"Following the suspension, IOA will cease to enjoy the privileges and prerogatives bestowed on it by the Government as the National Olympic Committee (NOC). All Government assistance, financial or otherwise, to IOA will also be stopped," the statement added.
The Vijay Goel-headed sports ministry had issued a show-cause notice to IOA on Wednesday after the General Body meeting of IOA passed a resolution to appoint Suresh Kalmadi and Abhay Chautala, both of whom have been charge-sheeted, as its life presidents.
IOA was required to reply to the show cause notice by 5 p.m. on Friday. In their response, IOA on Friday sought extension of time up to January 15, 2017 for replying to the show cause notice, stating that IOA president was out of the country and they needed to consult him.
'Ploy to buy time'
The ministry said it was not happy with the reply of IOA.
"Government is not satisfied with the response of IOA since they have not given any substantive reply especially with regard to the non-eligibility of Shri Suresh Kalmadi and Shri Abhay Chautala," it said in a statement.
"Government considers the reply of IOA only as a ploy to buy time. This is a serious violation of the norms of good governance by IOA which is the mother sports body and corrective action needs to be taken immediately as it is a matter of national prestige and public sentiments."
The statement added that the IOA committed violations of ethics in appointing Kalmadi and Chautala life presidents.
"Although the Government has utmost respect for the Olympic Charter and is committed to protecting the autonomy of sports, it cannot remain a mute spectator to blatant violation of principles of ethic and good governance by IOA, thereby putting the image and prestige of the country at stake," the statement read.
"Hence, it has been decided to suspend deemed recognition granted by the Government to IOA till necessary corrective measure is taken by IOA."
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