Dalmiya: Breather

Chennai, May 2: After the moral rap, Jagmohan Dalmiya can now permit himself a smile.

A Madras High Court division bench today set aside the order of a single judge who had indicted the former cricket board chief for the ?improper? cancellation of the bidding process for telecast rights to all international matches in India till September 2008.

On March 21, Justice K.P. Sivasubramaniam had upheld the petition filed by Zee Telefilms, the original winner, and slammed the BCCI?s move as ?unjust, illegal and the result of bias against the petitioner?.

Zee had quoted the highest price and even made an advance payment but sought legal redress after its rival ESPN-STAR Sports, the second highest bidder, went to court, prompting the board to decide on re-bidding.

Today, Chief Justice M. Katju and Justice F.M. Ibrahim Kalifulla said the indictment of the BCCI and its former chief was ?uncalled for and unsustainable?. They also dismissed a petition by Zee which contended that it should be awarded the contract in view of the earlier observations.

The judges said the documents clearly showed there ?was no concluded contract? and it was evident from the letters of intent that Zee had understood that the matter was at the negotiation stage. ?In our opinion, the BCCI was well within its rights to cancel the tender process,? they added.

On Zee?s charge that after it emerged the highest bidder with $260 million, the board had called ESPN, which had quoted $230 million, the judges said there was nothing wrong in holding negotiations with the first two highest bidders. Following the talks, ESPN had increased the amount to $308 million and Zee was asked to match the amount.

The division bench rejected Zee?s contentions that Dalmiya had an ?animus? towards it and said it was not necessary to decide in Zee?s favour as there is no rule of law that in such a situation the contract must be given to the original highest bidder.

The judges rejected Zee?s contention that the BCCI?s marketing committee and Dalmiya were at loggerheads and pointed out that the committee had on several occasions endorsed Dalmiya?s action and authorised him to take further action on telecast rights.

The bench said the petitioner has not been able to show that any right, either statutory or contractual, had been infringed.

The bench said the rights could not be ultimately given to Zee because of a writ petition filed in Bombay High Court by ESPN-STAR Sports. Rejecting another allegation that the above petition had been filed in collusion with the BCCI, the judges said if it were so, the BCCI would not have decided to award the contract initially to Zee.