"The Australian" newspaper reported that the T20 matches will be played around the world, beginning in the United States.
According to the newspaper report, the new league offers players $25,000 per match and is likely to feature Ricky Ponting, Glenn McGrath, Brett Lee, Jacques Kallis, Adam Gilchrist, Michael Vaughan, Andrew Flintoff and others.
It says Tendulkar and Warne have contacted 28 former cricketers for this new venture. Lee's manager Neil Maxwell confirmed that the former fast bowler was approached to play in the Cricket All Stars League and will be seeking Cricket Australia's (CA) permission.
"I can't see anything wrong with it, it's a group of retired blokes playing a game of cricket," Maxwell told "Fox Sports" on Friday.
To start with New York, Los Angeles and Chicago are the venues chosen and this league would begin in September this year.
Both Tendulkar and Warne have not yet officially spoken about this league.