Progress being made in SLC financial situation: Haroon Lorgat – Cricket News Update
Former International Cricket Council chief executive and current special advisor to Sri Lanka Cricket (SLC), http://www.senore.com/Cricket/Haroon-Lorgat-c61719 has affirmed that while there is still a long way to go, SLC’s financial situation is on the mend, with plans being chalked out for improved management of finances.
“... the financial situation is something that ... is already being tackled by SLC,” said Lorgat. “.. there were serious challenges with finances. But it's good and it's positive for me to say that at least there is a handle on it now and there's progress being made. But there's still a long way to go.”
Lorgat has been appointed by SLC to serve as special advisor until October 31, 2012, in a bid to help the board regain fiscal stability and tackle the financial difficulties it has fallen into during the past 18 months.
The board racked up massive debts of up to $70 million since hosting part of the ICC World Cup 2011, during which two new international stadiums were constructed (in Hambantota and Pallekele), while a third was renovated (the R Premadasa Stadium in Colombo) for the purpose of the mega event.
The debts saw the board’s contracted players going without their pay for a period of roughly 8 months, after which SLC was forced to rely on a release of $5 million from the state-owned Bank of Ceylon in February, in order to pay contracted players their salaries in March. The board also implemented various other cost-cutting measures, in addition to trimming the list of contracted players down to 60 from 100.
“http://www.senore.com/Cricket/Sri-Lanka-c758 Cricket has taken up and understood what the issues are,” Lorgat observed. “It's working out its cashflows and its projections, its expenses, its revenue cycles and so on. It's probably got a better management system for its finances now, from what I've seen.”
The board, which has also been granted a $2.5 million disbursement by the http://www.senore.com/Cricket/ICC-World-Cup-2011-c100625 in order to help with the hosting of the World Twenty20 in September this year, will be relying on Lorgat to conduct an independent review and provide a detailed report with recommendations, after a thorough examination of the board’s governance, structure, and most importantly finances.
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