A Supreme Court-appointed panel has handed down a two-year ban to Indian Premier League clubs Chennai Super Kings and Rajasthan Royals following an investigation into corruption in the competition.

Officials from the Super Kings and the Royals had already been found guilty of betting on matches and their respective teams have now been barred for the next two seasons in a huge blow to the glitzy eight-team T20 tournament.

Former chief justice Rajendra Mal Lodha was appointed head of the three-man sentencing panel in January after the Supreme Court had found Royals co-owner Raj Kundra and CSK's Gurunath Meiyappan guilty of betting on the outcome of matches in 2013.

The court had rejected the claims of Meiyappan, who had previously been described as team principal, that he was merely an enthusiast.

The court also ruled at the same time that Srinivasan, who is Meiyappan's father-in-law, would be banned from holding any post on the Board of Control for Cricket in India (BCCI), where he served as the president for three years from 2011.

Both Meiyappan and Kundra were found guilty of betting on matches and have received life bans.

The outcome could have major financial consequences for some of cricket's biggest names as CSK are captained by India's ODI skipper MS Dhoni while Australia's star batsman Steve Smith is at the helm of the Rajastan Royals. The Royals are coached by Indian great Rahul Dravid.

More to come.