MUMBAI: The Kochi Indian Premier League (IPL) franchise has moved for arbitration regarding its dispute with the BCCI.

This has been necessitated as cricket?s richest body has encashed the bank guarantee of Rs 1.53 billion, after the franchise failed to obtain a stay.

Proceedings are likely to begin next week.

Kochi Tuskers Kerala chairman Mukesh Patel said there is a clause in their contract that allows for arbitration. "How can they encash the bank guarantee when there was time for it to expire (27 September)? We do not owe the BCCI any dues. That is a lie. We are going for arbitration to get the money back and also to challenge the termination of our contract."

Patel also said that the franchise had earlier asked for a change in venue to Ahmedabad from Kochi due to reasons of safety. He, however, denied reports of a rift between the owners with some wanting to exit.

Two days back, Justice Vajifadar had quashed the plea of the Kochi IPL franchise against the Board of Control for Cricket in India (BCCI).

As a follow-up action, Kochi Tuskers Kerala had appealed against the Bombay High Court?s decision. Yesterday a division bench did not hear an appeal to stay the order of the single judge. It was to have heard the matter today.