Lalit Modi claims IPL franchises missing out on massive revenue due to BCCI

Lalit Modi, the founder of the Indian Premier League, has criticised the Board of Control for Cricket in India for poor management of the league. It is also known that Modi has personal issues with the BCCI. Back in 2010, he was suspended as the chairman & commissioner of the IPL for misconduct, indiscipline, and financial irregularities. 3 years later, he was banned for life. Naturally, it means that his word should be taken with a grain of salt when it comes to anything about the BCCI. However, he’s an expert on all things related to the IPL.

Lalit Modi played a big role in making the Indian Premier League what it is today. Without his ideas and planning, the league may not have become so successful. In a recent talk with Sportstar, Modi said that the Board of Control for Cricket in India takes about 50% of the money earned from each IPL match, which he claims is around ₹118 crore. The remaining amount is split equally, 25% each, by the two teams. However, this model was based on teams facing each other twice in the group stages, once at home and once away.

“(For) every game, the BCCI gets 50 per cent, and the remaining 50 per cent is distributed to teams. So, teams are now losing out on 20 games. It is by contractual obligation for the fees that they’re paying to provide them home and away,” Modi said.

Lalit Modi slams BCCI over IPL management

It is widely expected that the Board of Control for Cricket in India (BCCI) will be increasing the number of matches hosted in the Indian Premier League (IPL). The broadcasters were promised an increase in the total number of matches from 74 up to 84 during 2023–27, and again from 84 to 94 during this period. The increase in the total number of matches means more revenue to be distributed to the IPL franchises. However, so far this has not occurred. Each franchise loses an estimated INR 120 crore ($166 million) per season due to this lack of games. Arun Dhumal (the Chairman of the IPL) addressed the issue of fewer than expected total matches being played recently as well.

“The home and away is where the value is. If you don’t have time in your calendar, don’t increase the number of teams. Simple as that. That’s not what we sold. Has everybody signed off on it? I guarantee not. Why are they not playing home and away? There are excuses. It is our contractual obligation. This is a commercial transaction for the teams,” he added.

According to Lalit Modi, the Board of Control for Cricket in India (BCCI) has done a poor job of managing the Indian Premier League (IPL). Modi believes that both the IPL and its franchises had the potential for further growth. Recently, the Royal Challengers Bangalore and the Rajasthan Royals were sold for record amounts. However, Modi believes that with better IPL management their future earnings would have been higher, thus increasing their values as well.

“If there were 94 matches today on a home and away basis, Rs 118 crore a game, it’s Rs 2,400 crore, just the media rights. That’s Rs 2,400 crores extra that’s coming to the BCCI. Out of this, Rs 1,200 crores would have gone to the 10 teams, each team would have got 120 crores, and the team value should have automatically been higher,” Modi concluded.

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