India Cements Washes Hands Off CSK Franchise

Published: 15th July 2015 04:21 AM  |   Last Updated: 15th July 2015 04:34 AM   |  A+A-

CHENNAI:  Even as shares of India Cements plunged by 6.31% within half an hour of the Supreme Court-appointed Justice Lodha Committee suspending Chennai Super Kings (CSK), sources close to its managing director N Srinivasan said that there would be no comment from their side as the report was not connected either to the company or Srinivasan.

CSK Cricket Ltd (CSKCL), which holds the franchise now, is however considering all legal avenues, they added.

“There will be no comment as he (Srinivasan) holds the position that the report on suspending Chennai Super Kings is not about him or India Cements. The CSK franchise has been transferred to the newly formed CSK Cricket Ltd, which is a seperate company, and it is up to the company to take appropriate action,” said the source.

According to India Cements, CSK has not been on their balance sheets for two whole quarters ever since CSKCL was formed and the franchise transferred in February.

In February, the board approved the sale of complete shareholding in CSKCL, aggregating to 50,000 shares of Rs 10 each, to a Trust called India Cements Shareholder Trust (ICST). The franchise was transferred to CSKCL at a net asset value of Rs 7.83 crore.

The Trust, whose ownership would be proportionally transferred to every non-promoter shareholder of India Cements, is managed by  three independent trustees currently. The shares held by the promoters in CSK will be transferred to a different trust created for former India Cements cricketers.  The result, said company sources, was that CSKCL was a completely seperate company which had no connection to India Cements.

While India Cements has washed its metaphorical hands of the CSK franchise, CSKCL will look at all avenues to explore possibilities, including an appeal. “We are consulting our legal experts and will take a decision consequently,” said sources.

Also Read : Kings and Royals Exiled, Their Faces Banished

Stay up to date on all the latest Chennai news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)


Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on are those of the comment writers alone. They do not represent the views or opinions of or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp