The Pakistan Cricket Board (PCB) has intensified efforts to recover outstanding Pakistan Super League (PSL) payments after billions of rupees remained unpaid by multiple stakeholders, prompting officials to issue notices warning of potential contract terminations. According to a report by The Express Tribune’s Saleem Khaliq, the board escalated its enforcement measures during the recently concluded 11th edition of the PSL after repeated payment reminders failed to produce results.
Several entities, including early PSL franchises, were instructed to clear outstanding dues before an April 29 deadline as part of the recovery campaign. The stricter stance led some franchises to settle their pending payments in full following the notices.
Delayed settlements impact franchise payments
The recovery process has also affected distributions owed to franchises from previous PSL revenue cycles. Franchises are still awaiting approximately PKR 400 million (approx. US$1.4 million) each linked to the 10th edition of the PSL.
When questioned about the delayed franchise payments, according to The Express Tribune, PCB officials said: “How can we pay you until we receive payments from other stakeholders?”
The unresolved financial position has complicated the finalisation of accounts tied to earlier PSL editions. Under previous arrangements, a portion of franchise fees could be adjusted later through distributions from the league’s central revenue pool, although PCB officials have now moved away from that approach.
Outstanding media-related dues create complications
For PSL 10, franchises were expected to receive around PKR 975 million (approx. US$3.5 million) each from the central revenue structure. However, a major stakeholder reportedly still owes the PCB approximately PKR 4.7 billion (approx. US$17 million), with a significant share linked to PSL-related obligations.
According to the report, the stakeholder has delayed payments while citing financial losses, preventing the PCB from fully closing the accounts associated with previous PSL cycles.
The issue also affected the league’s media rights process for the latest PSL season. Two television channels were not permitted to participate in bidding for broadcasting rights due to the ongoing payment concerns. However, the company that eventually secured the rights later allowed those channels to carry PSL coverage.
PCB strengthens financial safeguards
Following the latest payment complications, the PCB has reportedly introduced additional financial protections around future media agreements. The board has secured a bank guarantee from the current media rights holder, allowing the PCB to recover funds in the event of non-payment.
The report also stated that the new PSL franchises, along with the latest ownership group of Multan Sultans, paid their franchise fees in advance. Since these entities are in their first operational cycle, they are not eligible for distributions from earlier central revenue pools.
Franchise owners who entered the PSL at significantly higher valuations had previously been assured a minimum annual central pool return of PKR 850 million (approx. US$3 million) during the first five years of their agreements. The final distribution figures, however, remain dependent on the completion of outstanding account settlements across stakeholders.
