Fund crunch looms for East Bengal

WHAT COULD ALSO GO AGAINST EB IS THEIR INABILITY TO ACCESS THE ~1.70 CRORE IN FROZEN ACCOUNTS

Yet to get a paisa this season from their main sponsors, East Bengal may be facing financial uncertainty in the near future.

Usually, the budget for the season is approved in April-May and money starts getting transferred from July. This time even on Tuesday, East Bengal officials were negotiating for approximately ~10 crore that the club has been paid for over five terms.

Since 1998, East Bengal have a joint-venture company with a liquor giant which has offices in Bangalore and a popular beer brand as their principle sponsor.

According to an official at the club, the sponsors have said they would drastically reduce the amount for 2017-18 stating they aren’t getting enough value for money. This was conveyed to the club around July, said the official requesting anonymity given the sensitive nature of the issue.

The official also claimed that a pitch was made to East Bengal’s sponsors by the Indian Super League (ISL). “Our sponsors with whom we have a relationship of nearly 20 years were told that ISL would provide better visibility and following those discussions, they came to us saying the budget for this season would be reduced by more than half,” said the official. Speaking from Mumbai, a spokesperson for ISL though denied that East Bengal’s sponsors have been approached.

What could also go against East Bengal is their inability to access the approximately ~1.70 crore in accounts frozen by the Enforcement Directorate since 2014. That happened following allegations that it was paid by chit fund company Saradha Group which is facing charges of cheating and money laundering.