Sri Lanka Cricket sues Ceylinco for payment on lost series

Sri Lanka Cricket (SLC) is suing Ceylinco Insurance Co Ltd and seeking US $ 11. 9 million as compensation for losses incurred in a recent home series which had been insured.

The petition was filed in the Colombo Commercial High Court.

According to the petition, SLC said this amount was due from Taj Television Ltd through the sale of television rights, sponsorship rights, and ground advertising rights in relation to the tri-nation limited over tournament that was scheduled to be held between August14-29, 2006 among the Indian, South African and the Sri Lankan cricket teams.
SLC had also obtained a Sports Cancellation & Abandonment Insurance Policy from Ceylinco against the loss of revenue that may result from the cancellation and abandonment of the said limited over tournament due to riot and strike, civil commotion and terrorism.

On August 14, less than two hours prior to the start of the first match of this tournament a bomb had been exploded by the LTTE in Colombo causing the death of four Army personal and four civilians and damaging over 13 vehicles. Thereafter the South African team had declined to take part in the tournament and left Sri Lanka on August 16 causing the tournament to be cancelled and abandoned. SLC had thus lost the revenue due from Taj Television and then duly made a claim to Ceylinco Insurance under the Sports Cancellation & Abandonment Insurance Policy.

But Ceylinco had refused to entertain the claim made by SLC, the petition, filed on behalf of SLC by K. Kanag-Isvaran PC with Dr. Harsha Cabral PC and Kushan Illangatillake, said.