Indian Olympic Association president P T Usha firmly refuted allegations made by IOA Treasurer Sahdev Yadav regarding financial loss incurred by the body due to its contract renegotiation with Reliance Industries Limited, and asserted that there is 'proof' to counter his claims.
IOA refuted reports claiming that the body incurred a loss of Rs 24 crores due to alleged undue favours extended to sponsor Reliance Industries Limited.
Usha has provided a formal reply to the CAG's half-margin No. 2. dated 12 September 2024, stating categorically that there has been no financial loss to the IOA, said a press release by IOA.
Usha, one of India's greatest track and field athletes, reaffirmed her stance and alleged that Yadav has made these allegations to defame her and the IOA.
"Sahdev Yadav has made some allegations to defame me and the IOA, claiming that because of our re-contract with Reliance, we lost Rs 25 crores. But it is not that we did; the contract was done in 2022. At that time, in naming rights and branding rights, it was there for them. Now the IOC has changed the rules," the IOA chief explained in the press release.
"They are not giving naming rights or branding. So they couldn't see any visibility of things. Then they wanted to change the re-contract, saying that they will go only on a half, Rs 17 crores, or if we can use them for 2030 instead of 2028, so that we will get Rs 35
"As soon as we got the letter from these people, I mailed all the Executive Council members, but they did not respond. Sponsorship Committee Chairman Rohit Rajpal had the conversation with Reliance people also, and we made it for Rs 35 crores up to 2030," she added.
Usha dismissed Yadav's allegations as unnecessary, asserting, "He (Sahdev Yadav) is unnecessarily making allegations against me... Everything is there. There is proof then why does he say that he doesn't know?"
The IOA president remains confident that the re-contract with Reliance is transparent and in the organization's best interest.
In June 2023, the IOC published new guidelines disallowing sponsors from acquiring naming rights for NOC Houses at the Paris 2024 Olympic Games. Despite the IOA's best efforts to secure exemptions, the IOC maintained its stance, which applied to all participating National Olympic Committees (NOCs), the IOA release stated.
As a result, RIL, having initially secured naming rights under the 2022 agreement, sought to renegotiate the terms with the IOA. RIL proposed a 50 per cent reduction in the previously agreed hosting fee due to the loss of naming rights.
Usha emphasised that "all decisions taken were in the best Interest of the IOA and the Indian athletes", ensuring that "no financial loss was incurred."
"Any further attempts to mislead the public or undermine the IOA's efforts will be met with appropriate legal action," she added.
