The majority owner of the Indian Premier League cricket franchise Rajasthan Royals Manoj Badale made a public accusation on Wednesday, June 25 against his former co-owner, alleging an attempt at blackmail. The accusation stems from the former co-owner's claims of being defrauded out of his minority stake in the club. The legal battle involves Manoj Badale, a London-based venture capitalist, and his company, Emerging Media Ventures, who are suing businessman Raj Kundra in London's High Court. The lawsuit alleges a breach of a confidential settlement agreement established in 2019. The core of the dispute revolves around Kundra's previous shares in the Rajasthan Royals, the champions of the inaugural IPL season in 2008. The IPL has since grown into cricket's most lucrative tournament, boasting a brand value of $12 billion.
Adam Speker, representing Manoj Badale, stated that Raj Kundra, who is married to Bollywood actress Shilpa Shetty, had threatened to report serious allegations to Indian authorities in what Speker described as a "blackmail attempt." However, Kundra refutes these allegations, claiming to have received information about the claimants and his lawyer, William McCormick, which he intends to expose if found untrue.
According to Speker, Kundra was compelled to forfeit his 11.7% stake in the Rajasthan Royals in 2015 after being found guilty of betting on IPL games. This scandal led to the suspension of the Rajasthan Royals franchise for two years. In court filings, Speker further revealed that Kundra had emailed Badale "out of the blue" the previous month, asserting that he had been "misled and defrauded of the rightful value of my 11.7% stake."
In his email to Manoj Badale, Raj Kundra reportedly mentioned that he had already filed a complaint with Indian authorities and further threatened to report the matter to India's Cricket Board (BCCI). However, Kundra also indicated a willingness to negotiate a settlement that would involve either the reinstatement of his original equity in the Rajasthan Royals franchise or compensation that reflects the current and true valuation of the team.
Adam Speker further revealed that Kundra had also contacted Lalit Modi, the disgraced founder of the IPL, earlier this month, stating that Badale "did not realise cheating me of the true value would cost him dearly."
In response to these actions, Manoj Badale and his company, Emerging Media Ventures, which holds a 65% majority stake in the Rajasthan Royals, successfully obtained an interim injunction against Raj Kundra on May 30th. This injunction prevents Kundra from violating the terms of their settlement agreement by making disparaging or damaging statements. Kundra's lawyer, William McCormick, informed the court that his client, Raj Kundra, agrees that the injunction should remain in effect until a full trial can be held to resolve the ongoing lawsuit.
"It is not an admission that anything improper has been done or is being threatened," McCormick said.