Reports | IPL cancellation could lead to Star India losing up to Rs 3269.50 crore

The impact of the ongoing COVID-19 outbreak has already taken its toll on the economy, with millions facing loss of pay and million more people losing their jobs, and the trend seems likely to continue over the next few months. The complete shutdown of sporting events means that stakeholders across sports have taken unimaginable hits, and the impact on the economy has also forced various boards in cricket - and across other sports - to cut costs by asking its employees to take pay cuts. 

Now, according to a staggering India Today report, Star India, the official host broadcasters of the T20 extravaganza that is the IPL, could face losses close to Rs 3269.50 crore should the tournament get cancelled. The report further added that BCCI, which has sealed a Rs 2,000 crore deal with sponsors VIVO in a deal spanning five years, could lose up to Rs 400 crore, with the board also slated to lose another Rs 200 crore from central sponsorship.

It is believed that the IPL has insurance claims for events such as War or Terrorism, but not for a pandemic, meaning that losses amounting to tens of thousands of crore will be incurred should the tournament not go ahead. A tournament like Wimbledon, on the other hand, is all set to receive 141 million USD from its insurance cover owing to it having a pandemic insurance cover, unlike the IPL. As of the moment, the future of the IPL hangs by a slender thread, but the official word on the tournament getting cancelled seems all but inevitable.