ITV

Category: Regulators

  • TDSAT rejects IndiaCast, MSM Discovery, Asianet petitions claiming dues from LCOs

    TDSAT rejects IndiaCast, MSM Discovery, Asianet petitions claiming dues from LCOs

    NEW DELHI: Sending out a clear signal to distributors and multi system operators (MSOs), the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has once again turned down three petitions seeking payment from a local cable operator (LCO) for the period for which the signals were sent even after expiry of a valid interconnect agreement.

     

    There were two cases of IndiaCast UTV Media Distribution and MSM Discovery against MSO S R Cable TV and one by Asianet Satellite Communication against Sathyadhara Communications.

     

    The cases against S R Cable were for recovery of the alleged dues of subscription fees amounting to Rs 3.01 lakh along with interest at 18 per cent and Rs 8.24 lakh along with interest at 18 per cent per annum respectively till the date of payment.

     

    The case of Asianet was for recovery of Rs 1.30 crore allegedly payable by Sathyadhara towards balance of carriage fees for the year 2012-13 and a further sum of Rs 20.47 lakh as interest at 18 per cent p.a. for the delay in payment of the carriage fees.

     

    TDSAT chairman Justice Aftab Alam and member Kuldip Singh said, “The alleged supply of signals by IndiaCast to the respondent after the expiry of the interconnect agreement was plainly in contravention of the statutory Regulations. Having acted in breach of the Regulations, it cannot seek the help of the judicial process and realise its dues through the process of court.”

     

    The petitions against S R Cable were dismissed with cost of Rs 5,000 payable to the TDSAT Employees Welfare Society.

     

    It was in the case of IndiaCast that the LCO executed an interconnect agreement with it on 1 June, 2011 for the period 1 April, 2011 to 31 March under which IndiaCast was to supply the TV channels controlled by it on behalf of its principal broadcasters on payment of Rs 21 lakh as the monthly subscription fee.

     

    IndiaCast said it supplied the TV channels to the LCO in terms of the agreement and regularly raised invoices for payment of the monthly subscription fee. The LCO, however, defaulted in payments as a result of which dues accumulated. Finally on 1 August, 2014 IndiaCast discontinued the supply of its signals to the respondent.

     

    IndiaCast claimed it sent reminders and legal notice demanding the payment of its dues but as no payment was made by the LCO, the petition was filed on 5 August, 2014.

     

    TDSAT proceeded ex parte as the LCO did not appear despite service of notice.

     

    The Tribunal took note of the fact that IndiaCast had sought to fill this gap by a miscellaneous application on 23 February this year by stating that the LCO was required to pay an amount of Rs 25.20 lakh exclusive of taxes annually towards the subscription fee calculated on the basis of the said Subscription Agreement for 12 months, but the LCO on several occasions requested IndiaCast to continue to provide the signals even after the expiry of the previous agreement and gave the oral assurances that the fresh agreements will be executed between the parties. It is stated that “the parties were negotiating for the renewal of the agreement and basis the negotiation process, the petitioner continued to provide the signals.”

     

    The Tribunal rejected as “misconceived” the arguments sought to be raised to the effect that the LCO was bound by law and was liable under Section 73 of the Indian Contract Act 1872 as they cannot apply to the present case.

     

    Similarly, the Tribunal said the amendments made early this year do not help it.

     

    “IndiaCast would indeed be entitled to recover any dues pertaining to the period of the agreement that came to end on 31 March, 2012 but it is not the case that the dues pertain to that period nor from the statement of account it is discernible whether or not there were any dues on the date the agreement came to end,” the Tribunal noted.

     

    It added that clause 8 of the Telecommunication (Broadcasting and Cable Services) Interconnection Regulations 2004 (Regulations) provides for the maximum period of three months for negotiations for renewal of existing agreements and clause 4A (introduced in the Regulations with effect from 17 March, 2009 prohibits a broadcaster or a distributor of TV channels to make available signals of TV channels to any distributor without entering into a written interconnect agreement.”

     

    In the MSM petition, the interconnect agreement was for the period 1 January, 2011 to 31 December, 2011 under which MSM was to supply the TV channels controlled by it on behalf of its principal broadcasters on payment of Rs 1.25 lakh as the monthly subscription fee. MSM said it supplied the TV channels to the MSO and regularly raised invoices for payment of the monthly subscription fee. The MSO defaulted in payments as a result of which dues accumulated. Finally on 17 December, 2012 MSM discontinued the supply of its signals to the respondent.

     

    In the Asianet case, a carriage agreement dated 8 August, 2011 was signed between the parties for one year from 1 September, 2011 to 31 August, 2012 to carry and retransmit signals of Darshana TV channel of the respondent for an amount of Rs 60 lakh per year exclusive of taxes. The dispute pertains to a period starting from 1 September, 2012 till the disconnection of carriage of signals by the respondent on 20 November, 2013.

  • Bombay HC to hear Nasik District Cable Operators Federation’s plea on 22 December

    Bombay HC to hear Nasik District Cable Operators Federation’s plea on 22 December

    MUMBAI: Nasik District Cable Operators Federation (NDCOF) has filed a plea in the Bombay High Court in order to get a stay order on cable TV digitisation process. The plea will go for hearing on 22 December, 2015.

     

    “If Inter Connect Agreement (ICA) under which comes a major part of the digitisation process, is not ready how can we go ahead with Digital Addressable System (DAS)? There are lessons, which Phase I and II of DAS has taught us and we are not ready to face the same issues again. That’s why we have decided to take the legal route,” a member of NDCOF told Indiantelevision.com.

     

    Now it remains to be seen what happens when the Bombay High Court gives out its verdict on the case on 22 December.

  • TDSAT directs 3 LCOs to clear Media Pro’s dues

    TDSAT directs 3 LCOs to clear Media Pro’s dues

    NEW DELHI: Media Pro Enterprise India Pvt. Ltd., Mumbai has secured orders from the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) for recovering payments from three different cable operators namely Madhumati Cable Network, Shiv Cable Network, and Mauli Cable Network of Maharashtra.

     

    In separate judgments, TDSAT chairman Justice Aftab Alam and member Kuldip Singh directed Media Pro to file a computation of accounts up to 31 March, 2013 within two weeks in the cases of Madhumati Cable Network and Shiv Cable Network for a decree to be dawn up accordingly. The decretal amount will also carry interest at 10 per cent per annum from the date of filing of the petition till the actual payment.

     

    In the case of Mauli Cable Network, the petition was allowed to the extent of the claims of Rs 10,94,481.16. The amount will also carry interest at 10 per cent from the date of filing of the petition till the date of actual payment. The office is directed to make a decree accordingly.

     

     The petition against Madhumati is for recovery of the sum of Rs 8,03,125 along with interest at 18 per cent per annum from the petitioner as dues of subscription fee. Media Pro had executed an interconnect agreement with Madhumati on 20 June, 2012 for supply of its signals to the respondent for retransmission from 1 April, 2012 till 31 March, 2013. In terms of the agreement, the LCO was required to pay Rs 99,000.66 to Media Pro as the monthly subscription fee.

     

    Media Pro alleged that the LCO defaulted in payments and as a result the dues of subscription fee accumulated to Rs 8,03,125. The LCO did not appear despite service of notice.

     

    In the case against Shiv Cable Network, Media Pro claimed for recovery of the sum of Rs 6,28,658 along with interest at 18 per cent per annum as dues of subscription fee. According to Media Pro, the LCO executed an interconnect agreement with it on 1 January, 2012 for supply of its signals for retransmission. The agreement commenced from the date of execution and came to end on 31 March, 2013. In terms of the agreement, the respondent was required to pay Rs 99,778.31 to Media Pro as the monthly subscription fee.

     

    The Tribunal, which also examined witnesses in the latter cases, said there is no reason not to accept the claim of Media Pro for the term of the agreements.

     

    The claim of Media Pro, however, extended to 18 October, 2013 as it is claimed that it continued to supply signals to the LCOs till that date. But the Tribunal rejected this claim in the absence of any renewal agreement.

     

    Both Madhumati and Shiv Cable did not appear despite service of notice and hence, the petition proceeded ex parte.

     

    While allowing the claims of Mauli Cable Network on the basis of the Interconnect agreement, TDSAT rejected the claims made by Media Pro in respect of Zee Turner, which the Tribunal said “appears to be on a different footing. The petition filed on behalf of Media Pro is very sketchy and in so far as the alleged dues of Zee Turner are concerned.” The Zee Turner claim is for Rs 7,71,802.04 on the basis of an undisclosed agreement between the LCO and Zee Turner.

     

    No agreement between Zee Turner and the LCO (or for that matter for supply of signals of Zee Turner prior to 1 December, 2011), which alone can form the basis for the claim for the arrears has been produced before the Tribunal. Five invoices are produced of which the first one is dated 15 December, 2011, that is, shortly after the execution of the agreement on 8 December, 2011. It shows the payment due date as 22 December, 2011 and shows previous period outstanding as nil. Though, apart from the statement of account of Media Pro, a statement of account of Zee Turner has been filed along with the petition, it is of no help in the absence of any agreement between Zee Turner and the respondent. Moreover, the witness examined in the case identified and proved only the Media Pro statement of account and not the Zee Turner statement of account.

  • TDSAT dismisses Media Pro’s 14 petitions seeking payments from cable ops

    TDSAT dismisses Media Pro’s 14 petitions seeking payments from cable ops

    NEW DELHI: The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has dismissed 14 petitions by Media Pro Enterprise India, Mumbai against cable operators as “there is no material on record even to show what were the dues, if any, of the respondents on the date their respective agreements came to end.”

     

    TDSAT chairman Justice Aftab Alam and member Kuldeep Singh said in fact that three cases by the petitioner were plainly barred by limitation. 

     

    The judgment said, “We are satisfied that in none of the cases in the batch, the claim of the petitioner is fit to be allowed. All the petitions are accordingly dismissed with costs at Rs 5,000 per petition payable to the TDSAT Employees’ Welfare Society. A receipt showing payment of the cost should be filed in the Registry within a month from the date of the judgment.”

     

    The three petitions barred by limitation (time-barred) were against S.M. Advertising, Maharashtra; Nileshwar Cable TV Network, Kerala; and Tara Cable Network, Maharashtra.

     

    The other local cable operators (LCOs) against whom the petitions had been filed included five from Gujarat – Narmada Cable Service, Five Star Network, Star Marketing, Anjali Cable Network, and Jai Santoshi Maa; two from Maharashtra – Bhusawal Network and H.R. Entertainment; Rathore Network, Rajasthan; Apna In Cable Broad Band Services, Andhra Prdesh; Nandgaon Cable Network, Chhattisgarh; and Haridwar Cable Network, Uttarakhand. 

     

    Media Pro used to be the agent and intermediary of several broadcasters, including Zee Turner Ltd and StarDEN Media Services on the basis of agreements executed with the broadcasters. According to the averment made in the petition, it started its operations as their agent in July 2011. Before that the channels of the aforesaid two broadcasters were given to the distributors on the basis of agreements executed by the broadcasters themselves. 

     

    The 14 petitions are for recovery of different sums of money as dues of monthly subscription fees. According to the petitioner, the 14 LCOs were receiving the signals from Zee and Star DEN on the basis of agreements executed with them on different dates, on payment of different sums of money as subscription fees in terms of their respective agreements. It is further the case of the petitioner that on the basis of agreements executed with the broadcasters, it took over the control and distribution of their channels and was also authorised by its principals to collect their outstanding dues from all the distributors, including the present LCOs.

     

    According to Media Pro, after assuming the role of agent and intermediary, it raised invoices against the LCOs for payment of monthly subscription fees as also the past dues of the principal broadcasters. The LCOs, however, failed to make payments against the invoices and as a result dues accumulated, leading to the petitions. Media Pro has claimed the amounts due along with interest at 18 per cent from the date the amount became due till the date of the filing of the petition. 

     

    The Tribunal noted that in all cases, the subscription agreement had come to end before Media Pro stepped into the shoes of the agent and the intermediary of the broadcasters. Furthermore, the supply of signals to the LCOs continued for many months even after the agreements had come to end – a fact admitted in the petitions and by witnesses examined.

     

    None of the 14 cable operators appeared despite service of notice. Hence, all the petitions in the batch were proceeded with ex parte. As all are based on similar facts with the exception of the amounts of money claimed and the date of disconnection of signals, all were heard together. 

     

    The witnesses said Media Pro requested the LCOs to renew the expired agreements but the latter delayed this on one pretext or other and invoices were raised. The TV channel signals accordingly continued to be retransmitted by LCOs to their subscribers until May 2012. 

     

    The said retransmission by the respondent to its subscribers has been duly verified and corroborated by the petitioner through ground verification conducted from time to time and as recent as on April – May 2012.  

     

    However, the Tribunal noted, “the averment of Media Pro is thus directly in teeth of the clear directive of the Regulations.” 

     

    The Tribunal said clause 4A of the Telecommunication (Broadcasting and Cable Services) Interconnect Regulations 2004 with effect from 17 March, 2009 is clear that the Interconnection Agreements have to be in writing. It further says no broadcaster of pay channels or distributor of TV channels, such as multi system operator or headend in the sky operator shall make available signals of TV channels to any distributor of TV channels without entering into a written interconnection agreement.

  • I&B Ministry took action on 91 complaints against TV channels since 2012

    I&B Ministry took action on 91 complaints against TV channels since 2012

    NEW DELHI: The Information and Broadcasting Ministry took action on 91 complaints between 2012 and August 2015 against various private television channels, the Parliament was told today.

     

    This included warnings, advisories, apology scrolls, and prohibiting transmissions of channels for a fixed period, Minister of State for Information and Broadcasting Rajyavardhan Rathore said.

     

    A budget of Rs 22.41 crore has been set aside in the budget estimates for the Electronic Media Monitoring Centre (EMMC), which is mandated to look at all private satellite television channels uplinked from and downlinked into India.

     

    The fund allocation for the same in 2014-15 was Rs 27.46 crore, while in 2013-14 was Rs 20.54 crore.

     

    The Inter Ministerial Committee (IMC) set up to look into the violations suo-motu or whenever violation of the Programme and Advertising Codes took action on 91 complaints against various TV channels since 2012.

     

    The IMC has representatives from the Ministry of Home Affairs, Defence, External Affairs, Law, Women and Child Development, Health and Family Welfare, Consumer Affairs and a representative from the industry in Advertising Standards Council of India (ASCI). IMC meets periodically and recommends action in respect of violations. 

  • TDSAT directs 65 Rajasthan LCOs to make payment to Hathway

    TDSAT directs 65 Rajasthan LCOs to make payment to Hathway

    NEW DELHI: Accepting the request on behalf of 65 Rajasthan cable operators about their dues to Hathway Cable & Datacom Ltd. Jaipur, the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has said that these payments are ad hoc in nature and without prejudice to the rights and contentions of either side and will abide by the final decision in the petition.

     

    The petition had been filed by Rajasthan Cable Operators Foundation, Jaipur, on behalf of the local cable operators (LCOs).

     

    Following a previous order and as an ad hoc arrangement, Hathway counsel Jayant K  Mehta gave a computation with regard to the monthly subscription fee payable for the months of August and September 2015 by each of the 65 LCOs being represented in this petition.

     

    Foundation counsel G S Oberoi said the LCOs will “certainly” make payment on the basis of the computation given on behalf of Hathway. 

     

    However, he submitted that the payment of the dues for the aforesaid two months may be split up into two instalments. He said half of the dues for the two months will be paid by the LCOs along with the payment for the month of December and the balance along with the payment for the month January 2016. 

     

    The Tribunal listed the matter on 22 December before the Assistant Registrar for getting the pleadings completed, framing of issues and taking evidences.

  • Modified list of DAS areas in Goa, Meghalaya, Sikkim sees 61 changes

    Modified list of DAS areas in Goa, Meghalaya, Sikkim sees 61 changes

    NEW DELHI: In an updated list issued today, the Information and Broadcasting Ministry has made deletions and changes in the areas to be brought under Phase III of Digital Addressable System (DAS) in Goa, Meghalaya and Sikkim by the end of the month.

     

    These include a total of 6q changed including 57 areas deleted from the list of Goa, two deleted in Sikkim, and two changed in Meghalaya.

     

    The Government had first notified the list of areas under Phase III on 30 April and later modified the lists for 16 States/UTs and another eight States/UTs on 16 October and 2 November respectively.

     

    The changes made in Goa, Meghalaya and Sikkim are based on comments/data received from the State/UT Governments.

     

  • TRAI to meet stakeholders to discuss DAS issues on 18 December

    TRAI to meet stakeholders to discuss DAS issues on 18 December

    NEW DELHI: The Telecom Regulatory Authority of India (TRAI) has called a meeting of stakeholders – primarily broadcasters and multi system operators (MSOs) – on 18 December to sort out any problems relating to agreements in order to ensure a smooth transition to Phase III of Digital Addressable System (DAS) by 31 December, 2015.
     
    This information was given to the 12th DAS Task Force meeting presided over by its chairman and Information and Broadcasting Ministry special secretary J S Mathur this week. Joint Secretary (Broadcasting) R Jaya was also present.
     
    Broadcasters and MSOs were told categorically that there would be no extension of the deadline for Phase III and analogue signals should be switched off from 1 January, 2016 in all urban areas of the country. The final phase covering the rest of India will be completed by 31 December, 2016.
     
    TRAI had earlier asked all stakeholders to apprise it of any problems arising out of finalising agreements amongst various stakeholders.
     
    While Jaya referred to public awareness campaigns carried out by the Ministry, the broadcasters presented a report about the publicity campaigns that they have been carrying on both television and radio.
     
    TRAI also informed the Ministry about the meetings held with stakeholders since the last Task Force meeting on 22 September.
  • MHA holds up 56 TV channels’ applications for lack of security clearance

    MHA holds up 56 TV channels’ applications for lack of security clearance

    NEW DELHI: The Parliament has been informed that eight permission holder companies have been refused to set up television channels because the Ministry of Home Affairs (MHA) declined security clearances to them.

     

    These include Mahuaa Media (earlier known as Pearls Media), which has applied for five channels; Sai Prakash Telecommunication for one channel; Positive Television, which applied for six channels and two teleports; Maa TV Network for four channels; STV Enterprises Ltd for four channels and one teleport; Indira Television for one channel and one teleport; and Lemon Entertainment for two channels.

     

    In addition, the case of Sun TV Network for 33 channels and two teleports is held up as the matter is sub judice. The company also owns FM radio channels.

     

    Minister of State for Information and Broadcasting Rajyavardhan Rathore told the Parliament that four of these have been served show-cause notices and the matter is under process.

     

    The Ministry will decide on these cases on the basis of their reply in consultation with Home Ministry. 

     

    Permission and renewal of permission of satellite TV channels whose security clearance is denied by MHA are not granted. Such permission holder companies are issued Show Cause Notice (SCN) on the basis of legal advice obtained recently that gives them an opportunity to make their representation.

     

    After consideration of the same, their permission is cancelled with the approval of competent authority on merits.

  • Inflation, 6th Pay Commission taking toll on Prasar Bharati: Rathore

    Inflation, 6th Pay Commission taking toll on Prasar Bharati: Rathore

    NEW DELHI: Prasar Bharati earned Rs 604 crore in revenue as against expenditure of Rs 1187.44 crore up to October this year for the financial year 2015-16.

     

    Minister of State for Information and Broadcasting Rajyavardhan Rathore told the Parliament today that the revenue in 2014-15 was Rs 1124.43 crore as against expenditure of Rs 2132.98 crore, in 2013-14 it was Rs 1295.96 crore against expenditure of Rs 1945.84 crore and revenue in 2012-13 was Rs 1298.16 crore as against expenditure of Rs 1883.19 crore.

     

    The Minister added that Prasar Bharati had said that with inflation and rising costs of TV channels, Doordarshan has also experienced gradual increase in operational costs. In addition, the implementation of various recommendations of 6th Central Pay Commission has led to increase in administrative and staff related expenses.

     

    Since Prasar Bharati is a public service broadcaster, its functioning cannot be guided purely by commercial motives.

     

    However, the Minister said Prasar Bharati is adopting an aggressive marketing strategy to increase the revenue receipts besides putting into best use its spare infrastructure available with the field formations across the country.

     

    The Ministry provides financial support to Prasar Bharati under Plan and Non Plan heads, in the form of grants-in-aid. In the current financial year (2015-16), an amount of Rs 605.03 crore has been allocated to Prasar Bharati under Plan Head and Rs 2342.12 crore has been allocated under Non-Plan.

     

    The Ministry has also allocated (through its Office Memorandum dated 27 August, 2015) a sum of Rs 11,116.79 crore [Rs 11,116.76 crore under Revenue Section and Rs 0.02 crore as Token Supplementary and Rs 0.01 crore as Token Supplementary under Capital Section as first batch of supplementary grant 2015-16] to Prasar Bharati subsequent to the approval of Ministry of Finance for the following:

     

    (i) Conversion of a sum of Rs 5684.34 crore towards Loan-in-Perpetuity and Capital Loan into Grants-in-Aid for the period 1 April, 2000 to 31 March, 2010.

     

    (ii) Waiver of an amount of Rs 4082.88 crore towards interest on Loan-in-Perpetuity, interest on Capital Loan and Penal Interests for the period 1 April, 2000 to 31 March, 2010.

     

    (iii) Waiver of a sum of Rs 1349.54 crore towards accumulated arrears of Space Segment and Spectrum Charges accrued to Prasar Bharati up to 31 March, 2011.