Explained: Why Cameron Green will earn only Rs 18 crore despite a Rs 25.20 crore bid

Kokata Knight Rider's (KKR) bid at Rs 25.20 for Australian all-rounder Cameron Green made him the most expensive overseas player at an Indian Premier League (IPL) auction being held in Abu Dhabi on Tuesday.Green entered the auction with a base price of Rs 2 crore. Mumbai Indians raised the paddle almost immediately, with Rajasthan Royals (RR) joining the bidding soon after. KKR entered at Rs 2.80 crore, leading to a prolonged duel with RR. The Royals, who came into the auction with a purse of Rs 16 crore, bowed out at Rs 13.60 crore. Five-time champions Chennai Super Kings (CSK) then entered the bidding war but eventually pulled out at Rs 25.20 crore, allowing KKR to secure Green for a record sum.Go Beyond The Boundary with our YouTube channel. SUBSCRIBE NOW!In an effort to safeguard the value of Indian players and deter overseas stars from holding out for lucrative mini-auction deals, the IPL authorities have introduced a cap on the amount foreign players can earn at mini-auctions.As a result, despite going for Rs 25.20 crore, the Australian all-rounder will take home only Rs 18 crore. This stems from the IPL’s “maximum fee” rule, introduced last year after franchises collectively raised concerns that certain overseas players were entering only mini-auctions to capitalise on supply-demand imbalances. Under the regulation, an overseas player’s salary at a mini-auction is capped at Rs 18 crore — the highest retention slab ahead of the 2025 mega auction.The IPL has also clarified that any amount bid beyond the cap will be diverted by the BCCI towards player welfare.In a note circulated to franchises, the league stated that an overseas player’s mini-auction fee cannot exceed either the highest retention price or the highest price fetched at the mega auction, with the lower of the two serving as the cap.“Any overseas player’s auction fee at a small auction will be the lower of the highest retention price of Rs 18 crore or the highest auction price at the big auction,” the document read.FAQIt is an IPL regulation that caps the amount an overseas player can earn at a mini-auction, regardless of how high the bidding goes.The cap is Rs 18 crore, aligned with the highest retention slab ahead of the 2025 mega auction.If bidding crosses Rs 18 crore, the overseas player still receives only Rs 18 crore, even if the final bid is higher.The excess money is transferred to the BCCI and earmarked for player welfare.The franchise’s auction purse is reduced by the full bid amount, not just the capped fee paid to the player.If an overseas player attracts a Rs 27 crore bid at a mini-auction, the player will be paid Rs 18 crore. The remaining Rs 9 crore goes to the BCCI, while the franchise’s purse is reduced by the entire Rs 27 crore.The rule was introduced to prevent overseas players from targeting mini-auctions for inflated paydays and to protect the market value of Indian players.