Cricket governance in the US has descended into chaos over the last few weeks, with USA Cricket (USAC) declaring bankruptcy shortly after it was suspended by the ICC.
While tensions between USAC and the ICC have been building for months, the repercussions of their suspension, as well as their parallel dispute with American Cricket Enterprises (ACE), could have serious consequences for the future of both Major League Cricket, and cricket’s inclusion in the 2028 Olympics. Long-term ruptures within the USAC board have also deepened over the last few days, with several board directors accusing other board members of “manipulation, intimidation and betrayal”.
Background: USAC and ACE – a deal like no other
To understand the current situation, it’s worth outlining a brief history of cricket governance in the US. In 2017, the previous board of control for cricket in the country, USACA, was expelled by the ICC. That followed several periods of suspension over governance and financial mismanagement. The ICC then founded the current board, USAC, which gained Associate Member status in 2019. In short, the instability of cricket governance in the US long predates the current situation, despite long held ambitions for cricket to gain a foothold in the US market.
In 2019, USAC signed a commercial agreement with ACE. It’s easier to think of ACE as a massive consortium rather than a single entity. They have over 100 investors, including the CEOs of Microsoft, YouTube and Google, who have funneled hundreds of millions of dollars into cricket in the USA. That money puts the US in a unique position among associate teams.
The deal between ACE and USAC was like no other commercial agreement between a board and a partner. It gave ACE an unprecedented level of control over cricket in the US, including exclusive commercial rights to the US national teams, a 50 year license to host a T20 league in the states (which became Major League Cricket), and to develop a high performance centre in Texas, as well as other infrastructure. They also fund national team activities, including hosting bilateral series and warm-up matches and paying player and support staff salaries.
For a while, the deal worked well. ACE established Major League Cricket, which attracted some of the biggest players in the world. The US secured the rights to host the 2024 men’s T20 World Cup, and were part of a successful bid for cricket to be included in the 2028 Los Angeles Olympics. ACE investors put money into developing stadiums in the US, including Morrisville in Florida and converting the Oakland Coliseum in California into an MLC venue.
However, in August of this year, following several long-running conflicts over the original term of the agreement, USAC voted to terminate its agreement with ACE, alleging that ACE had “failed to fulfill its contractual and fiduciary obligations”. The board cited multiple breaches of the original contract, including financial commitments and infrastructure development. They also alleged that former USAC president, Paraag Marathe, failed to disclose a conflict of interest with ACE at the time the contract was negotiated.
In response, ACE issued a statement which read: “USAC’s handling of the ACE agreement has been chaotic and reckless. It is emblematic of USAC’s bad faith. A small group of USAC directors have chosen to prioritise politics rather than preparing teams that can build on their recent success.”
In short, it’s a mess. While cricket in the USA is no stranger to organisational mismanagement and boardroom in-fighting, this time there could be serious consequences. Over the last few years cricket has been closer than it has been in the modern era to establishing itself in the US. It had a T20 league attracting high-profile players and major infrastructure projects completed and in development. Its national team put in a strong performance at the men’s T20 World Cup last year, in its first appearance at the senior tournament, beating Pakistan to earn coverage across national outlets.
The termination of the ACE contract puts cricket in the US in a precarious position. Under the contract, ACE were required to pay a minimum of $1.2 million annually to USAC to cover player and support staff salaries for the national team. While USAC have cited failure to pay that money as one of the reasons for terminating the contract, ACE strongly refute this. Ahead of the T20 World Cup in six months’ time, ACE had planned a high-performance camp and warm-up series against West Indies’ A. All of that is now in limbo.
In addition, Los Angeles Knight Riders have expressed interest in funding some of the costs of building the stadium in LA to host cricket at the Olympics in 2028. While the actual stadium is set to be a temporary structure, aspects are set to be retained and owned by the Knight Riders to build a permanent, ICC-accredited stadium in Los Angeles to host MLC matches. The termination of the ACE-USAC contract means the future of the MLC is uncertain, given the contract gave ACE the rights to host a T20 league in the US. That uncertainty puts in question whether investors will commit to funnelling money into the stadium.
With growing nervousness among investors, ACE filed a lawsuit against USAC in September for improper termination of their contract. In early October, minutes before preliminary hearings of the case were about to begin, USAC filed for bankruptcy under Chapter 11 of the US Bankruptcy Code. Filing under Chapter 11 means “an automatic stay comes into effect that prevents any enforcement or the start or continuation of other legal proceedings against the debtor”. Thus, the contract cannot be reinstated while the stay is in place.
USAC, the ICC, and an Olympic team in jeopardy
Parallel to USAC’s dispute with ACE has been their rapidly worsening relationship with the ICC. At the centre of that relationship has been concerns over whether USAC have the ability to facilitate the cricket event at the Olympics. Before the men’s T20 World Cup in 2024, USAC were stripped of their hosting rights for the tournament due to concerns over financial and governance mismanagement. USAC effectively became an organising committee for the matches played in the USA, while Cricket West Indies were the main hosts.
Disappointment over the quality of the drop-in pitch at Nassau County during that tournament led to nervousness from the International Olympic Committee that similar issues would blight cricket’s return to the Olympics. However, the main cause for nervousness among the ICC was USAC’s failure to gain National Governing Body (NGB) status from the US Olympic and Paralympic Committee (USOPC). Without this status, USAC will not be able to oversee the organisation of the event, and will not be able to enter a team under their umbrella. The team would either be overseen by the USOPC or a separate governing body. While the qualification process has yet to be confirmed for the six-team event, as hosts, the USA national team are likely to be granted automatic qualification.
The conditions for obtaining NGB status centre on athlete protection and rights, governance and compliance, financial standards, operational performance and anti-doping. In July of this year, USOPC senior governance advisor, David Patterson, called for the USAC board to resign, following a meeting between officials from USAC, USOPC, and the ICC. “The USOPC believes that a comprehensive leadership overhaul is essential,” read a statement from Patterson. “Partial changes will not suffice. A fresh start is the only effective way forward for USA Cricket.”
In the same month, the ICC formally warned USAC that it was at risk of being put ‘on notice’ for non-compliance with its associate member status, and gave it three months to hold free and fair elections and carry out “comprehensive” governance reforms.
In September, shortly after USAC terminated its agreement with ACE, the ICC suspended USAC from the board and took over the management and distribution of the US national teams. A week later, USAC filed for bankruptcy.
USAC – Power struggles, and a board divided
In the midst of all of this, the USAC board of directors has imploded. Schisms within the board date back years, and are worsening by the day. They concern the failure to hold regular board elections, alleged election interference, and the personal conduct of several board members.
On Monday (October 13), a joint statement was released by two current directors and one former director in response to a statement released by USAC on Friday of last week (October 10), which described the ICC suspension as “one of the most difficult moments in our history”.
“The truth behind the ICC’s suspension of USA Cricket and its unprecedented bankruptcy filing is not ‘a difficult moment,’ as the board majority claims but a self-inflicted collapse born of manipulation, intimidation, and betrayal,” read the October 13 statement. It accused other members of the board of manipulating records, appointing directors unconstitutionally, and “muting elected board members on official calls”.
Allegations for the most part are directed at USAC chairman, Venu Pisike, and CEO Johnathan Atkeison. At a board meeting held shortly before filing for bankruptcy but after ICC suspension, several directors left the meeting in protest at its conduct. “The meeting was not a legitimate process,” Kuljit-Singh Niijar, independent USAC board director, told Wisden.com. “It was a pre-scripted decision. Dissenting voices were muted, votes were rushed and no independent financial or legal briefing was provided. When I demanded transparency and proper governance procedure, I was denied the floor. That’s when I left the meeting in protest.”
Nijjar is one of several board members to have previously taken legal action against USAC and Pisike, with lawsuits alleging unlawful removal from the board as well as manipulation of voter rolls, failure to follow election procedures, and conflict-of-interest allegations against Pisike. Having been suspended from the board along with others before launching the lawsuits, Niikar and two others were later reinstated, but continued their lawsuits against members of the board they were sitting alongside.
“The Chair’s [Pisike’s] bloc treated the lawsuits as personal challenges rather than accountability mechanisms,” said Niijar. “Meetings became staged; minutes were falsified; and board counsel was used to defend the majority’s illegal actions rather than serve the organization.”
Pisike responded: “The allegations being circulated are entirely baseless and misleading. Every USA Cricket board meeting, including those discussing financial matters, has been conducted transparently and in accordance with our bylaws and governance procedures.
“I’m being targeted because they want to somehow change the leadership on the board so they can take control back and reinstate the ACE contract. That’s all this is. Without going into any of the allegations, they’re trying to put pressure on me by targeting me with so many allegations.”
It’s amid this chaos that governance of cricket in the US must rebuild. The stakes could not be higher, with billionaire investors becoming ever more nervous that their cash is at risk, and an Olympics in limbo where cricket will have the sporting spotlight of the world on it. All of the advancements cricket has made in the US over the last five years, now hangs in the balance.
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