JSW pulling out of RCB takeover shows owning an IPL team has burnt one finger too many

In light of the recent Lodha Committee verdict which handed life-bans to Raj Kundra and Gurunath Meiyappan - tainted officials of RR and CSK - reports emerged that Jindal Steel Works (JSW) are reconsidering their takeover bid of Royal Challengers Bangalore.

“I think it’s a no at this point of time, purely based on the whole negative aura that has been generated,” said Parth Jindal, who oversees JSW Group’s sports interests. Vijay Mallya’s power-struggle with UB seems set to carry on.

On Friday, Times of India reported that a Mumbai-based businessman, once interested in buying an IPL franchise now ‘wants nothing to do with the glamorous cricket league.’

Justice Lodha’s verdict seems to have set a cat among the pigeons. But, as the TOI report mentions, this is not a recent phenomenon. The IPL has burnt quite a few fingers in the business world since its inception in 2008 despite the tag of being a lucrative investment for India’s corporate powerhouses.

The unnamed businessman is quoted as saying: “Vijay Mallya, Subrata Roy, Venkattram Reddy, the Maran brothers, even Lalit Modi - just look where they are. Isn’t it eerie?”

In its eight-edition history, the IPL has already seen a catalogue of troubles for various owners. In 2012, Deccan Chargers franchise was terminated by BCCI for breach of contract regulations as Deccan Chronicle Holdings Limited ran into financial troubles. Dayanidhi Maran’s SUN TV Network won the auction and three years down the line, they are in trouble now as well with the Enforcement Directorate over security clearances.

Kochi Tuskers Kerala and Sahara’s Pune Warriors are out of the picture too for various financial irregularities. With Raj Kundra and Meiyappan’s life-time suspension, the list of owners in trouble is only increasing.

IPL as a brand doesn’t seem all that attractive anymore.

For the full TOI report, click here .