Zee Entertainment Enterprises Limited (ZEEL) has filed a counterclaim case for $8 million plus interest (around Rs 70 crore) against Star India, the former informed the stock exchange in a regulatory filing.
The development follows Star filing a damages claim of $940 million concerning a failed International Cricket Council (ICC) contract, which is currently being arbitrated at the London Court of International Arbitration (LCIA).
ZEEL has said that the arbitration process is in its early stages, with the determination of ZEEL’s alleged liability for breaches of the Alliance Agreement with Star still pending.
The counterclaim is related to the Rs 69 crore paid by ZEEL to Star as per their agreement.
Last year in December, ZEEL submitted its statement of defence refuting all claims made by Star. A three-member arbitral tribunal appointed by the LCIA is overseeing the dispute.
In September 2024, Star filed its statement of case, which included an expert report on damages and a witness statement. Star India filed a ‘statement of case’ before LCIA in which it declared termination of the alliance agreement and sought the damages in the now-terminated ICC TV rights deal case.
Read more: Zee Entertainment refutes Star India’s Rs 8000 cr damage claims
Denying such allegations, Zee had then asserted that the arbitration is still in its early stages and said that it “strongly contest all unfounded claims” and stated that it will defend its position on merit.
It added, “The company (ZEEL) categorically refutes all claims and assertions made by Star including its claims for damages. The arbitration is at its initial stage and the LCIA Arbitral Tribunal is yet to determine if the Company is liable in any manner. The Company will, on merits, strongly contest all unfounded claims by Star and reserves all its rights.”
Earlier in March 2024, Star India had moved to the LCIA after Zee failed to comply with an Aug 26, 2022 agreement- under which Star was to license the television broadcasting rights for ICC tournaments to Zee for four years- from 2024 to 2027. Zee had quit the $1.4 billion deal after missing its first $200 million payment, saying it was not in a position to pay.