MUMBAI: Debt-ridden media house Deccan Chronicle Holding Limited (DCHL) has a total liability of Rs 40.4 billion as of 30 September, 2012, as per the financial results announced by the company.

The company, which had extended its financial year by six months to 30 September, has liabilities of Rs 5.59 billion for the financial year ended 31 March 2011.

DCHL disclosed that it has short-term borrowings of Rs 37.5 billion, trade payables of Rs 1.5 billion besides other liabilities of Rs 1.3 billion.

The company also has long-term borrowings of Rs 1.47 billion besides other long-term provisions of Rs 1.02 billion. It also has other long-term liabilities of Rs 79.3 million.

The company posted a net loss of Rs 10.4 billion for the 18-month period ended 30 September 2012. DCHL had posted a net profit of Rs 1.62 billion for the fiscal ended 31 March 2011.

DCHL, which publishes English daily Deccan Chronicle, reported net sales of Rs 7.86 billion for the 18-month period ended 30 September 2012. The net sales in the previous fiscal was Rs 9.7 billion.

Expenses stood at Rs 12.3 billion for the fiscal under review on account of sharp rise in consumption of materials and cost of purchases and services. It was Rs 7.35 billion in the corresponding fiscal.

For the quarter ended 30 September, the company posted a net loss of Rs 1 billion on net sales of Rs 1.4 billion. The company had posted a net profit of Rs 210 million in the same quarter of the previous fiscal on net sales of Rs 2.25 billion.

The company also revealed that it had offered shares as collateral security to some of the lenders for the financial assistance provided to the company and some of them have invoked the pledge and appropriated the same against the dues payable to them.

As a result, the promoter shareholding in the company has reduced to 38.4 per cent from 73.83 per cent as of 30 September.

The company said that its fixed assets including intangible asset under development (brand) amount to Rs 29 billion and liabilities included an amount of Rs 39.8 billion to the lenders as a result of restructuring of the operations and recasting of the financial statements.

The media company also said it hopes to recover damages from BCCI for the termination of its IPL franchise Deccan Chargers. However, the same has not been recognised in the books of accounts as it is a contingent asset and based on the principle of prudence.

MUMBAI: The National Stock Exchange (NSE) has decided to suspend trading in Deccan Chronicle Holding Limited?s (DCHL) shares on its platform from 23 January due to non-compliance with submission of financial results and shareholding pattern.

The NSE said DCHL failed to respond satisfactorily to the notice seeking reasons for non-compliance of certain provisions of the listing agreement which includes non-submission of shareholding pattern, corporate governance report, financial results and reconciliation of share capital audit report for July-September 2012 quarter.

The price of DCHL rose 4.38 per cent to end 7.15 on the National Stock Exchange on Tuesday.

MUMBAI: The Supreme Court has struck down the Special Leave Petition filed by Deccan Chronicle Holdings Limited‘s to stay the termination of its IPL team Deccan Chargers by the BCCI thereby dashing all hopes for the media company to get back the team and sell it to pay off debt.

The bench headed by Chief Justice Altamas Kabir dismissed DCHL‘s plea seeking extension till 25 October for furnishing Rs 1 billion bank guarantee. The bench also comprised Justice SS Nijjar and Justice J Chelameswar.

DCHL had moved Supreme Court against Bombay High Court‘s order of setting aside the status quo order passed by the Bombay High Court. However the apex court declined to interfere with High Court‘s decision.

The apex court also accepted BCCI‘s submission that the termination of contract has come to effect from 12 October, the deadline set by Bombay High Court for DCHL to furnish bank guarantee.

The Court had on 9 October extended deadline by three days to allow DCHL more time to furnish bank guarantee while warning that failure to do so would mean that the BCCI‘s termination of Deccan Chargers would stand.

"The position today stands that the agreement between Deccan Chargers and BCCI is terminated and the effect of extension of time to deposit the bank guarantee will amount to forcing the contract," the bench said.

"It has been pointed out by the BCCI about the fact of termination of contract which is effective from October 12. In such circumstance we are not inclined to entertain the Special Leave Petition (SLP)."

The Bench, however, added that the order will not affect the arbitration proceedings between the Deccan Chargers and the BCCI. The Bombay High Court had last month appointed CK Thakkar as the arbitrator to look into the legality of the termination of Deccan Chargers termination from IPL.

DCHL through senior advocate Mukul Rohatgi contended that it should be given a chance to furnish the bank guarantee by 25 October. BCCI‘s counsel CA Sundaram opposed DCHL‘s plea saying that the media company was heavily indebted and had failed to meet the obligation towards banks and financial institutions.

Earlier, the Bombay HC had refused to grant any interim relief to DCHL against termination of its franchise agreement by the BCCI.

Justice RD Dhanuka had quashed the status quo order passed by the arbitrator contending that the arbitrator is not "superior" to the high court and cannot pass an order which overrides the high court‘s direction.

The arbitrator had passed an order directing BCCI not to go ahead with its termination of Deccan Chargers following which the BCCI challenged the order in High Court and secured a stay.

With termination notice standing, the DCHL‘s attempt to sell the franchise to Mumbai-based real estate firm Kamla Landmarc proved a non-starter. Kamla Landmarc is believed to have committed Rs 12.5 billion for acquiring the franchise.

MUMBAI: The last word on the BCCI-Deccan Chargers has not been said yet as the Bombay High Court Wednesday reserved its order till tomorrow on an appeal filed by the Board of Control for Cricket in India (BCCI).

The BCCI had approached Bombay HC challenging the ‘status quo‘ order passed by an arbitrator in its dispute with financially distressed Deccan Chronicle Holdings Limited (DCHL). The hearing on the issue was today.

Retired Supreme Court Judge C K Thakkar, who was last month appointed as the arbitrator, had last week passed an order directing BCCI not to go ahead with its termination of Deccan Chargers following which the BCCI challenged the order in High Court and secured a stay.

Earlier Deccan Chargers had faced termination from the IPL following DCHL?s inability to furnish irrevocable and unconditional bank guarantee of Rs 1 billion by 12 October.

Backed by its lenders, DCHL said that it was ready to furnish bank guarantee as directed by the court on 1 October. DCHL lenders have also filed a plea seeking interim relief against the termination of the franchise.

The Court had on 12 October refused to grant more time to DCHL to furnish bank guarantee after the company failed to meet the deadline for furnishing bank guarantee contending.

The Court had said that the BCCI‘s termination notice would stand if DCHL fails to furnish bank guarantee. The interim relief provided by the arbitrator also proved short lived as the court stayed the status quo order passed by the arbitrator extending deadline for submitting bank guarantee.

With termination notice standing, the DCHL‘s attempt to sell the franchise to Mumbai-based real estate firm Kamla Landmarc proved a non-starter. Kamla Landmarc is believed to have committed Rs 12.5 billion for acquiring the franchise.

The DCHL plea comes on a day when IPL Governing Council is meeting in Mumbai to discuss the termination of Deccan Chargers and the fate of the players since 31 October is the deadline for resigning players.

Earlier, the BCCI had floated tenders for a new franchise after terminating Deccan Chargers.

MUMBAI: In yet another twist to the legal battle between Deccan Chargers and BCCI, the Bombay High Court has stayed arbitrator‘s status quo order granting more time to Deccan Chronicle Holdings Limited (DCHL) to furnish Rs 1 billion bank guarantee.

The BCCI had challenged arbitrator CK Thakkar‘s status quo order saying that he has exceeded his jurisdiction by issuing that order. Retired Justice CK Thakkar had Friday passed an interim order granting financially ailing DCHL time till 17 October to furnish bank guarantee. The arbitrator‘s order came even as the Bombay High Court had refused to extend deadline after DCHL failed to provide bank guarantee before 5 pm.

The BCCI said today that the termination of Deccan Chargers stands as per the High Court‘s stay order. "Notwithstanding the Hon?ble High Court?s refusal to extend time to DCHL, the Learned Arbitrator passed the Order of Status quo last evening (12.10.2012). BCCI moved an appeal against the Order of Arbitrator and the same was heard today morning. The Hon?ble High Court was pleased to stay the Order of Arbitrator after hearing both the parties," India‘s cricket board said today.

"The termination of Deccan Chargers franchise was challenged in the Hon?ble Bombay High Court by the DCHL pending the arbitration. A Conditional Order of stay was granted by the Hon?ble High Court pending arbitration on 1st October 2012. The condition to give BCCI a Bank Guarantee of a Nationalized Bank for ` 100 Crores by 5.00 p.m. on 12.10.2012 to cover expenses of IPL ? 6, was breached by DCHL," the BCCI said in a statement.

The court refused to grant extension to DCHL since it had already granted one on 9 October by giving the beleagured company three days time to furnish bank guarantee which would helped it book a place in season 6 of the IPL.

The court had on 1 October granted a conditional order of stay pending arbitration after DCHL challenged termination of Deccan Chargers franchise.

The failure to furnish bank guarantee meant that the termination of Deccan Chargers stands even as the company said that it has got a buyer in Mumbai-based Kamla Landmarc Real Estate Holdings Private Limited, which is believed to have committed Rs 10 billion for the beleagured franchise.

The Bombay High Court had on 26 September Justice Thakkar as arbitrator to resolve within three months the dispute between the Cricket Board BCCI and DCHL over termination of the company?s IPL franchise Deccan Chargers.

MUMBAI: The Board of Control for Cricket in India (BCCI) has challenged arbitrator CK Thakkar‘s status quo order in the Deccan Chargers case saying that the latter has exceeded his jurisdiction by issuing that order.

The arbitrator had on Friday added a new twist to the legal battle by throwing a lifeline to the financially ailing Deccan Chronicle Holdings Limited (DCHL), the parent company of Deccan Chargers by granting it time till 17 October to furnish bank guarantee.

The arbitrator had yesterday held its first meeting with the two parties since being appointed by the Bombay High Court to look into the dispute and decide whether BCCI was justified in terminating agreement with Deccan Chargers.

The court had on 1 October passed an order directing DCHL to furnish the bank guarantee within 10 days to stay in the IPL. It had also clarified that the order will cease to be in effect after DCHL fails to furnish the bank guarantee and the BCCI‘s 14 September termination notice will stand.

However the media company had sought a three-day extension on the last day of the deadline to furnish bank guarantee following which the court gave it three more days to do the same.

The three day deadline seemed too little for the beleaguered franchise as it failed to furnish an irrevocable and unconditional bank guarantee within the deadline which led to its termination from the IPL until the arbitrator granted relief by extending the deadline.

The Bombay HC had refused to grant any extension to DCHL amidst objection from BCCI counsel by saying that it has already accommodated the company‘s request once.

The termination and the subsequent relief came after the DCHL announcement that it has got a buyer in Mumbai-based Kamla Landmarc Real Estate Holdings Private Limited, which according to reports is ready to fork out Rs 10 billion for buying the team.

DCHL informed the bourses that its board has resolved to "sell, transfer/dispose of the Deccan Chargers Franchise business undertakings/business division of the company to Kamla Landmarc Real Estate Holdings Private Limited".

Earlier, DCHL had rejected Hyderabad-based PVP Ventures‘ Rs 9 billion bid to buy the franchise following which led to the termination of its franchise agreement by the BCCI on 14 September.