• Thursday, Aug 05, 2021
  • Last Update : 01:52 am

The billionaire, Bollywood and the future of Indian football

  • Published at 12:38 pm July 1st, 2020
Mukesh Ambani and Nita Ambani
Mukesh Ambani, Chairman and Managing Director of Reliance Industries, poses with wife Nita Ambani before addressing the company's annual general meeting in Mumbai, India July 21, 2017 Reuters

Ambani’s holding group launched the Indian Super League, an elite competition of newly created teams, in 2014 with the aim of attracting investment and big global names, much like the Indian Premier League has in cricket

A storm could be brewing in India’s top-flight soccer, a glamorous and acrimonious world that encompasses Asia’s richest man, the cream of Bollywood and a self-styled former gangster.

Mukesh Ambani, the billionaire tycoon who commands the Reliance Industries corporate empire that owns the Indian Super League, is facing pushback to his family’s dominance from some executives in the country’s soccer association and clubs.

At stake is the financial future of soccer in a country devoted to cricket. The outcome of the power struggle could also help shape whether India can ever become a world force in the game, realizing ex-FIFA president Sepp Blatter’s description of being a “sleeping giant” - and, of course, the big dream: whether it can one day play in or even host a World Cup.

Ambani’s holding group launched the Indian Super League, an elite competition of newly created teams, in 2014 with the aim of attracting investment and big global names, much like the Indian Premier League has in cricket.

However, tensions have been building over who ultimately calls the shots: the Indian soccer association, which technically governs soccer at all levels, or Ambani’s group which owns the top league of 10 teams.   

It’s a rare power split in global soccer, and a recent dispute between Ambani’s camp and the association illustrated differing visions over the direction of the Indian game, whose national team is ranked 108th globally.

This year, before the Covid-19 pandemic, a top executive at India’s soccer association, Kushal Das, wrote to Martin Bain, the Ambani lieutenant who heads Football Sports Development Limited (FSDL), a Reliance holding company that owns the league.

The national coach, employed by the association, has complained that the enlisting of so many foreign recruits in Indian soccer could hold back the development of home-grown players.

The football association backed down for this season.

Indian Game of Two Halves

The player issue is disputed globally; some argue imported veterans stand in the way of domestic talent, while others say they haul up standards and share skills and experience.

But the exchange also reflects a conflict within the Indian game.

FSDL and the Ambani family’s supporters says the Super League has raised awareness and money for a disorderly and underinvested sector, and brought in marquee players such as Italy’s Alessandro Del Piero and France’s Robert Pires.

Ambani’s wife Nita, FSDL’s chair and the public face of the league, has expressed hope India will qualify for the 2026 World Cup, and one day host the event. And some Super League club owners are committed to what they consider a soccer revolution.

But the Ambanis’ influence is resented by some club owners in India’s traditional football league, the I-League, who say the Super League is sucking attention and investment from the rest of the game and stunting its long-term development.

‘Such a difficult situation’

Reliance and partner IMG Worldwide bailed out the cash-strapped soccer association a decade ago, pledging around $140 million over 15 years in return for sponsorship, licensing rights and running the Super League.

The association remains dependent on the deal money. It sent six emails to Reliance executives between May and October last year, reviewed by Reuters, saying payments of $6 million had not been received. One warned of a “severe cash flow crunch” and said the association had to put payments to suppliers on hold.

The soccer association has considered whether it would be possible to renegotiate parts of the contract, according to an audio recording reviewed by Reuters of its president speaking to I-League executives at a meeting last year, although it is not clear which parts.

“When you’re dealing with a giant like FSDL, whose parent is Reliance, legally you will land up in such a difficult situation,” association President Praful Patel said in the July meeting.

Business Meets Bollywood

Thus far, however, the Super League itself is proving neither hugely popular nor lucrative - a rarity for an Ambani venture. Stadium attendances have halved over the past six years, and the pandemic is likely to worsen the situation.

The Super League’s original eight clubs were owned by Bollywood heavyweights like Ranbir Kapoor, cricket champions including Sachin Tendulkar and prominent businessmen, though several have since exited. Two new teams joined in 2017.

Ambani’s group initially projected, in 2014, that clubs would be profitable within about five years, according to an industry source with direct knowledge of the matter.

However, none of original eight clubs, whose latest financial statements were reviewed by Reuters, had broken even by March 2019, save for Bengaluru, with about $234,000 in profit.

Facebook 50
blogger sharing button blogger
buffer sharing button buffer
diaspora sharing button diaspora
digg sharing button digg
douban sharing button douban
email sharing button email
evernote sharing button evernote
flipboard sharing button flipboard
pocket sharing button getpocket
github sharing button github
gmail sharing button gmail
googlebookmarks sharing button googlebookmarks
hackernews sharing button hackernews
instapaper sharing button instapaper
line sharing button line
linkedin sharing button linkedin
livejournal sharing button livejournal
mailru sharing button mailru
medium sharing button medium
meneame sharing button meneame
messenger sharing button messenger
odnoklassniki sharing button odnoklassniki
pinterest sharing button pinterest
print sharing button print
qzone sharing button qzone
reddit sharing button reddit
refind sharing button refind
renren sharing button renren
skype sharing button skype
snapchat sharing button snapchat
surfingbird sharing button surfingbird
telegram sharing button telegram
tumblr sharing button tumblr
twitter sharing button twitter
vk sharing button vk
wechat sharing button wechat
weibo sharing button weibo
whatsapp sharing button whatsapp
wordpress sharing button wordpress
xing sharing button xing
yahoomail sharing button yahoomail