ITV

Category: TDSAT

  • Hathway to provide Zee, Turner channels on a la carte

    Hathway to provide Zee, Turner channels on a la carte

    MUMBAI: It was three weeks ago when Taj Television, the distribution arm of Zee and distribution agent for Turner channels had issued a public notice against Hathway Cable and Datacom. It had had informed consumers that the Zee and Turner channels may be pulled off from Hathway’s network if the multi system operator (MSO) did not clear the pending subscription fees and sign the interconnection agreement. The deadline came to an end on 31 July, and immediately after that Taj Television switched off signals to Hathway.

     

    This resulted in Hathway moving the Telecom Disputes Settlement Appellate Tribunal (TDSAT) on 1 August. “As per the law, we had signed the interconnect agreement with Taj Television, but had raised a few objections, which wasn’t acceptable to the distribution arm of Zee. So they pulled off signals and we approached TDSAT today,” says a source close to the development.

     

    As per the source, Hathway wanted to sign a RIO deal and provide all the Zee and Turner channels on a la carte. This was unacceptable to the distribution arm.

     

    In its order today, TDSAT has asked Taj Television to restore the channel signals. Also, starting August, until any further order from the regulator,  Zee and Turner channels will be available on a la carte only on Hathway in the DAS I and II areas.

     

    As for the pending payment from April to July, the MSO will pay Rs 21.60 per set top box to the broadcaster. “The payment has to be made on an immediate basis,” the source reveals.

     

    The sports arm of Zee- Ten Sports however, remains unaffected since the MSO has its agreement with the sports broadcaster till 2015.

     

    Hathway on its part is also working out packages which will ensure that the consumer is not burdened with heavy cable bills. 

     

    The next hearing for the case has not yet been announced.  

  • Star cannot disconnect HD signals to Hathway till next hearing: TDSAT

    Star cannot disconnect HD signals to Hathway till next hearing: TDSAT

    MUMBAI: The order for the Hathway versus Star India case puts things in order. The Telecom Disputes Settlement Appellate Tribunal’s (TDSAT) interim order states that as per an earlier order issued, multi system operator (MSO) Hathway Cable & Datacom has provided Star India with the subscriber management system (SMS) report for the period April to June 2014. Till the case is resolved, the Tribunal has carved out an interim financial measure to settle the dispute regarding Star’s entertainment and sports channels.

     

    Just as Star and Hathway had agreed to enter into a RIO deal for its sports channels, the broadcaster moved the TDSAT again claiming that Hathway had not made any payments after expiry of the earlier agreement between the MSO and MediaPro (which was then handling Star channels).

     

    Star had sent out disconnection notices against Hathway for its entertainment channels on grounds of nonpayment of dues. During the hearing, Star’s contended that since the MSO had taken its sports channels on RIO, the same must be followed for its entertainment channels without partiality. ‘Hathway cannot be permitted to indulge in duality and take some of Star’s channels on RIO terms and some other channels on negotiated terms; again Hathway cannot take the same channels in different parts of the country on different terms,’ claimed Star.

     

    Post this, the MSO said that it is willing to take its entertainment and sports channels at a cost per subscriber (CPS) basis of Rs 22 while Star asked for Rs 31. TDSAT as an interim measure has said that taking the mean of the two would be ideal. Therefore, from 1 August, Star will raise invoices on Hathway for monthly subscription fees for both genre channels at Rs 27 CPS basis.

     

    “It will be open to Star to take into account each and every set top box by means of which any Star channel is viewable. Hathway shall put any sports channels of Star in any of its bouquet as it may deem appropriate,” states the TDSAT order.

     

    Meanwhile for the period April to July, TDSAT has given permission to Star to raise invoices for its entertainment channels at the rate of Rs 23 CPS basis in the DAS areas of Mumbai and Delhi, where the agreement ended on 30 April 2014 and DAS areas of Kolkata and DAS II areas where the agreement came to an end on 31 March 2014. For the sports channels, invoices will be raised on RIO basis. The total of this, Rs 26.5 crore has been paid by Hathway on 30 July.

     

    These arrangements have been made for Star’s SD channels. Directions on its HD channels will be made in the next hearing, which is on 11 August and till then the broadcaster has been told not to disconnect its HD signals to Hathway.

     

    In the end, TDSAT makes it clear that this is only an interim arrangement as per current circumstances and will not operate as a precedent for any other case or parties.

  • Hathway pays Rs 26.5 crore to Star India

    Hathway pays Rs 26.5 crore to Star India

    MUMBAI: On 28 July, the Telecom Disputes Settlement Appellate Tribunal (TDSAT) had issued an order directing MSO Hathway Cable & Datacom to clear its four month dues of Rs 26.5 crore to Star India. The TDSAT had directed Hathway to make the payment by 30 July to which it obliged.

     

    The amount was to be calculated as the sum of Rs 23 per subscriber for Star India’s entertainment channels and RIO for the sports channels. However, a Star official has claimed this to add up to Rs 27 crore.

     

    As per the order, the two parties have been asked to settle the quarrel by entering into a cost per subscriber (CPS) deal from August. The MSO will have to pay Rs 27 per subscriber to Star. Hathway is allowed to bundle channels on its own given that at least one Star channel is available in one/any bouquet it offers to subscribers.

     

    The interim order was only to settle business issues between the two, even as the case continues and will be heard on 11 August next.

     

    The business discussion reached TDSAT when Hathway decided to remove Star Sports channels from its bouquets and offer it separately in a sports pack or as a-la-carte.

  • Hathway can bundle Star channels: TDSAT

    Hathway can bundle Star channels: TDSAT

    MUMBAI: The Star India and Hathway Cable & Datacom case regarding the former’s various channels has got an interim relief from the Telecom Disputes Settlement Appellate Tribunal (TDSAT). 

     

    As per the order passed on 28 July, TDSAT has asked both Hathway and Star India to enter into cost per subscriber (CPS) deals, starting August. According to this deal, the multi system operator (MSO) will pay Rs 27 per subscriber to the broadcaster for its entire bouquet, which includes entertainment and sports.

     

    It can be noted that earlier Hathway had two separate deals with the broadcaster- one for its sports channels handled separately and the other for the entertainment channels, which was handled by the now dissolved joint venture MediaPro.

     

    The Rs 27 CPS deal is a mid way arrangement proposed by TDSAT as against Hathway’s demand for Rs 22 per subscriber deal and Star’s Rs 31 per subscriber deal.  This means that the MSO has to pay an additional amount for the sports channels now, on a set top box deal, as compared to the RIO deal earlier.

     

    In its interim order, TDSAT has also clarified that Hathway has all the right to bundle the channels the way it feels right. However, the MSO will have to include at least one channel in one/any bouquets that it offers to its subscribers. 

     

    The issue had gained magnitude when Hathway decided to remove Star Sports channels from its base pack to create a separate sports pack and also provide them a-la-carte. The broadcaster objected to this move and took the MSO to the court.

     

    Meanwhile, the court has asked Hathway to clear its dues from April to July this year. This can be calculated at Rs 23 per subscriber for its entertainment channels and RIO for its sports channels together. While Star claims that this amounts to a total of Rs 27 crore, according to Hathway officials, the price is still being worked out. The total amount has to be paid by 30 August. A Hathway official says, “We are disappointed with this particular point as we believe that Rs 23 is much higher than the amount we would have actually paid to Star India as per the agreement between Star and Zee for price sharing after the split of MediaPro.”

     

    A source from Star India says, “Hathway was not paying us because of lack of clarity in the payment deals of sports and entertainment together. With this order, the integrated CPS has been recognised.”

     

    However, both parties agree that this case cannot be taken as a basis for future deals with others. According to officials from both Hathway and Star, the Rs 27 CPS deal cannot be applied to other distribution platform operators.

     

    The case will next be heard on 11 August.

  • DTH licence fee case adjourned yet again

    DTH licence fee case adjourned yet again

    NEW DELHI: The petition by the private direct-to-home (DTH) operators challenging the notice of the government for clearing arrears of licence fees has been adjourned once again. Reason: the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) wants to first decide on a similar case relating to actual gross revenue with regard to telecom.

     

    Earlier, chairman Aftab Alam and Kuldeep Singh had adjourned the matter from 23 May to 8 July as the operators had not filed their rejoinders to the reply by the government.

     

    The adjournment was allowed on a mention by the counsel for the various DTH operators.

     
    TDSAT also noted that the earlier assurance by the government that it will not pressurise the operators in this regard till the case is taken up for hearing will continue.

     

    The petitioners have alleged that the demand by the Information and Broadcasting Ministry is contempt of court as the matter in this regard is pending in the Supreme Court.

     

    However, Information and Broadcasting Ministry secretary Bimal Julka had earlier told indiantelevision.com that the apex court had not issued any stay order. However, the government had filed a caveat in this regard, conscious that the TDSAT or the Supreme Court may be moved in the matter.

     
    The Ministry had earlier this year sent a notice to the six private DTH operators with regard to licence fee dues amounting to Rs 2,066 crore. The private operators are Tata Sky, Dish TV, Airtel Digital TV, Reliance Big TV, Sun Direct and Videocon d2h.

     

    According to the notice, the six private operators had been asked to pay the amount within 15 days.

     
    However, most of the operators contacted said they had cleared the dues of licence fee.

     
    The operators say the licence fee as demanded under the rules is on gross revenue (GR) whereas they have been asked to pay the fee on the basis of Actual Gross Revenue (AGR). The operators have said the fee should be only on subscription revenue and not on allied earnings such as dividend and interest income. 
     
    Even as the matter was pending, Tata Sky had in April made a payment of Rs 383 crore to the Ministry to cover its license fee and other dues. A demand draft of the amount was submitted to the Ministry, even as other operators had said that they would prefer to wait till the next hearing.
     
    Tata Sky said the amount covered the license fee for the year 2013-14 according to the rate specified for license as well as past dues.

     

  • TDSAT to hear appeals on cable tariff on 4 August

    TDSAT to hear appeals on cable tariff on 4 August

    NEW DELHI: Eight cable operator associations from all over the country have intervened in the appeal challenging the legality of tariff orders allowing the increase of 27.5 per cent inflationary rise in the wholesale prices prevailing as on 31 March 2004.

     

    Even as the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has listed the matter for further hearing on 4 August, the Telecom Regulatory Authority of India (TRAI) has also filed its response to the appeals and it is learnt that both Dish TV and Videocon d2h are filing interventions in the petition filed by Home Cable Network and the consumer organisation Centre for Transforming India.

     

    Meanwhile, the broadcasters will retain a separate account for any payment received as tariff, as this would be subject to the final order of the Tribunal.

     

    The appeals wanted TRAI to be directed to carry de-novo exercise in accordance with the statutory provision for price fixation for addressable system de-linking the same from the wholesale price of channels for non addressable system.

     

    Those who have filed interventions are cable associations of Gujarat, Greater Guwahati, Uttar Pradesh, Chandigarh, All Delhi Cable Operators Association, Sai Cable Operators Association, Karnataka State Cable Operators Association, and Amritsar Cable Operators Sangharsh Samiti.

     

    In the appeals, the legality of Tariff Order (Telecommunications (Broadcasting and Cable) Services (Second) Tariff (Eleventh Amendment) Order 2014 dated 31 March this year allowing the increase of 27.5 per cent inflationary rise in the wholesale prices prevailing as on 31 March 2004 has been challenged.

     

    The Appellants have also challenged the impugned tariff order dated 31 March 2014 on the ground that the same has been passed in violation of Section 11(4) without affording any hearing opportunity to the stakeholders and without considering the relevant material and reports.

     

    Furthermore, the impugned tariff order is without jurisdiction because it still provides for adhoc measure of price freeze as on 31 March 2014 even after 10 years of second tariff order dated 1 October 2004 while abdicating its regulatory duty to fix the tariff.

     

    The impugned tariff order has adversely impacted the interest of the addressable platform because the wholesale pricing of the addressable system is based on the wholesale pricing of the non addressable platform; Fourthly that the impugned tariff is heavily tilted towards broadcasters and seriously prejudices the interest of the consumers, MSOs and stifles orderly growth of the cable and broadcasting sector.

     

    It was earlier argued that TRAI ignored the fact that the wholesale pricing of non addressable system and addressable system are inter related. The wholesale price for addressable platform is derived from the wholesale price of non addressable system. By its order, TRAI indirectly and in substance increased the wholesale price for addressable platform / DAS notified area. The said increase in the wholesale price for addressable platform is affected in violation of section 11(4) of the Act.    

     

    TRAI completely disregarded the fact that by changing the content pricing and increasing the same by 27.5 per cent with reference to the price existed immediately prior to 31 March 2014, this will immediately increase the price of content for addressable platform. The authority did not provide any hearing opportunity to the stakeholders including the appellants to represent its view as a stakeholder in the consultation process.

     

    It was stated that TRAI in disregard of the valuable rights of the stakeholders including the appellant and the consumers provided under Section 11(4) of the Act, rushed to issue the impugned order thereby increasing the wholesale price for addressable platform by 15 per cent with effect from 1 April 2014. Thus the impugned order failed to take into account the inputs from such stakeholders.   

  • Appeals against tariff increases of 27.5 per cent in DAS to be heard in August

    Appeals against tariff increases of 27.5 per cent in DAS to be heard in August

    NEW DELHI: The Telecom and Disputes Settlement and Appellate Tribunal (TDSAT) today directed the Telecom Regulatory Authority of India (TRAI) to respond by 4 July to a petition challenging the legality of tariff orders allowing the increase of 27.5 per cent inflationary rise in the wholesale prices prevailing as on 31 March 2004.

     

    TDSAT chairman Justice Aftab Alam and member Kuldip Singh said any other stakeholders including broadcasters could intervene by 16 July and the appeal would be heard on 4 August.

     

    Meanwhile, the broadcasters will retain in a separate account, any payments received as tariff, as this would be subject to the final order of the Tribunal.

     

    The appeals wanted TRAI to be directed to carry de-novo exercise in accordance with the statutory provision for price fixation for addressable system de-linking the same from the wholesale price of channels for non addressable system.

     

    In the appeals filed by Home Cable Network and the consumer organisation Centre for Transforming India, the legality of Tariff Order (Telecommunications (Broadcasting and Cable) Services (Second) Tariff (Eleventh Amendment) Order 2014 dated 31 March this year allowing the increase of 27.5 per cent inflationary rise in the wholesale prices prevailing as on 31 March 2004 has been challenged.

     

    The appellants have also challenged the impugned tariff order dated 31 March 2014 on the ground that the same has been passed in violation of Section 11(4) without affording any hearing opportunity to the stakeholders and without considering the relevant material and reports.

     

    Furthermore, the impugned tariff order is without jurisdiction because it still provides for adhoc measure of price freeze as on 31 March 2014 even after 10 years of second tariff order dated 1 October 2004 while abdicating it regulatory duty to fix the tariff.

     

    The impugned tariff order has adversely impacted the interest of the addressable platform because the wholesale pricing of the addressable system is based on the wholesale pricing of the non addressable platform; Fourthly that the impugned tariff is heavily tilted towards broadcasters and seriously prejudices the interest of the consumers, MSO’s and stifles orderly growth of the cable and broadcasting sector.

     

    Counsel Vivek Sareen argued that TRAI ignored the fact that the wholesale pricing of non addressable system and addressable system are inter related. The wholesale price for addressable platform is derived from the wholesale price of non addressable system. By its order, TRAI indirectly and in substance increased the wholesale price for addressable platform / DAS notified area. The said increase in the wholesale price for addressable platform is affected in violation of section 11(4) of the Act.    

     

    TRAI completely disregarded the fact that by changing the content pricing and increasing the same by 27.5 per cent with reference to the price existed immediately prior to 31 March 2014, this will immediately increase the price of content for addressable platform. The authority did not provide any hearing opportunity to the stakeholders including the appellants to represent their view as a stakeholder in the consultation process.

     

    It was stated that TRAI had rushed to issue the impugned order thereby increasing the wholesale price for addressable platform by 15 per cent with effect from 1 April 2014. Thus the impugned order failed to take into account the inputs from such stakeholders.

  • TDSAT again adjourns DTH licence fee case to 8 July on plea by operators

    TDSAT again adjourns DTH licence fee case to 8 July on plea by operators

    NEW DELHI: The petition by private direct-to-home (DTH) operators challenging the notice of the government for clearing arrears of licence fees has once again been adjourned – this time to 8 July – as the operators have still not filed their rejoinders to the reply by the government.

     

    The adjournment was allowed by Telecom Disputes Settlement and Appellate Tribunal (TDSAT) chairman Aftab Alam and Kuldeep Singh on a mention by counsel for the various DTH operators.

     
    TDSAT also noted that the earlier assurance by the government that it will not pressurise the operators in this regard till the case is taken up for hearing will continue.

     

    The petitioners have alleged that the demand by the Information and Broadcasting Ministry is contempt of court as the matter in this regard is pending in the Supreme Court.

     

    However, Information and Broadcasting Ministry secretary Bimal Julka had earlier told indiantelevision.com that the apex court had not issued any stay order. However, the government had filed a caveat in this regard, conscious that the TDSAT or the Supreme Court may be moved in the matter.

     
    The Ministry had recently sent a notice to the six private DTH operators with regard to licence fee dues amounting to Rs 2,066 crore. The private operators are Tata Sky, Dish TV, Airtel Digital TV, Reliance Big TV, Sun Direct and Videocon d2h.

     

    According to the notice, the six private operators had been asked to pay the amount within 15 days.

     
    However, most of the operators contacted said they had cleared the dues of licence fee.

     
    The operators say the licence fee as demanded under the rules is on gross revenue (GR) whereas they have been asked to pay the fee on the basis of Actual Gross Revenue (AGR). The operators have said the fee should be only on subscription revenue and not on allied earnings such as dividend and interest income. 
     

    Even as the matter was pending, Tata Sky had late last month made a payment of Rs 383 crore to the Ministry to cover its license fee and other dues. A demand draft of the amount was submitted to the Ministry. Even as other operators had said that they would prefer to wait till the next hearing.
     

    Tata Sky had then said that the amount covered license fee for the year 2013-14 according to the rate specified for license as well as past dues.

  • TDSAT adjourns DTH licence fee case to 22 May

    TDSAT adjourns DTH licence fee case to 22 May

    NEW DELHI: The petition by private direct-to-home (DTH) operators challenging the notice of the government for clearing arrears of licence fees was adjourned by the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) to 22 May.
     

    The DTH operators were given time by chairman Aftab Alam and Kuldeep Singh to file their rejoinders following the reply by the government.

     

    TDSAT also noted that the earlier assurance by the government that it will not pressurise the operators in this regard till the case is taken up for hearing will continue.

      
    Even as the petitioners have alleged that the demand by the Information and Broadcasting Ministry is contempt of court as the matter in this regard is pending in the Supreme Court, I&B secretary Bimal Julka had earlier told indiantelevision.com that the apex court had not issued any stay order.

     
    However, conscious that the TDSAT or the Supreme Court may be moved in the matter, a caveat had been filed by the Ministry in this regard.

     
    The Ministry had recently sent a notice to the six private DTH operators with regard to licence fee dues amounting to Rs 2,066 crore. The private operators are Tata Sky, Dish TV, Airtel Digital TV, Reliance Big TV, Sun Direct and Videocon d2h.

    According to the notice, the six private operators had been asked to pay the amount within 15 days.

     
    However, most of the operators contacted said they had cleared the dues of licence fee.

     
    The operators say the licence fee as demanded under the rules is on gross revenue (GR) whereas they have been asked to pay the fee on the basis of Actual Gross Revenue (AGR). The operators have said the fee should be only on subscription revenue and not on allied earnings such as dividend and interest income. 

     

    Meanwhile, Tata Sky late last month made a payment of Rs 383 crore to the Ministry to cover its license fee and other dues. A demand draft of the amount was submitted to the Ministry. Even as other operators had said that they would prefer to wait till the next hearing.

     
    This amount covers license fee for the year 2013-14 according to the rate specified for license as well as past dues, for which the Ministry had raised a demand note recently.

     

    TataSky MD and CEO Harit Nagpal had earlier said in a statement: “We hope that this will end the long standing dispute on the subject and pave the way forward for a constructive rationalisation of taxes with the support of our parent Ministry.” 

  • Govt cannot deny permission for de-endorsing any channel: TDSAT

    Govt cannot deny permission for de-endorsing any channel: TDSAT

    NEW DELHI: The information and broadcasting ministry (I&B) was directed by the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) to de-endorse the SK TV channel of Sindhi Kachchhi Entertainment Corporation from the list of channels permitted to be up-linked by the Noida Software Technology Park through its teleport using INSAT 4A satellite with immediate effect.

     

    Noting that the government has itself admitted that it has no role to play with regard to agreements between teleports and television channels, chairman justice Aftab Alam and member Kuldep Singh said “we are unable to appreciate the submissions made by the ministry that it is waiting to receive ‘no objection’ from Sindhi Kachchhi Entertainment Corporation as well as the claim regarding excess payment made by the channel to NSTPL.”

     

    The judgment written by Singh also said the Ministry “can also not delay the permission to NSTPL just because the guidelines do not contain specific provision in this regard and the policy is under process of being framed.”

     

    The tribunal noted that Sindhi Kachchhi Entertainment Corporation has not appeared before the tribunal in spite of notice and from its letters, “it is evident that it has accepted the position of suspension of uplinking of its channel by the petitioner and it is in search of an alternative for the same.”

     

    The Tribunal also said the cost of litigation amounting to Rs 25,000 would be paid to NSTPL.

     

    NSTPL manages JAINHITS, the only head-end in the sky platform at present licensed by the government.  It is engaged in the business of providing up-linking facility and transponder service to the broadcasters and has been granted a license on 24 January 2003 under Section 4 of the Indian Telegraph Act 1885 to establish, maintain and operate the up-inking hub (teleport). It has also obtained license from WPC (Wireless Planning & Coordination), Department of Telecommunications. It is operating the teleport as permitted in the letter of the Ministry dated 27 January 2003.

     

    The tribunal noted that the teleport is a satellite ground station that functions as a hub connecting a satellite in a geo-stationary orbit with terrestrial communication network. Teleports are used to provide various broadcasting as well as telecommunication services. In the case of the petitioner, the license granted to it is for up-linking the approved television channels using C-Band. The hub is to be used for up linking TV channels only and not for any other mode of communication.

     

    While NSTPL and Sindhi Kachchhi Entertainment Corporation had entered into an agreement in September 2010 and NSTPL received the requisite permission from the ministry with regard to SK TV.  NSTPL had contended that the channel defaulted in its payments amounting to Rs 31,66,395. The NSTPL then terminated the agreement and approached the Ministry in July last year seeking de-endorsement of the said channel from the list of channels permitted to be uplinked by JAINHITS.

     

    NSTPL filed the petition in January this year after it failed to get a suitable reply from the ministry which told the tribunal that this was a matter between the two parties, and that the channel had written to the ministry in September 2013 that it had made excess payment. It also said when the ministry receives requests for de-endorsement, then it awaits a no-objection from the channel.

     

    The channel had also written to the ministry that since NSTPL was not having transparent business dealing, it has under force majeure clause accepted suspension of its service and was in search of other teleport or DTH operator for transmission of its channel.