Sri Lanka Cricket Pays Rs. 55 Million Settlement to Former Head Coach Hathurusinghe, Ending Legal Battle

Sri Lanka Cricket (SLC) has brought an end to a lengthy legal dispute with former national head coach Chandika Hathurusinghe, paying a settlement of USD 164,000 — approximately Rs. 55 million — to resolve the matter through the Court of Arbitration for Sport (CAS).

A Costly End to a Troubled Tenure

The settlement marks the final chapter in a contentious relationship between SLC and Hathurusinghe, whose second stint as Sri Lanka's head coach was marred by controversy and ultimately ended in dismissal. The agreement, reached through international sports arbitration, draws a line under what had become one of the more turbulent episodes in recent Sri Lankan cricket administration.

Hathurusinghe, who previously coached the Bangladesh national team before returning to lead Sri Lanka, had pursued legal recourse following the termination of his contract. The case was referred to the Court of Arbitration for Sport, a Switzerland-based independent body that handles disputes within international sporting bodies.

Settlement Reached Out of Court

Rather than proceeding to a full arbitration hearing, both parties agreed to a negotiated financial settlement. SLC's decision to pay USD 164,000 suggests the board opted to avoid a potentially more costly or reputationally damaging prolonged legal process.

The settlement amount, equivalent to roughly Rs. 55 million at current exchange rates, represents a significant outlay for Sri Lanka Cricket at a time when the board continues to face scrutiny over its financial management and governance practices.

Background to the Dispute

Hathurusinghe's second tenure as Sri Lanka head coach was widely regarded as disappointing. His relationship with players and team management deteriorated, and he was relieved of his duties amid widespread criticism of the team's performances and internal discord within the squad.

• Hathurusinghe was appointed Sri Lanka head coach for his second term in late 2022.
• His tenure saw Sri Lanka struggle in key international tournaments.
• He was dismissed before completing the full term of his contract.
• A legal dispute followed, with the matter escalating to CAS arbitration.

Questions Over SLC Governance

The resolution of this dispute is likely to renew questions about how SLC manages high-profile coaching appointments and contract obligations. Critics have long argued that the board's handling of coaching staff and administrative decisions lacks transparency and long-term planning.

The payment of over Rs. 55 million in a settlement raises legitimate concerns about accountability within Sri Lanka Cricket's leadership and the financial burden such disputes place on the sport in this country.

With the settlement now concluded, SLC will be hoping to move forward and focus on rebuilding stability within the national cricket setup, both on and off the field. The board has yet to make any official public statement elaborating on the terms or circumstances surrounding the final agreement.