EXPLAINED: Why were KKR deducted Rs. 69 crore despite spending Rs. 57 crore on IPL retentions?

Kolkata Knight Riders have retained six players ahead of the IPL mega auction, including key names like Rinku Singh, Sunil Narine, and Andre Russell. Despite spending Rs. 57 crore on retentions, the team’s purse is reduced by Rs. 69 crore due to retention rules. Why is that the case? We explain.