Mumbai Cricket Association(MCA) Exposed

Mumbai Cricket Association
(Managed and Controlled by
Sharad Pawar)Sharad Pawar)
Project at Bandra Kurla Complex

Brief Summary
1. Shri Sharad Pawar writes letter to late Shri
Vilasrao Deshmukh on February 2, 2001 seeking
allotment of plot for MCA free of cost.
2. Late Shri Vilasrao Deshmukh writes to Shri Sharad
Pawar that he is instructing the Principal SecretaryPawar that he is instructing the Principal Secretary
(Urban Development Department) to look into the
matter.

Brief Summary
3. In the letter of MCA, it states that the MCA is a
Public Charitable trust with the sole objective of
promoting and controlling the game of cricket in
Mumbai. Example of Karnataka and Tamil Nadu
Governments who have allotted plots of land at
very nominal rates are quoted. The letter it alsovery nominal rates are quoted. The letter it also
states that the project is for an ACADEMIC purpose
and is not a SELF SUPORTING ONE.

Brief Summary
4. MCA then got allotted 52,157 sq mtrs plot of land
at BKC for construction of cricket club on May 17,
2001 .
5. The plot was allotted to MCA at throw away rates
for a lease period of 80 years. MMRDA has not
invited competitive bids while allotting the plot toinvited competitive bids while allotting the plot to
MCA. MMRDA has bent several rules so as to
favor MCA.
6. In the letter dated February 2, 2001 of MCA it
stated that the total estimated project cost would
be Rs. 5 crores for construction of indoor school,
other allied facilities and to set up a lush green
turf with cricket pitches.

Brief Summary
7. However, as per the Annual Report of 2005-06 of
MCA it proposes to construct state of the art
facilities at BKC which consists of tennis courts,
squash, swimming pool, restaurant, gymnasium,
etc. at a approximate cost of Rs. 75 crores.
8. As per the same Annual Report, MCA has awarded8. As per the same Annual Report, MCA has awarded
the contract on BOT basis to M/s B G Shirke
Infrastructure for a period of 10/15 years. MCA has
given exclusive rights to M/s B G Shirke for sale of
3000 nos MCA memberships. The approximate
cost of membership is being sold at Rs. 15 lacs for
life.

Brief Summary
9. The Indian Audit and Accounts department in its
report have also raised several objections in
allotment of plot to MCA.
10.The Income Tax Appellate tribunal has raised
objection on MCA’s status of being a “Public
Charitable Trust” and has cancelled its statusCharitable Trust” and has cancelled its status
effective June 1, 2010

Exhibits
Date Exhibits
February
2, 2001
Request letter by MCA to Chief Minister (CM) of
Maharashtra for RG plot. The letter states that
the MCA will permit the ground for the boys
from the neighborhood.
February CM of Maharashtra Mr. Vilasrao DeshmukhFebruary
15, 2001
CM of Maharashtra Mr. Vilasrao Deshmukh
issues note to UDD to look into the matter.
May 17,
2001
MMRDA in its 100th meeting on 17th May, 2001
accepted the above request for allotment and
allotted 52,157 sq mtrs on lease for 80 years

Exhibits
Date Exhibits
May 26,
2001
MMRDA Issued letter to MCA stating the
acceptance of the proposal. The details of area
and premium are as follows;
1.Permissible plinth area will be 10% of 52,157
sq mtrs (i.e: 5,215.7 sq mtrs) – No premium
2.Permissible built up area will be 15% of 52,157
sq mtrs (i.e: 7,823 sq mtrs). The lease premium
for this will be @ Rs. 3,400/- per sq mtrs of built
up area Rs. 2,65,98,200/-
3.Plot for open type uses 23% of 52,157 (i.e:
11,996.11 sq mtrs) at a premium of Rs. 1/-

Exhibits
Date Exhibits
May 26,
2001
4. Plot for disciplined public use 67% of 52,157
(i.e: 34,945.19 sq mtrs) at a premium of Rs. 1/-
So total lease premium will be Rs. 2,65,98,202/-
The plot shall not be used for commercial
purposespurposes
The above amounts were to be paid in two
installments

Exhibits
Date Exhibits
June 6,
2002
MCA defaulted in payment of 2nd installment
and MCA issues letter to MCA for waiver of
interest of Rs. 55,752/-
October
23, 2004
MCA writes letter to MMRDA for permission for
project on BOT basis at the total cost of Rs. 5023, 2004 project on BOT basis at the total cost of Rs. 50
crores over a period of 10 to 15 years
February
27, 2006
India Audit and Accounts Department
Principal Accountant General (Audit),
Maharashtra raised objection on allotment of
plot to MCA without competitive bidding and
also terms of allotment were questioned.

Exhibits – Contd…..
Date Exhibits
January
13, 2007
Letter by MCA to MMRDA stating that the
construction work is given to M/s Shirke
Infrastructures on BOT basis
March 31,
2008
MMRDA to Urban Development Department
(UDD) - sends for approval a proposal to modify
DCR 23 (g) (ii) for this plot only for permittingDCR 23 (g) (ii) for this plot only for permitting
additional built-up area for the proposed 2 nos
Mound galleries.

Date Exhibits
Annual
Report of
MCA for
2005 – 06
Sharad Pawar suggested that MCA should opt for
BOT basis instead of spending its own money.
Crisil Infrastructure was appointed for evaluation
of proposals. Crisil Infrastructure
recommended M/s B G Shirke Construction
Technology Ltd from amongst the threeTechnology Ltd from amongst the three
proposals received. The terms of agreement in
nutshell are as follows;
1.The concession period will be 17 years
(inclusive of 2 years for construction).
2.The entire cost of the project will be borne by
the operator
3.The operator shall pay non-refundable deposit
of Rs. 5 crores to MCA

Date Exhibits
Annual
Report of
MCA for
2005 – 06
4.Indoor Academy and ground will be fully
managed by MCA and other recreational
facilities will be maintained by the operator.
5.Managing committee shall consist of 6 office
bearers of the Association and 4 members from
the Operator.the Operator.
6.The Operator shall make payment of Rs. 75
crores by the end of 10th year of operation to the
Corpus of MCA.

Date Exhibits
Annual
Report of
MCA for
2005 – 06
7.The MCA will offer 3000 Associateships to the
Operator and Fees of the said Associateships
will be kept in a separate ESCROW account to
be operated by the Association.
8.80% of fees will be transferred from ESCROW
account to Operator towards the cost of
construction and balance 20% to be adjusted
against the Corpus to MCA
9.Operator has the right to decide the about the
entrance fees of the 3000 Associateships
offered by MCA.
10.Thereafter the fees for of 3000 additional
Associateships will be shared equally
between the MCA and Operator

Chronology of events
Date Particulars
February
2, 2001
Request letter by MCA to Chief Minister (CM) of
Maharashtra for RG plot. The letter states that
the MCA will permit the ground for the boys
from the neighborhood.
February
15, 2001
CM of Maharashtra Mr. Vilasrao Deshmukh
issues note to UDD to look into the matter.
May 17,
2001
MMRDA in its 100th meeting on 17th May, 2001
accepted the above request for allotment and
allotted 52,157 sq mtrs on lease for 80 years

Date Particulars
May 26,
2001
MMRDA Issued letter to MCA stating the
acceptance of the proposal. The details of area and
premium are as follows;
1.Permissible plinth area will be 10% of 52,157 sq
mtrs (i.e: 5,215.7 sq mtrs) – No premium
2.Permissible built up area will be 15% of 52,157 sq
mtrs (i.e: 7,823 sq mtrs). The lease premium for
this will be @ Rs. 3,400/- per sq mtrs of built upthis will be @ Rs. 3,400/- per sq mtrs of built up
area Rs. 2,65,98,200/-
3.Plot for open type uses 23% of 52,157 (i.e:
4.Plot for disciplined public use 67% of 52,157 (i.e:
So total lease premium will be Rs. 2,65,98,202/-
The plot shall not be used for commercial
purposes

Date Particulars
June
4,2001
MCA issues letter to MMRDA accepting the
proposal, but accepts construction in phases and
accordingly pays 50% of premium
i.e: Rs. 1,26,39,400/-.Payment is also made by
DD for 50% i.e: Rs. 63,19,701/-
August
20,2001
Letter from MCA to MMRDA stating that BCCI has
agreed to finance the project and MCA requested20,2001 agreed to finance the project and MCA requested
for payment of balance amount Rs.63,19,701/-
by end of August 2001.
August
31,2001
Letter by TATA Power to MCA for shifting the HT
cables where it states that the cost of shifting will
be Rs.2 crores

Date Particulars
Sept 26,
2001
Letter from MMRDA to MCA demanding interest
of Rs. 55,752/- for delay in payment of 2nd
instalment
Oct 9,
2001
Letter from MCA to MMRDA requesting for waiver
of Rs. 55,752/-

Date Particulars
Nov 23,
2001
MCA pays amount of Rs. 1,26,39,402/- on
account of full and final settlement of lease
premium.
Dec 13,
2001
MCA pays Rs. 13,19,398/- towards shortfall of
balance payment due for stage 2 development
June 6, MCA issues letter to MCA for waiver of interest of
June 6,
2002
MCA issues letter to MCA for waiver of interest of
Rs. 55,752/-
Sept 22,
2003
MCA writes to MMRDA for additional area of
2500 to 3000 sq mtrs.

Date Particulars
Sept 23,
2003
CM, Sushilkumar Shinde replies to MCA that
matter is being examined
Sept 29,
2003
Letter from MMRDA to Architect seeking
clarification for the additional area as above
Oct 2,
2003
Architect issues clarification and purpose for
additional area of 2500 to 3000 sq mtrs
2003 additional area of 2500 to 3000 sq mtrs

Date Particulars
Nov 23,
2003
MCA issues letter to MMRDA and CM of
Maharashtra to include the following clause…..
“Apart from students of academy, the facilities of
the Academy may be allowed to be used by the
past and present cricketers, umpires, Donors
and Associates on such terms and conditions
as the Association may think fit”
as the Association may think fit”
Dec
1, 2003
MMRDA vide its 108th meeting approved the
clause… “Apart from students of academy, the
facilities of the Academy may be allowed to be
used by the past and present cricketers, umpires,
Donors and Associates on such terms and
conditions as the Association may think fit”

Date Particulars
February
9, 2004
MMRDA issued letter MCA stating that RG plot has
been allotted. Further also approved additional
clause in lease deed as required by MCA. The
additional clause is …”Apart from students of
academy, the facilities of the Academy may be
allowed to be used by the past and present
cricketers, umpires, Donors and Associates on
cricketers, umpires, Donors and Associates on
such terms and conditions as the Association
may think fit”
March 5,
2004
Executed the lease deed with MMRDA. Plot allotted
is “Plot G block of Bandra Kurla Complex at CTS
No. 4207 of Village KoleKalyan, Tal. Andheri,
Mumbai suburban district.
March 19,
2004
Architect of MCA submits the drawings and
documents

Date Particulars
Sept 15,
2004
Letter by MMRDA to MCGM stating issuance of
Commencement certificate upto plinth level
Oct 23,
2004
MCA writes letter to MMRDA for permission for
project on BOT basis at the total cost of Rs. 50
crores over a period of 10 to 15 years
May
11,2005
MCA through its Architect vide letter no
SPA/MMRDA/309 submitted the proposal for11,2005 SPA/MMRDA/309 submitted the proposal for
extension of the basement on 23% portion of
plot for the purpose of providing parking
spaces without charging any premium.

Date Particulars
July 18,
2005
Supplementary lease deed executed between
MMRDA and MCA for use 0f 75.56 sq mtrs of
BUA on 67% of the plot area for construction of
underground tank and pump house. Additional
premium of Rs. 2,56,904/- received by MMRDA
on 17th June, 2005.
December Executed the supplementary lease deed for theDecember
7, 2005
Executed the supplementary lease deed for the
above amendment
February
3, 2006
MMRDA in its meeting vide resolution 1081
passed in its 115th meeting approved the above
proposal without charging any premium on
the condition that 50% of the parking spaces
will be handed over to MMRDA to be used for
public parking on pay and park basis.

Date Particulars
February
27, 2006
India Audit and Accounts Department Principal
Accountant General (Audit), Maharashtra raised
objection on allotment of plot to MCA without
competitive bidding and also terms of allotment
were questioned.
December
12, 2006
One of the Advocate Madhav Jamdar issued letter
to MMRDA objecting against allotment of exclusive12, 2006 to MMRDA objecting against allotment of exclusive
rights given to B G Shirke Construction for
membership fees.
January
13, 2007
Letter by MCA to MMRDA stating that the
construction work is given to M/s Shirke
Infrastructures on BOT basis
December
12, 2007
Letter from MMRDA to MCGM stating the issue of
“Commencement certificate” for superstructure for
proposed plot

Date Particulars
Annual
Report of
MCA for
2005 – 06
Sharad Pawar suggested that MCA should opt for
BOT basis instead of spending its own money.
Crisil Infrastructure was appointed for evaluation
of proposals. Crisil Infrastructure
recommended M/s B G Shirke Construction
Technology Ltd from amongst the threeTechnology Ltd from amongst the three
proposals received. The terms of agreement in
nutshell are as follows;
1.The concession period will be 17 years
(inclusive of 2 years for construction).
2.The entire cost of the project will be borne by
the operator
3.The operator shall pay non-refundable deposit
of Rs. 5 crores to MCA

Date Particulars
Annual
Report of
MCA for
2005 – 06
4.Indoor Academy and ground will be fully
managed by MCA and other recreational
facilities will be maintained by the operator.
5.Managing committee shall consist of 6 office
bearers of the Association and 4 members from
the Operator.the Operator.
6.The Operator shall make payment of Rs. 75
crores by the end of 10th year of operation to the
Corpus of MCA.

Date Particulars
Annual
Report of
MCA for
2005 – 06
7.The MCA will offer 3000 Associateships to the
Operator and Fees of the said Associateships
will be kept in a separate ESCROW account to
be operated by the Association.
8.80% of fees will be transferred from ESCROW
account to Operator towards the cost ofaccount to Operator towards the cost of
construction and balance 20% to be adjusted
against the Corpus to MCA
9.Operator has the right to decide the about the
entrance fees of the 3000 Associateships
offered by MCA.
10.Thereafter the fees for of 3000 additional
Associateships will be shared equally
between the MCA and Operator

Date Particulars
February
22, 2008
Request from Architect of MCA for approval of 2
nos proposed mound galleries
February
29, 2008
MMRDA issued letter to MCA and Architect
stating the 2 nos proposed mound galleries
cannot be considered for various reasons.
March 12, Letter to MMRDA for additional FSIMarch 12,
2008
Letter to MMRDA for additional FSI

Date Particulars
March 17,
2008
MCA issues another letter to MMRDA for
additional FSI . Ground coverage from 10% to
15% and the FSI from 15% to 20% of the total
plot area.
March 31,
2008
MMRDA to Urban Development Department
(UDD) - sends for approval a proposal to modify
DCR 23 (g) (ii) for this plot only for permittingDCR 23 (g) (ii) for this plot only for permitting
additional built-up area for the proposed 2 nos
Mound galleries.
August 6,
2008
UDD issued order for the above proposal of
MMRDA to modify DCR no. 23 (g) (ii)

Date Particulars
December
12, 2008
UDD by its notification no TPB-4308/829/Q No.
144/2008/UD-11 sanctioned the modification in
MMRDA’s DCR no. 4 (A) (i) for BKC Notified area
whereby ………Refer relevant page for further
March 9,
2009 /
May 14,
Internal note of MMRDA for approving the above
modification
May 14,
2009 /
May 5,
2010 /
May 1,
2010 /
July 9,
2010

Date Particulars
August
26, 2010
MMRDA vide its resolution no 1241 approved the
additional BUA of 2607.85 sq mtrs to MCA at 25%
of the Ready Reckoner Rate and other terms to
be fulfilled by MCA
April 30,
2012
Internal note of MMRDA for modification in lease
premium for additional BUA of 2607.85 sq mtrs
will be Rs. 6,38,92,325/-. Further MCA has notwill be Rs. 6,38,92,325/-. Further MCA has not
surrendered the 78 car parking spaces.
May 17,
2012
MMRDA issued letter to MCA about the above
premium of Rs. 6,28,92,325/-
August 8,
2012
I.T.A. NO. 1700/Mum/2011 Mumbai Cricket
Association, Vs. Director of Income Tax
(Exemption), Cricket Centre, Mumbai.
Wankhede Stadium

Statement of cash flows of B G Shirke Constructions
Particulars Inflows (Rs. Crs) Outflows (Rs. Crs)
Cost of construction 75.00
Amounts from memberships sale for 3000 nos @
Rs.15 lacs each (80% share of Rs. 450 Crs)
360.00
Net cash inflows over period of BOT (before
interest)
285.00
Net Cash inflows for B G
Shirke Rs. 285 Cr (before
What is the need for
BOT when the
construction can beShirke Rs. 285 Cr (before
Interest)
construction can be
completed in 2 years
and becomes
operational from 3rd
year
Loss to
MMRDA ????
Who is the
ultimate
beneficiary in
the profit ???

Statement of cash flows of MCA
Particulars Inflows (Rs. Crs) Outflows (Rs. Crs)
Payments to MMRDA 2.05
Non-refundable security deposit from B G Shirke 5.00
Sale of 700 memberships at concessional rate of
Rs.10,000/- each
0.70
Amounts from memberships sale for 2300 nos @ Rs.15
lacs each
345.00
Net cash inflows for MCA 348.65
Net Cash inflows for B G
Shirke Rs. 348.65 Cr.
MCA a non-
profitable
organisation
????
MCA is it a
organisation for
development of
Cricket or into the
business of
running five star
clubs ????
Income Tax
Appellate tribunal
has noted all the
above findings and
is in the process
cancelletion of its
status of Public
Charitable Trust

Mumbai Cricket Association(MCA) Exposed

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