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Star India pays Rs 82 cr to Maharashtra govt for mega BCCI deal

Broadcast major recently bagged the 5-yr media rights deal for IPL at a cost of Rs 16,347 cr

Press Trust of India  |  Mumbai 

(From L to R) BCCI President C K Khanna with Star India Chairman & CEO Uday Shankar and Member of Committee of Administrators (BCCI) Diana Edulji at the auction for IPL media rights in Mumbai on Monday. (File photo: PTI)
(From L to R) BCCI President C K Khanna with Star India Chairman & CEO Uday Shankar and Member of Committee of Administrators (BCCI) Diana Edulji at the auction for IPL media rights in Mumbai on Monday. (File photo: PTI)

The netted nearly Rs 82 crore as from the five-year deal between the and major Star India, a Department of Stamps and Registration official has claimed.

recently won the TV broadcasting and digital rights of the for Rs 16,347 crore in a five-year deal, defeating which had the first 10 editions of the

"After coming to know from print and TV media about the contract, we took up the matter with the Board of Control for Cricket in India (BCCI), with whom signed the contract," a top official of the Department of Stamps and Registration said.

"The positive approach of Vinod Rai, head of the Supreme Court-appointed Committee of Administrators of BCCI, helped in the speedy recovery of the amount," the official told PTI on condition of anonymity.

"We informed the that the agreement of global is chargeable under sections 5(h)(A)(ii) of the Maharashtra Stamp Act. We also pointed out that under Section 34 of the Act, the instrument (agreement) is inadmissible in evidence if not duly stamped," the official said.

The official revealed that the agreement like the one between the Star India, attracts a of 0.5 per cent of the total value.

"The Stamp Collector's Office in Mumbai asked to submit the agreement copy for payment of stamp duty," he said.

"As per the Act, the contract agreement covering exclusive rights of telecasting, broadcasting or exhibition of an event or a film attracts of 0.5 per cent of the amount agreed to in the contract, if the agreement amount exceeds Rs 10 lakh," the official said.

Accordingly, paid a of Rs 81,73,75,500 last week, the official said.

"Till last year, it was observed that parties which entered into contracts with were not keen to pay the amount. As a result, the state government lost a big amount which could have come into its kitty," the official said.

"This year the authorities decided to be proactive and sent teams to and concerned firms in a bid to garner the stamp duty," the official said.

A team went to the office in Mumbai to carry out "inspection of such agreements," he added.

Star could not be reached for a comment despite repeated attempts.

The official claimed that this is the second instance this year of the Stamps department, with the help of Rai, former Comptroller and Auditor General of India, recovering

A few months ago, the department received a copy of the agreement between the and Oppo Electronics Corporation, which said Oppo has been appointed as the team sponsor for the next five years, a deal worth Rs 1,049 crore.

"The on the agreement came to Rs 5.39 crore, which was 0.5 per cent of the total amount and was paid by Oppo," the official said.

First Published: Sun, September 17 2017. 15:16 IST
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