The deadlock continues as East Bengal officials decide not to sign the final agreement…
The deadlock between East Bengal and their investor Shree Cement remains never-ending as on Tuesday, the executive committee members of the club decided to not sign the final agreement of the joint venture which was to be formed between the two parties.
The executive committee of the club met on Tuesday evening and discussed at length the differences between the initial term sheet which was signed and the final agreement as claimed by the club officials.
East Bengal’s football secretary Saikat Ganguly, in a statement, informed that the executive committee in unison has decided not to sign the final binding agreement and if they are pressurised to do so then the entire committee will resign.
What did Saikat Ganguly say?
“We had our executive committee meeting today. We discussed in detail all the points and differences which exist between the term sheet and the definitive document with Shree Cement. All the executive committee members were aware of all these points, yet we discussed them at length.
“Every member of the committee has agreed that they will not sign the definitive document in its current form. Also, the committee has decided that if they are forced to sign this document under any kind of pressure then everyone is ready to resign.
“Our club general secretary has also agreed with the decision of the executive committee and he has conveyed the decision to the club president. Even the president has informed that nobody has to sign anything at the moment. As the president, he is monitoring the issue and he will hold necessary discussions. But he has honoured the general sentiment of the executive committee,” stated Ganguly.
What is going on in East Bengal?
After Quess Corp parted ways with East Bengal in June 2020 after being the club’s investor for two seasons, Shree Cement came on board as their new investors which facilitated the club’s move to the Indian Super League (ISL).
They then proceeded to establish a joint venture named Shree Cement East Bengal Foundation, in which the cement giants held 76 per cent stakes while the club had 24.
After Shree Cement’s arrival, a term sheet was signed by both parties in September 2020 in the presence of West Bengal Chief Minister Mamata Banerjee who had played an important role in bringing the company on board as the club’s new investor.
Based on the term sheet, the club’s sporting rights as well all its assets and properties (including intellectual) were reportedly transferred to the newly formed joint venture between the two parties.
Even though the term sheet has been signed, a final binding agreement of the deal is yet to signed by the officials despite multiple reminders.
The club officials have remained firm on the claim that certain points in the final agreement are different from the term sheet that the parties had signed. The new management, on the other hand, claims otherwise.
Shree Cement managing Hari Mohan Bangur also mentioned in the past that no meeting with the officials will take until they put pen to paper.
Further reading
Explained: What are term sheet and final agreement
HM Bangur losing patience over delay of signature on final agreement
Be the first to comment