ICL).

The complaint filed by Surinder Singh Barmi, a Delhi-based cricket fan, alleged “irregularities in the grant of Indian Premier League (IPL) franchise rights for team ownership, media rights for coverage of the league, and in the award of sponsorship rights and other local contracts related to the Twenty20 league conducted by BCCI.”

The ruling was later set aside by the Competition Appellate Tribunal (Compat).

Compat said:

“The finding recorded by the Commission on the issue of abuse of dominance is legally unsustainable and is liable to be set-aside because the information downloaded from the net and similar other material do not have any evidentiary value and, in any case, the same could not have been relied upon by the Commission without giving an effective opportunity to the appellant (BCCI) to controvert the same.”

 

The CCI  used information from public sites without disclosing to the BCCI their sources to arrive at a ruling thus vitiating the rule “audi alteram partem (let the other side be heard as well).”

To be continued…

LaMo ends ‘acche din’ of NaMo sarkar

English: Image of Narendra Modi at the World Economic Forum in India (Photo credit: Wikipedia)

First, it was Sushma Swaraj.

Next, Vasundhara Raje.

The saga of Lalit Modi—which tars politicians of every feather who are  connected or who communed with him—continues.

Meanwhile, the former cricket administrator gallivants the partying world enjoying the immunity granted him by his erstwhile familial and political allies.

The Congress and its allies have promised to disrupt parliamentary proceedings seeking removal of the BJP matriarchs.

Narendra Modi and his cohorts came to power on the back of NaMo’s version of “It’s the economy, stupid” promising “acche din” and good governance.

While the NDA government enjoys a majority in the Lok Sabha, it is not so in the Rajya Sabha. The Congress and its allies rule the roost there throwing a spanner in the works of any new bills forcing the Prime Minister to promulgate ordinances instead.

Narendra Modi would be well advised to give his constituents what they deserve and let the cards fall as they may. The Gujarat strongman is not to shirk from doing what’s right. Swaraj and Raje should be asked to resign.

The previous government had one of the worst records on parliamentary business conducted. A similar  fate should not befall this one.

All appearances of impropriety should be investigated and guilty parties penalized.

Narendra Modi should preside over “acche din” and not merely be the “King of Good Times“.

हिन्दी: भारतीय राजनीतिज्ञ सुषमा स्वराज (Photo credit: Wikipedia)