The commercial partner of the I-League and a few other major domestic competitions has requested the All India Football Federation (AIFF) not to claim the pending dues, which amounts to around Rs 2.5 crore.
According to a report from News9 Sports, the AIFF AIFF signed a commercial rights agreement for I-League, I-League 2, Indian Women’s League, Santosh Trophy and Rajmata Jijabai Trophy (senior women’s national championship) with Shrachi Sports Endeavour Pvt Ltd for the production and broadcast of 338 matches in the 2024-25 season in December last year. As per the agreement, Shrachi was due to pay Rs 2.5 crore in four instalments, each amounting to Rs 62,50,000 (25 percent).
The first instalment was agreed to be paid on “execution of the agreement”, followed by the second one “no later than seven days before the commencement of the first competition of the season scheduled under this agreement”.
The deal was signed in the presence of the AIFF president, Kalyan Chaubey, and reported on the official website of the AIFF on 2nd December last year.
But the AIFF could not press for the payment due on “execution of the agreement”.
As its reflection, the second installment has not yet been paid, although the season kicked off in earnest.
The third instalment was to be made “within seven days of the completion of fifty per cent (50%) of the matches of the season” while the fourth and final one was to be paid “no later than seven days before the commencement of the last competition of the season”.
Senior men’s and women’s club leagues and national championship matches were agreed to be streamed on the SSEN app, while 110 of the 132 I-League matches were to be broadcast live on Sony Sports Network.
Not only were these conditions never fully met as the season concluded in April, but Shrachi is yet to pay any of the four instalments, despite being sent a reminder.
Instead, through a letter, they have requested the federation to waive off the entire amount, claiming a loss of around Rs 1.50 crore.
“We have fulfilled all contractual obligations but faced some infrastructural issues leading to the absence of live feed in some matches. We have informed the AIFF about the challenges faced in delivery. Now it is up to them to consider it,” a Shrachi official told News9 Sports, preferring not to be named as the matter is under consideration.
“Time is of the essence about the Right Holder’s payment obligations hereunder. Interest shall be payable by the Rights Holder to the AIFF on any late payments of any amount, including any instalment of the Rights Fee at a rate of twelve per cent (12%) per annum,” it is written in the agreement paper.
“All payments under this Agreement herein shall be due on the dates specified herein from the Rights Holder from the AIFF, irrespective of the receipt of an invoice from the AIFF.”
At its executive committee meeting on Wednesday, the AIFF formed a three-member panel to deliberate and review the request, while an Ex Co member proposed to extend the deal with a high concession so that they make up for the losses incurred this season.
It was met with objection from certain members who wondered why such favours were being considered for the company that has defaulted on payments at a time when the AIFF is in dire need of funds.
“Why didn’t the AIFF ask for the 25% signing-on amount and the second instalment as per the deal?” a member wondered.
The newly formed committee is expected to take around a month to review Shrachi’s request and then recommend a way forward.
