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Under pressure from the BCCI and ICC to dump players who have signed with the Essel Group backed rebel Twenty20 venture, NZC had no other option but to sack the tearaway pacer.
New Zealand would be without their pace spearhead against England, which arrived in Wellington on Monday for three Test and five one dayers.
"This is a difficult situation and we must comply with ICC regulations and support other member countries and as a consequence can no longer entertain Shane playing for the Blackcaps," NZC chief executive Justin Vaughan said in a statement.
NZC had initially allowed Bond to play in the ICL provided it did not clash with his national commitments, after which the player signed a contract with the league organizers last year.
But at the ICC Executive Board meeting in October last year, member countries were warned against allowing their players to take part in the league which did not have the seal of approval either from BCCI or the ICC.
Finding no other way out of the impasse, NZC finally decided to terminate Bond's contract, a move that would leave their pace attack severely depleted.
Contrary to speculation that he might sue NZC, Bond wasrather sympathetic to board's predicament and said, "Given what has happened, I want to do the right thing by NZC, so at their request I have terminated my contract. I will continue to be available to play for the Blackcaps and look forward to doing so once again when NZC deems this appropriate."
Vaughan too was hopeful of bringing the pacer back to the fold again at some point of time.
"At some stage in the future we may be able to welcome Shane back into the Blackcaps; either when he is no longer playing for the ICL, or when that competition does not exist," he said.
Apart from Bond, six others Kiwi players - Nathan Astle, Chris Cairns, Darryl Tuffey, Chris Harris, Craig McMillan and Hamish Marshall - have already taken the ICL plunge.
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