ED searches WSG premises in Delhi-NCR

The Enforcement Directorate (ED) today carried out searches on at least two premises of Mauritius-based sports marketing firm WSG in the Delhi-NCR region in connection with its money laundering probe into alleged misappropriation of funds in allotment of cricket media rights by BCCI in 2009.
Sources said multiple teams of ED sleuths raided the two premises of the World Sports Group (WSG) in Delhi and Gurgaon as part of their probe against the firm.
"The searches are being done to collect documents and evidence in connection with a Prevention of Money Laundering Act (PMLA) case the ED has registered against WSG and others. The agency has taken cognisance of a 2010 Chennai police FIR in this case," they said.

Efforts to contact WSG did not fructify. Text messages sent to to its spokesperson remained undelivered.
The case pertains to filing of a complaint by former Board of Control for Cricket in India (BCCI) boss N Srinivasan against WSG and ex-IPL chief Lalit Modi in Chennai for alleged misappropriation of Rs 470 crore funds, mainly in alloting media rights and free commercial rights to the said sports marketing and events management firm.
The central probe agency's Mumbai office had registered a PMLA case in this regard this year even as it recently had slapped a Rs 425-crore show-cause notice against BCCI-IPL, WSG, Modi, Srinivasan, private multi-media firms and their officials for alleged contravention of forex laws in awarding a cricketing media rights contract in 2009.

The deal dates back to 2008 when the BCCI awarded the 10-year media rights to WSG on payment of USD 918 million. In the same year, WSG also entered into a deal with Multi Screen Media (MSM) to make Sony the official broadcaster. The contract was replaced a year later with a nine-year deal where Multi Screen paid USD 1.63 billion.
Srinivasan had earlier alleged in his FIR to Chennai police that this deal was a case of "criminal breach of trust" and "falsification of accounts".