Citizens' Issues
Lalit Modi tweets, “BCCI systematically scuttled Indian Cricket League”

Lalit Modi, the controversial former commissioner of the Indian Premier League has been revealing some allegedly hidden secrets on Twitter

Lalit Modi has been revealing some of shocking inside information that suggests that the Board of Control for Cricket in India (BCCI) destroyed competition from the Indian Cricket League (ICL), in order to keep its own Indian Premier League (IPL) alive.

ICL, was a private cricket league funded by Zee Entertainment Enterprises which was conducted in India between 2007 and 2009. While its establishment pre-dated the IPL, the ICL folded up in 2009. Aside from the commercial aspects, the ICL lacked the support of the BCCI.

Here is what Lalit Modi, who shot into the limelight during his stint as chairman and commissioner of the IPL, said about BCCI, ICL and IPL on Twitter on Monday.

  •   @LalitKModi When I was at BCCI - the mandate given then was to scuttle ICL. BCCI arm-twisted every cricket board and ICC to change their constitution.
  •   @LalitKModi The constitution of every board was changed and ICC made ICL redundant by its act - by making it unauthorised cricket.
  •   @LalitKModi Worldwide anti-competition laws were studied and finally thou against most laws - the ICC changed their constitution to protect its members.
  •   @LalitKModi When you work for an organisation - and it gives you a mandate to do something then - its one job to do that to the best of his ability.
  •   @LalitKModi Yes, I was part of the BCCI when we scuttled ICL. That was the mandate of the organisation. It was not my personal agenda.
  •   @LalitKModi I have no personal issues with ICL. I am of the personal opinion that more competition in the game is good for the game and its players.
  •   @LalitKModi I have always done what's required by any organisation I have worked with. Well I guess I do my job well. That's why I give results.
  •   @LalitKModi Yes, we were afraid of Subhash Chandra's clout in the media and ability to take over the World of Cricket. Internally we ...
  •   @LalitKModi All correspondence related to scuttling ICL and any unauthorised league - will be made available on my website soon.
  •  @LalitKModi I have read many messages regarding ICL. Yes, I admit it was a mistake to have systematically used everything in BCCI's arsenal to finish ICL.
  •   @LalitKModi Yes, we as BCCI called all and sundry to oppose ICL. Cricket associations were told not to give their grounds or fear losing matches.
  •   @LalitKModi Advertisers were called and told if you advertise on ICL then you will be barred from all BCCI cricket by the BCCI. ...
  •   @LalitKModi Players were told do not play for ICL or we will blacklist you. This then BCCI had to implement thru change of constitution.
  •   @LalitKModi BCCI even terminated Zee Sports contract unfairly as they had launched ICL and BCCI wanted window for IPL. Which I am told is in court now
  •    @LalitKModi The final Straw was to offer ICL players an amnesty Scheme so that they would desert ICL and join IPL.
  •   @LalitKModi Commentators were called and told do not associate with ICL or BCCI will ensure we will not take you. Umpires were ...
  •  @LalitKModi BCCI than called every member of ICC to ensure that they all help in changing the ICC constitution to outlaw ICL.
  •  @LalitKModi ICC set up a three member committee with ME, Giles Clarke President ECB and Norman Arendse President CSA to draft the new constitution.
  •   @LalitKModi We drafted the same and then BCCI ensured it was approved and implemented with lightening speed. Result - Demise of ICL.
  •   @LalitKModi BCCI even went to the extent of black listing suppliers like Tv Production cos, Event Managers who worked with ICL.
  •    @LalitKModi ICC used Bird and Bird a UK-based law firm to ensure Regulations to stop ICL was made consistent Globally. The 3 member Team worked with them
  •    @LalitKModi Yes I was part of BCCI and ICC when these decisions were taken. I am not denying that. All I am doing is telling you what happened.
  •    @LalitKModi Whether it is right or wrong - that question needs to be asked from the organizations. I did not run them - only part of them.
  •    @LalitKModi Why am I revealing all this now - I always said I will reveal everything one day. So what better day to start then Today.
  •   @LalitKModi BCCI used Champions League to induce other ICC members to Vote on the resolution to outlaw ICL, that way they get ...




6 years ago

I wonder what prevents the government from exercising its power over this body? BCCI is behaving like a sheer dictator.

1. Scuttle ICL;

2. Not signing WADA treaty ;

3. Not agreeing to be a part of Govt's proposed law of bringing all sports bodies under one umbrella;

4. The latest being denying permission for Indian Cricketers to play in SL T 20 league.

Can nothing be done against this body and the people who are running the show?


6 years ago

Is this written by a Journalist ?
God save Money control ......

GTL Ltd stock price slumps 62% on huge volumes; company denies promoters selling stake

Analysts describe it as market reaction to company’s scrapping plans to raise $300 million. Group company GTL Infrastructure slides 43%

The shares of GTL group tanked amidst speculations of heavy selling of the company's pledged shares, a charge which the company has denied. But market experts believe that such kind of aggressive selling happens mainly when the company's pledged shares are sold in the open market.

The GTL share prices have been falling since Friday and today GTL Limited crashed to Rs127.80, a fall of around 62% and group company GTL Infrastructure fell by 43% to Rs16.85 on the Bombay Stock Exchange.

The share price slump was on a sharp surge in trading volumes. The total trading volume from the BSE and the NSE (National Stock Exchange) for GTL Limited rose to 7.33 crore shares today, from around 16 lakh shares on Friday. For GTL Infrastructure, today's trading volumes stood at a huge 16.05 crore shares from a mere 14.72 lakh shares in the previous trading session.

This indicates the possibility that promoters' pledged equity has been sold. For instance, it could be a bank, with whom the company has pledged shares for raising funds, and the financial entity could have sold the shares. Such large trading transactions are very confidential and only the involved parties are aware of the same.

In GTL Limited, the promoters hold 52.71% of the equity capital, out of which the promoters have pledged only 12.85%.

The company denied selling off its pledged shares, or that any shares were sold by Technology Infrastructure, which holds 11% in GTL. Chairman Manoj Tirodkar was quoted in a report as saying, "Promoters' equity that is pledged for the purpose of acquisition of towers or otherwise has not been sold out. I'm categorical about that. As early as Friday we have spoken to them (Technology Infra) and they are a long-term investor, they have committed that they will remain with the company so there is no reason for me to believe that that would have changed from Friday to now."

Meanwhile, the stories in the media suggest that the company has scrapped its plan to raise $300 million. Analysts believe that the stock has sharply reacted to it. "The company's debt plan of around $3 million has been scrapped. This raises doubts on the credibility of the management. Further, the company will face problems in raising funds. The stock has reacted negatively mainly because of this news," an analyst with a broking firm told Moneylife, preferring anonymity.
GTL Ltd issued a clarification to the BSE stating that, "The company would like to confirm that neither promoters nor entities relating to promoters have sold any shares, including the shares that have been pledged."

Similarly, GTL Infrastructure issued a clarification. The company said, "The company has never launched any roadshow for the above said issue. We believe that the present market conditions, policy clarity on the telecom sector and global market sentiments are not favourable for the issue at this stage. We would like to inform you that the company is in a highly capital-intensive business and it will raise funds at appropriate times. We will keep the stock exchanges updated of any developments on this matter. The promoters and promoter group have not pledged any shares."

GLT replied to the e-mail query sent by Moneylife stating that, "We were informed by all our long-term investors including Technology Infrastructure Fund that they have not sold their holding." The company also sent the clarification letter (details mentioned above) sent to the stock exchange by them.




6 years ago

short termm gtl target price 159-186
expert view


6 years ago

I found 7 major NET sellers of GTL in NSE's bulk deals list.

None on BSE.

None for GTL Infrastructure.

Together these 7 entities have sold around 51 lac shares out of the 87 lac shares that were marked for delivery.

I could not find any information on these 7 entities. All are private companies and possibly related to each other.



In Reply to sachin 6 years ago

I wish we will know soon what is going on. I seriously believe SEBI should look in to this issue. All investors of this company have rights to know what is so wrong with it. As per if company management come back tomorrow with a buy back option, the share should pick up else we sld assume some thing is seriously wrong.


In Reply to Sanjiv 6 years ago

For buyback, a company needs idle cash, which GTL doesn't have.

Thus even if GTL does announce a buyback, I doubt the company will actually buyback any significant number of shares.

Hollow market explains flash crash and roaring rallies

A Sensex crash of 500 points in a matter of a few minutes, shows how hollow the Indian market is, as Moneylife has been pointing out for years now

Sometime just before 10 in the morning on Monday 20th June, on a simple rumour that India would restart talks on a tax treaty with tax haven Mauritius, stocks went on a freefall. At 10:00AM, the Sensex was at 17,737, a modest decline of 134 points from the close on Friday, 17th June (17,870). In the next three minutes, the index had plunged by another huge 170 points. Buying came in and the Sensex was up 80 points in the next minute or two and then suddenly a wave of fresh selling sent the Sensex crashing by 330 points in just 3 minutes of trading. The Sensex was down by 500 points from yesterday's close, literally in minutes-when a movement of 100 points has been hard to come by for days together.

The same has been the story during the rallies as well. On 13th April, the Sensex rallied by 626 points for no reason at all, within an overall trend of weakening stock prices, thanks to massive headwinds that the market and the economy are facing. From the next day again, the market started drooping.

What makes the market so bipolar? Well, it is indeed in the nature of the stock market to be volatile-sometimes without any reason. But there is another big reason for the Indian market to behave in such an extreme manner. It is the hollowness of the Indian market, which has become a play for options traders and institutional investors.

Moneylife has been pointing out that the Indian market is narrow, shallow, illiquid and concentrated in the hands of a few individuals located in a few centres-nearly 20 years after India embarked on financial liberalisation. We expected a spread of equity cult, but only a few thousand investors possibly trade on the cash market. The cash market volumes on the NSE (National Stock Exchange) and the BSE (Bombay Stock Exchange) have been dwindling rapidly, replaced by volumes in stock and index options.

The NSE records an average daily turnover of over Rs10,000 crore in the cash segment and over Rs80,000 crore in the futures and options (derivatives) segment, while the Bombay Stock Exchange (BSE) records a daily turnover of over Rs3,000 crore in the cash segment. While these numbers are much higher than what they were a decade ago, they are misleading. In the derivatives segment of the NSE, only a few lakh clients trade, of which 90% of trading is done by about 20,000. Indeed, according to the data presented by the minister of state for finance Namo Narain Meena, in response to a question in Parliament last year, only 2,188 investors accounted for 80% of derivatives turnover in the three-month period from April 2010 to June 2010. Just 537 investors accounted for 70% of trading; 223 investors accounted for 60% of trading—of which over half were proprietary brokerage firms. And a massive 50% of trading in NSE's derivatives trading turnover, the main pillar of the Indian stock market system, came from just 106 investors of which 58 were proprietary traders!

According to the D Swarup Committee report on investor awareness and protection, India has 80 lakh investors (who invest in debt and equity markets, either directly or through mutual funds and market-linked insurance plans). This official figure also represents a sharp decline from the two crore (20 million) investor population, claimed in investor surveys commissioned by SEBI (the Securities and Exchange Board of India) in the 1990s.

The fact is that the Indian market is extremely hollow—which does not seem obvious on a normal day. It is only when there is an external shock and prices decline precipitously that one realises that there are very few natural buyers or arbitrageurs and hedgers. Conversely, don't be surprised if one of these days we see an eye-popping 600-point rally. On that day, there would few natural sellers-or arbitrageurs and hedgers.

The biggest problem with the Indian market—and this is something
policymakers don't recognise—is that there are very few large long-term players.

Domestic institutions have not grown to stature that they can play shock absorbers to a sudden cascading decline. For a variety of reasons, neither mutual funds nor insurance companies have grown to a level that they can step in during a steep decline or sell when prices suddenly rally sharply. Policymakers hoped in the early 1990s that mutual funds would channel retail savings and emerge as large long-term players. In the early 2000s, it was hoped that the life insurance companies would come to play that role too. But both these businesses were allowed a free run with the kind of business practices which did not exactly serve the interests of retail investors. A regulatory backlash ensued, which first ensured that mutual funds were hobbled and then the insurance companies were hit hard. Suddenly, it seems that there are too many players with shaky business models in a floundering sector. We cannot see this changing soon and so we will remain in the grip of wild swings caused by a few large trades. Get used to many flash crashes and roaring rallies.



Anil Kabra

6 years ago

A Sensex crash of 500 points in a matter of a few minutes shows -

how hollow the Indian market is; n

also Index needs to be calculated based on Volumes wrt Mkt Cap of respective Securities (this may make the market boring on a daily basis, but entertainment is no the objective of mkt)

to minimise the gryating fluctuations in minutes which does not reflect the economy/security status


6 years ago


This is very true. Is there any new data on the trading volume distribution? This data has been around for a while.

Why can't NSE/ BSE or even SEBI publish this data on monthly/ quarterly basis. This is afterall in the interest of the country and not the chosen handful.


6 years ago

Profound. Investors ought to be careful.


6 years ago

Indian market is fully under the control of foriegn countries.what a shame

Nirav Gandhi

6 years ago

Sunday's Business Standard carried front page news item quoting CBDT chairman that Mauritius has agreed to re-negotiate DTAA.

Market did not took it as much negative and opened stable. After an hour at around 10.15 CNBC gave dramatic news flash based on BS news item only as apparently there were no new developments at Govt. level since the publication of this news. The story was not carried by any other Live Wired News like Bloomberg, Reuters, NW18. This CNBC news flash gave 500 point jerk to Sensex and recovered within 10 minutes by 300 points even before the clarification from CBDT and FINMIN and the clarification were also the same as quoted in BS news.

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