BCCI demands the maths behind ICC’s revenue distribution
The Committee of Administrators (CoA) has asked the ICC to vote on each clause of their new financial model independently and not club everything as was done at the February meeting held in Dubai.cricket Updated: Mar 21, 2017 08:32 IST
The Vinod Rai-led Committee of Administrators (CoA), which is governing the Board of Control for Cricket in India, wants to be convinced about the formula behind the percentages and figures that the ICC finalises on the world governing body’s proposed new constitution and membership criteria.
A BCCI official told HT, now they want voting on each clause independently and not club everything with the financial model as was done at the February meeting held in Dubai.
“The member boards will have reservations on different matters. By calling for a vote as a block, and dangling the carrot of increased revenue, they may compromise their independence for a bit of financial gain,” said a BCCI insider.
On the contentious issue of ICC’s financial model which will decide the revenue distribution among the members, the BCCI has made it clear the ICC will have to give them the algorithm on the basis of which they have decided their revenue distribution model.
In presenting it for voting at their Board meeting in February in Dubai, the ICC said it was built on the basis of good faith and equity. But India’s representative at the meeting Vikram Limaye disputed it saying the model would need to be backed by accepted and articulated principles of finance. About 70 per cent of ICC’s revenues are generated from the Indian market.
The issue has been again raised by BCCI CEO Rahul Johri in a letter to the ICC, stating: “The ICC is seeking to change the existing financial model without having any scientific formula or technical analysis behind the proposed changes.
“It is a fundamental attribute of any resource allocation system to first collect information and then allocate resources based on the information, priorities and a defined methodology following appropriate principles. The move to propose changes to the existing financial model without carrying out the aforesaid exercise is an arbitrary one.”
Also, all these decisions by the ICC were arrived at without any representative from the Indian board, the biggest stakeholders in the game, being part of the finance committee.
Now, even Shashank Manohar, who was an independent chairman, and seen as a representative of India, has resigned.
India had been isolated at the February meeting, with only Sri Lanka supporting them. It has not taken the BCCI time to get the numbers on their side.
Cricket Australia’s chief David Peever has emerged as the favourite for the interim chairman’s post. He was the head of the ICC Executive Committee, which is the second most powerful body and was involved in all the steps taken in working on the new financial and structural model under Shashank Manohar’s leadership.
Indian named CFO
The ICC appointed Ankur Khanna as its Chief Financial Officer. Khanna will join the ICC at the end of March leaving Air Asia India where he has held the post of CFO for the last 12 months.