Star Files Statement of Case in London Court Against ZEE, Claims $940 Million in Damages

In a potential new challenge for Zee Entertainment Limited (ZEEL), Star India Private Limited (Star) has submitted a Statement of Case in its ongoing arbitration proceedings against ZEEL, demanding $940 million (around ₹7,869 crore) in damages related to the now-terminated ICC TV rights deal.

Zee has firmly denied all allegations and claims made by Star, emphasizing that the arbitration is still in its early stages. The company categorically refuted Star's assertions, pledging to "vigorously contest all unfounded claims" and stating that it will defend its position based on merit. Zee also indicated that it "reserves all rights" in the ongoing arbitration.

This case relates to Zee's failure to comply with a deal made in August 2022 with Star, which involved sub-licensing the ICC TV rights until 2027. Zee withdrew from the $1.4 billion agreement after missing its initial $200 million payment, stating that it was unable to fulfill the financial obligation.

The case was filed in March 2024, and in a recent development, Star has submitted its Statement of Case to the LCIA Arbitral Tribunal, asking for a formal declaration that the agreement was validly terminated and seeking damages to be determined based on the Tribunal's final award.

According to Zee, Star's damages, as of a proxy date of August 31, 2024, are estimated to be $940 million, in addition to costs, expenses, and interest until full payment is made.

Zee stated that the LCIA Tribunal has not yet decided if the company led by Puneet Goenka has any liability in the case.