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HC refuses to grant injunction on BCCI contract with IMG-TWI
1 June 2001

The Mumbai High Court on Friday refused to grant injunction on the decision of the Board of Control for Cricket in India's (BCCI) to award a contract to the International Management Group and Transworld International Combine (IMG-TWI) towards team clothing sponsorship for international matches to be played in India or outside in the next three years from July 1.

The ad interim order was delivered by Justice DK Deshmukh, who heard the application filed by Gayatri Arts, a Mumbai-based company, which had sought an injunction from it on BCCI signing contract with IMG-TWI or any other group.

The application filed by the propreitor of Gayatri Arts, Shyam Dhumatkar, stated the three-year contract was awarded to his company which had made the highest bid of Rs 90 crore through a legal tender advertised by the BCCI in a newspaper.

The BCCI confirmed the contract in a letter to Gayatri Arts on May 3 and gave 48 hours to the company to accept the offer. Accordingly, Gayatri Arts accepted the contract in a letter to the BCCI, the petition submitted.

On May 22, however, BCCI's marketing committee held a second meeting in New Delhi where the contract awarded to Gayatri Arts was resiled and instead awarded to IMG-TWI after an open bidding and revelation of prices. However, the BCCI today claimed that its communication to Gayatri Arts was not a confirmation letter of the contract but a mere 'query'.

Dhumatkar's counsel Ashok Paranjpe said he would be challenging the interim order of the court.

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