BCCI rejects PCB’s compensation demand, says Memorandum of Understanding not binding

The Board of Control for Cricket in India on Wednesday rejected the Pakistan Cricket Board’s demand for compensation for not honouring the Memorandum of Understanding signed between them, saying that it was not binding, reported PTI.

The Pakistan Cricket Board Chairman Shaharyar Khan confirmed on Tuesday that they have received a response from the BCCI on the notice sent to BCCI last week demanding $6.4 million as compensation for not playing with Pakistan in bilateral series as outlined in the MoU.

“We have a got a reply from BCCI and they have raised some points. One of them is they don’t consider the MOU a binding legal agreement between the two Boards. Secondly, they have pointed out that permission of government is necessary for any Indo-Pak series and since their government is not giving them permission, they can’t play with us,” Shaharyar said.

Khan said the BCCI had also raised the issue of security problems in Pakistan which is why it couldn’t tour the country.

According to Indian Express, the term of BCCI’s letter to PCB read, “The BCCI is not liable to compensate the Pakistan Cricket Board (“PCB”) as asserted by you. The letter dated 9th April 2014 enclosed along with your Letter contemplated that the BCCI and the PCB will enter into a long form FTP Agreement in respect of the tours specified therein. The tentative understanding set out in the letter dated 9th April 2014 has not been formalised by way of a long form FTP Agreement, as was contemplated.”

However, the PCB chief insisted that the MoU was a proper contract signed in 2014 as India had sought support for the Big Three governance and financial model system.

“The MoU was signed with the knowledge of the ICC. We will send them another letter and if they don’t respond positively to our compensation demand or to play series then we have completed our homework to take our case to the ICC disputes resolution committee,” he added.

“Let me clear that the PCB’s case is strong and we will go to the last stage to win at the ICC level since it is our right to demand justice.”

He also insisted that there was no clause in MoU about seeking government clearance and as it was it was India’s responsibility to get permission from their government and not the headache of the PCB.

“We even were willing to go and play at any neutral venue so where does this security issue crop up. India has played international bilateral matches at neutral venues.”