KKR had drawn flak from various sections for associating with the innerware brand owned by Ashok Todi, an accused in the suicide case of Rizwanur Rahman - a Muslim computer teacher who had married Todi's daughter Priyanka.
"Respecting the sentiments of Kolkata and people of Bengal, both Lux Industries and KKR have decided to put their association on hold until issues are resolved and the sensitivities of the aggrieved group are adequately addressed, " the team said in a release.
A KKR official said with the deal off, the players' jerseys will not sport the logo of the innerware brand.
"In terms of advertisement, merchandising, and branding of uniform, which were the outcome of the tie-up, none of them will now happen, " the official said.
"Shah Rukh Khan's endorsements of the company's products will also stop. And the advertisements will be taken off the media, " he said.
"As for merchandising, some pants, cricketing gear and T-shirts have already been sold out. We will put a stop to all orders which were supposed to hit the market in the coming days, " he said.
As per the contract, the innerwear brand was to be associated with KKR's apparel merchandising, while the company had also roped in Shah Rukh as its brand ambassador.
Earlier this month, a Muslim cleric issued a fatwa seeking a boycott of SRK's latest film "My Name is Khan" for KKR's tie-up with Lux Cozi.
"He has lots of money. Why is he becoming the brand ambassador of a company owned by such a controversial man?
I am issuing a fatwa to all Hindus and Muslims to boycott the movie, " said Syed Noor-ur-Rehman Barkati,
the Shahi Imam of Tipu Sultan Mosque in Kolkata.
However, Barkati welcomed SRK's decision Monday. "I appreciate his gesture of parting ways with the Todis."
Some thinkers had also called a meeting in the city Monday to protest KKR'S tie-up with the brand.
The death of Rizwanur, whose body was found Sep 21, 2007, along the railway tracks at Patipukur near the city's suburb of Dum Dum, sparked outrage following allegations that Todi had influenced several police officers to bring pressure on the youth to opt out of the marriage with his daughter.
Several police officers, including the city police commissioner, were later removed from their posts for their alleged role in Rizwanur's death. Todi, two of his relatives and four senior city police officers were among those later chargesheeted for allegedly abetting Rizwan's suicide.
