Tag: MSO

Clarify status with Star India, TDSAT asks Canara Star

NEW DELHI: Canara Star Communications Pvt. Ltd Karnataka, which has a long-pending dispute with Star India with regard to payments, has been given one more opportunity by the Telecom Disputes Settlement and Appellate Tribunal to reply to an affidavit of 23 March 2016 by the broadcaster alleging there was no entity of the name of the MSO on the website of the Corporate Affairs Ministry.

Canara Star was given one more week from 20 December 2016 to file its affidavit, and Star India was permitted to respond to the affidavit if it so desired.

Members B B Srivastava and A K Bhargava put up the matter for further hearing on 20 January 2017.

The Tribunal said: “It is seen that the affidavit which has been filed by Canara Star is not prima facie in conformity with the directions given by the Tribunal on 18 December 2015.

Canara Star had originally come before the Tribunal against disconnection notices by Star India as for default in payment. One of the grounds on which the disconnection notice was challenged was that another MSO had started operating in those areas and, as a result, the petitioner’s subscriber base had gone down substantially and the petitioner had been making request for downgradation of its subscriber base and consequently a reduction in the fixed fee payable by it as monthly subscription fee.

As there appeared to be some substance in the petitioner’s grievance, and, on a joint request, the matter was referred to the Mediation Centre. The Tribunal was informed that, before the Mediation Centre could intervene, the parties were able to arrive at some understanding in regard to Kumta and Bhatkal areas but Canara Star was also getting signals from Star India for transmission in the DAS area of Bangalore and there too the MSO happened to be in default in payment of the subscription fees.

Star India wanted a comprehensive settlement that should cover both analogue and digital areas covering Bangalore also.

Canara, which has allegedly sold its business to another MSO called All Digital, was to produce its deed of transfer of establishment to All Digital which was made a party in the petition filed by Star India.

Earlier this year, Canara Star had been asked by the TDSAT to present a payment schedule to Star India to settle their dispute.

However, then chairman Justice Aftab Alam and members — Kuldip Singh and B B Srivastava accepted the plea by Star India counsel Arjun Natarajan that this schedule should not come in the way of its requirement to furnish a guarantee. Earlier, on 4 February, the Bench had granted a week’s time to Canara Star represented by Counsel Tushar Singh, to furnish a guarantee.

In terms of the earlier order of 14 January, the directors of Canara Star were present in person before TDSAT on 29 January.

In the hearing in third week of December, the Tribunal had asked Canara Star to intimate Star India whether it admits the SMS reports submitted by the broadcaster for the period 2014 to January 2015.

The common order by the Tribunal on three petitions including one by Star India against Canara Star claiming recovery dues of around Rs 3 crore pertaining to the MSO’s operations in DAS area of Bangalore said this was subject to the two parties failing to arrive at a final settlement.

Also read:

Canara Star asked by TDSAT to pay Star India Rs 18.91 lakh subject to final outcome of dispute

December 23, 2016
‘Vardah’: Cables uprooted; antennae warped: Chennai MSO, DTH most affected

MUMBAI: It seemed that the month of December was not so favourable for the Indian state Tamil Nadu. We can recall that, last year, Tamil Nadu was badly affected by floods which caused damages to the tune of around Rs 9000 crore and hundreds of deaths. The more recent catastrophe is the cyclone Vardah, an intense storm to have hit the state again, which left at least 12 dead in TN and Andhra Pradesh.

According to news reports, the severe cyclonic storm affected electricity, communication lines and put rail, road and air traffic in disarray as it crossed the coast, pounding Tiruvallur, Chennai, and Kanchipuram with heavy rain and squall.

Also Tamil Nadu, being a broadcasting hub was badly affected by the calamity. Not only the broadcast industry but the MSOs, LCOs and DTH players too were terribly hit by the cyclone.

Speaking to Indiantelevision.com, Raj TV vice-president programming and production vice-president Amit Bose said, “No one could do much to ease the situation because of power failure and heavy roadblocks due to uprooting of trees throughout the city. Internet and phones were out of system, and hence communication and mobility were affected.

Bose added, “Productions were disrupted and TV viewing was not possible for the people of Chennai. DTH and cable connections were thrown out of gear and even for the people who had inverters and cable homes deserted on a powerless mode. Power backups could not sustain for a long time. This calamity might have affected Chennai’s viewership more than rest of the markets. On the whole, I apprehend the broadcasters, MSOs and viewers suffered the most.”

Polimer TV creative consultant Mathivannan Raju said, “Failure of power is the major issue right now. Also, the antennae of houses with a DTH connection have been destroyed, and there is no way to watch television. The issue is on the path to rectification.”

Raju added, “Of course, viewership will be affected due to the unfortunate event, which will eventually affect revenue as well but it is something beyond control. As this wasn’t our strategic plan, I am unsure how its actual impact on revenues. But, the MSOs and DTH industry has been majorly affected.”

Commenting on the cable industry, Raju said, “At present, cables used for delivering television content have been washed away in Chennai. Almost 99 per cent cables switched off. To recover the lost ground, we need to establish the complete network again. Most of the dish antennae that MSOs had installed have been dislocated, and we need to reinstall them.” “Moreover, on the LCOs front, cables from their office to the consumer’s houses/offices have been eroded. Most of the fibre cable severed into pieces; a new network of cables will now be required,” Raju lamented.

On the MSOs front, Chennai Metro Cable Operators Association general secretary MR Srinivasan said that there was a short supply of fibre cable and other equipment; that’s another problem that the cable industry was facing. In next 10-12 days, the association believes, everything will come to normal.”

As there was negligible electricity in the state, Srinivasan said, it was difficult to check whether DTH antennae were working properly.

From 15 December, the electricity will hopefully be reinstated; and only then people will come to know about the actual conditions vis-a-vis entertainment. With 120 km of wind speed, the antenna might have dislocated from their places, they need to be realigned.

On the DTH front, Tata Sky CEO Harit Nagpal said that the cyclone had not affected the DTH industry in any way. The dish antennae at the residences of some subscribers might have tilted because of the strong winds, and this might have had temporarily affected reception, but this was set right by the subscribers themselves, and so there were no complaints of any disruption.

Another MSO from Chennai informed that it would take another week for the cable industry to get to normal functioning in Chennai and other parts of the state. The state and local government will step in to clear fallen trees and restore wires.

December 15, 2016
‘Vardah’: Cables uprooted; antennae warped: Chennai MSO, DTH most affected

MUMBAI: It seemed that the month of December was not so favourable for the Indian state Tamil Nadu. We can recall that, last year, Tamil Nadu was badly affected by floods which caused damages to the tune of around Rs 9000 crore and hundreds of deaths. The more recent catastrophe is the cyclone Vardah, an intense storm to have hit the state again, which left at least 12 dead in TN and Andhra Pradesh.

According to news reports, the severe cyclonic storm affected electricity, communication lines and put rail, road and air traffic in disarray as it crossed the coast, pounding Tiruvallur, Chennai, and Kanchipuram with heavy rain and squall.

Also Tamil Nadu, being a broadcasting hub was badly affected by the calamity. Not only the broadcast industry but the MSOs, LCOs and DTH players too were terribly hit by the cyclone.

Speaking to Indiantelevision.com, Raj TV vice-president programming and production vice-president Amit Bose said, “No one could do much to ease the situation because of power failure and heavy roadblocks due to uprooting of trees throughout the city. Internet and phones were out of system, and hence communication and mobility were affected.

Bose added, “Productions were disrupted and TV viewing was not possible for the people of Chennai. DTH and cable connections were thrown out of gear and even for the people who had inverters and cable homes deserted on a powerless mode. Power backups could not sustain for a long time. This calamity might have affected Chennai’s viewership more than rest of the markets. On the whole, I apprehend the broadcasters, MSOs and viewers suffered the most.”

Polimer TV creative consultant Mathivannan Raju said, “Failure of power is the major issue right now. Also, the antennae of houses with a DTH connection have been destroyed, and there is no way to watch television. The issue is on the path to rectification.”

Raju added, “Of course, viewership will be affected due to the unfortunate event, which will eventually affect revenue as well but it is something beyond control. As this wasn’t our strategic plan, I am unsure how its actual impact on revenues. But, the MSOs and DTH industry has been majorly affected.”

Commenting on the cable industry, Raju said, “At present, cables used for delivering television content have been washed away in Chennai. Almost 99 per cent cables switched off. To recover the lost ground, we need to establish the complete network again. Most of the dish antennae that MSOs had installed have been dislocated, and we need to reinstall them.” “Moreover, on the LCOs front, cables from their office to the consumer’s houses/offices have been eroded. Most of the fibre cable severed into pieces; a new network of cables will now be required,” Raju lamented.

On the MSOs front, Chennai Metro Cable Operators Association general secretary MR Srinivasan said that there was a short supply of fibre cable and other equipment; that’s another problem that the cable industry was facing. In next 10-12 days, the association believes, everything will come to normal.”

As there was negligible electricity in the state, Srinivasan said, it was difficult to check whether DTH antennae were working properly.

From 15 December, the electricity will hopefully be reinstated; and only then people will come to know about the actual conditions vis-a-vis entertainment. With 120 km of wind speed, the antenna might have dislocated from their places, they need to be realigned.

On the DTH front, Tata Sky CEO Harit Nagpal said that the cyclone had not affected the DTH industry in any way. The dish antennae at the residences of some subscribers might have tilted because of the strong winds, and this might have had temporarily affected reception, but this was set right by the subscribers themselves, and so there were no complaints of any disruption.

Another MSO from Chennai informed that it would take another week for the cable industry to get to normal functioning in Chennai and other parts of the state. The state and local government will step in to clear fallen trees and restore wires.

December 15, 2016
Den Networks consolidated numbers grow in Q2-17; tests OTT platform

BENGALURU: Indian multi system operator (MSO) Den Networks Ltd (Den) Cable business segment consolidated total revenue (pre-activation) increased 18 percent in in the quarter ended 30 September 2016 (Q2-17, current quarter) to Rs 258 crore from Rs231 crore in Q2-16. The company reported consolidated EBIDTA of Rs 34 crore in Q2-17 as compared to Rs 1 crore in the corresponding year ago quarter.

Consolidated net loss in Q2-17 more than halved to Rs 48 crore as compared to a loss of Rs 99 crore in Q2-16.

Twomain segments currently contribute to Den’s revenue: Cable distribution network segment (Cable, Cable business) and Broadband internet segment (Boomband). It has two other segments – TV Commerce and soccer. Den says that its OTT platform is undergoing tests and will be launched soon. The company says further that it has divested another 25 percent of its soccer business.

Cable segment

Cable subscription revenue increased 31 percent y-o-y to Rs140 crore in Q2-17 from Rs115 crore in Q2-16. Cable activation revenue increased 17 percent y-o-y to Rs 32 crore from Rs 27 crore. Placement revenue declined 13 percent y-o-y to Rs86 crore from Rs98 crore.

The company reported 101 lakh DAS subscribers, of which 51 lakh were from DAS phases III and IV for Q2-17. The company had 76 lakh digital subscribers in Q2-16.Den has a cable subscriber base of 1.3 crore.

Broadband segment

Den’s Broadband segment revenue more than doubled (2.6 times) in Q2-17 to Rs 21 crore from Rs 8 crore in Q2-16. Please refer to the figure below for Den’s revenue break-up for Q2-17 and Q2-16.

The company says that it has added about 25,000 subscribers in the current quarter, hence bringing its broadband internet subscriber base to 140,000.

Broadband segment’s operating loss (EBIDTA) in Q2-17 was lower at Rs 2 crore as compared to an operating loss of Rs 11 crore in Q2-16 and an operating loss of Rs 9 crore in the immediate trailing quarter.

Other numbers for Q2-17

Den’s consolidated total expenditure in the current quarter declined 4 percent to Rs 244 crore from Rs 256 crore in Q2-16.

Content costs are a major component of Den’s expenditure- Content costs in the current quarter declined 8 percent in the current quarter to Rs 118 crore from Rs 128 crore in the corresponding year ago quarter.

Employee(Personnel) costs increased2 percent in the current quarter to Rs33 crore from Rs 34 crore in Q2-16. Other operating expenses in Q2-17 declined4 percent to Rs 84 crore from Rs88 crore.

Note: (1.1) The above report is based on Den’s investor presentation for Q2-17.
(1.2) All numbers mentioned are consolidated unless stated otherwise.
(1.3) The figures mentioned above have been rounded off and based on the numbers presented by Den in the public domain.
(2) The numbers in this paper are as per Indian Accounting System. (Ind AS)
(3) The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:
(a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.
(b) 10,000 lakh = 100 crore = 1 arab = 1 billion.

December 15, 2016
Den Networks consolidated numbers grow in Q2-17; tests OTT platform

BENGALURU: Indian multi system operator (MSO) Den Networks Ltd (Den) Cable business segment consolidated total revenue (pre-activation) increased 18 percent in in the quarter ended 30 September 2016 (Q2-17, current quarter) to Rs 258 crore from Rs231 crore in Q2-16. The company reported consolidated EBIDTA of Rs 34 crore in Q2-17 as compared to Rs 1 crore in the corresponding year ago quarter.

Consolidated net loss in Q2-17 more than halved to Rs 48 crore as compared to a loss of Rs 99 crore in Q2-16.

Twomain segments currently contribute to Den’s revenue: Cable distribution network segment (Cable, Cable business) and Broadband internet segment (Boomband). It has two other segments – TV Commerce and soccer. Den says that its OTT platform is undergoing tests and will be launched soon. The company says further that it has divested another 25 percent of its soccer business.

Cable segment

Cable subscription revenue increased 31 percent y-o-y to Rs140 crore in Q2-17 from Rs115 crore in Q2-16. Cable activation revenue increased 17 percent y-o-y to Rs 32 crore from Rs 27 crore. Placement revenue declined 13 percent y-o-y to Rs86 crore from Rs98 crore.

The company reported 101 lakh DAS subscribers, of which 51 lakh were from DAS phases III and IV for Q2-17. The company had 76 lakh digital subscribers in Q2-16.Den has a cable subscriber base of 1.3 crore.

Broadband segment

Den’s Broadband segment revenue more than doubled (2.6 times) in Q2-17 to Rs 21 crore from Rs 8 crore in Q2-16. Please refer to the figure below for Den’s revenue break-up for Q2-17 and Q2-16.

The company says that it has added about 25,000 subscribers in the current quarter, hence bringing its broadband internet subscriber base to 140,000.

Broadband segment’s operating loss (EBIDTA) in Q2-17 was lower at Rs 2 crore as compared to an operating loss of Rs 11 crore in Q2-16 and an operating loss of Rs 9 crore in the immediate trailing quarter.

Other numbers for Q2-17

Den’s consolidated total expenditure in the current quarter declined 4 percent to Rs 244 crore from Rs 256 crore in Q2-16.

Content costs are a major component of Den’s expenditure- Content costs in the current quarter declined 8 percent in the current quarter to Rs 118 crore from Rs 128 crore in the corresponding year ago quarter.

Employee(Personnel) costs increased2 percent in the current quarter to Rs33 crore from Rs 34 crore in Q2-16. Other operating expenses in Q2-17 declined4 percent to Rs 84 crore from Rs88 crore.

Note: (1.1) The above report is based on Den’s investor presentation for Q2-17.
(1.2) All numbers mentioned are consolidated unless stated otherwise.
(1.3) The figures mentioned above have been rounded off and based on the numbers presented by Den in the public domain.
(2) The numbers in this paper are as per Indian Accounting System. (Ind AS)
(3) The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:
(a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.
(b) 10,000 lakh = 100 crore = 1 arab = 1 billion.

December 15, 2016
MSO’s net worth should be positive for registration: Govt.

NEW DELHI: An inter-ministerial committee (IMC) of the government, grappling with the issue of differentiating between serious and non-serious players, has recommended that net worth of an MSO must be positive for grant of registration, but shied away from stipulating a minimum monetary ceiling.

The IMC, which met earlier this month, came to the conclusion after feedback from various other ministries, including finance, information and broadcasting and commerce, that in case an existing registered MSO applied for registration for additional areas, the net worth of the company must be positive for those areas too for a green signal from the government.

For an expenditure of about 25 lakh (Rs. 25,00,000) by a company to establish an MSO business, a loan can be availed of by a new applicant through banks, the IMC said.

Justifying its stand on the MSO company’s net worth being positive, IMC said it should be so as the government was providing loans without collaterals to small entrepreneurs for starting a business. “Hence the net worth of the entity applying for MSO registration has to be positive,” the government panel observed.

For the purposes of net worth evaluation, IMC reiterated that immovable/movable assets, generally included in the net worth certificates submitted by the applicants, could continue to be taken into account as per previous practice.

The panel took into consideration, among other issues, whether for registration purpose an entry level threshold net worth be specified and whether an MSO, already registered for certain areas, may be considered as eligible for registration in extended areas if its net worth was presently negative.

December 9, 2016
MSO’s net worth should be positive for registration: Govt.

NEW DELHI: An inter-ministerial committee (IMC) of the government, grappling with the issue of differentiating between serious and non-serious players, has recommended that net worth of an MSO must be positive for grant of registration, but shied away from stipulating a minimum monetary ceiling.

The IMC, which met earlier this month, came to the conclusion after feedback from various other ministries, including finance, information and broadcasting and commerce, that in case an existing registered MSO applied for registration for additional areas, the net worth of the company must be positive for those areas too for a green signal from the government.

For an expenditure of about 25 lakh (Rs. 25,00,000) by a company to establish an MSO business, a loan can be availed of by a new applicant through banks, the IMC said.

Justifying its stand on the MSO company’s net worth being positive, IMC said it should be so as the government was providing loans without collaterals to small entrepreneurs for starting a business. “Hence the net worth of the entity applying for MSO registration has to be positive,” the government panel observed.

For the purposes of net worth evaluation, IMC reiterated that immovable/movable assets, generally included in the net worth certificates submitted by the applicants, could continue to be taken into account as per previous practice.

The panel took into consideration, among other issues, whether for registration purpose an entry level threshold net worth be specified and whether an MSO, already registered for certain areas, may be considered as eligible for registration in extended areas if its net worth was presently negative.

December 9, 2016
Delhi HC removes legal hurdles to implement DAS IV by 1 Jan 2017

NEW DELHI/ MUMBAI: The Delhi High Court has vacated all interim orders giving extension of deadline in Phase III of digitisation, thus clearing legal hurdles for complete digitisation by the stipulated deadline of 31 December 2016 when the last and Phase IV is supposed to get completed.

The court, disposing of pending petitions, directed all petitioners to run a scroll on their networks about digitisation and analog switch-off in two weeks, apart from informing their subscribers in advance about the change-over to digital signals that will require a set-top-box (STB).

Last month, the court overruled orders passed by various other courts in the country and, in eight other cases, vacated the stay where petitioners had sought an extension of deadline for implementing digital addressable system (DAS) in Phase III areas.

While originally the date for implementation of DAS Phase III was 30 September 2014, it was extended to 31 December 2015 by a notification issued by the ministry of information and broadcasting (MIB). The country, as per the original plan, is supposed to be fully digitised with the completion of Phase IV by the last day of 2016.

With the latest court directive, now it’s up to the various industry stakeholders, the government and the regulator to ensure that Phase IV is completed on schedule or as early as possible. Complete digitisation of TV services in the country is expected to bring about more transparency in the system that would benefit all.

Indian Broadcasting Foundation (IBF) president and Zee MD Punit Goenka said, “We welcome all stakeholders into the dawn of a new era and hope that the digitisation bandwagon continues unabated in Phase IV as well, which is to be implemented from 1 January 2017.”

IBF, an apex body of broadcasting companies, has been involved in the cases filed in various courts that were finally transferred to the Delhi High Court under the direction of the Supreme Court. “We were hit by a flurry of litigations, all filed within a space of 15 days beginning with 30 December 2015, in Andhra Pradesh and Telangana. Stays were obtained on implementation for periods of up to two months. Soon, the fire spread to 18 other high courts with over 50 petitions being filed,” said IBF secretary-general Girish Srivastava.

Welcoming the judgement, Siti Networks Limited ED & CEO and president of All India Digital Cable Federation (AIDCF) VD Wadhwa said, “This is a landmark moment in the Digital India journey as it will clear the passage for timely implementation of DAS Phase IV. It is now obligatory on part of broadcasters and other players to disconnect analog signals within two weeks. This will also pave the way for digital revenues to flow in from these areas.” AIDCF is an industry body representing digital MSOs.

According to Hinduja Group CEO-Media Tony DSilva, “It’s a positive step in the direction of digitisation. I would appreciate if MIB comes out with a clarification on final cut-off date for digitisation and be more realistic in the dates for Phase IV.”

DEN CEO S N Sharma, terming the court direction as positive, said that the demand (for STBs) would increase as the legal question marks over DAS have been cleared.

Background To Legal Cases Relating to Digitisation

A total of 62 cases had been filed in different courts and 29 cases had been transferred by various courts to Delhi by July-end. Of the 62 cases, 12 had been disposed off by respective courts and three cases had been withdrawn by the petitioners.

While the Andhra Pradesh and Telangana High Court had given orders extending the deadline of 31 December 2015 for Phase III, the Bombay High Court, while referring to a judgement, had said that if similar situation prevails in all states, then the stay can be pan-India. This was because the plea taken by petitioners in high courts was shortage of STBs.
Ministry of Information and Broadcasting (MIB) had admitted that the Law Ministry had observed the order passed by the Andhra Pradesh High Court staying Phase III “appears to have all-lndia applicability”.

Indiantelevision.com had reported in January this year that MIB had told the Punjab and Haryana High Court it had “decided not to press the requirement of having a STB as for now till the decision of the cases, which are pending before various other high courts”.

Sensing the wildfire effect the DAS Phase III cases could have, MIB approached Supreme Court with a plea to transfer all similar cases to one high court and the apex court asked Delhi High Court in April 2016 to handle these cases and directed notices to be sent to all other high courts to forward relevant files to Delhi HC.

Also Read:

DAS cases put off to 23 Nov as legal processes incomplete

Siti Networks CEO V.D. Wadhwa hails dismissal of DAS III cases by Delhi HC

December 8, 2016
Delhi HC removes legal hurdles to implement DAS IV by 1 Jan 2017

NEW DELHI/ MUMBAI: The Delhi High Court has vacated all interim orders giving extension of deadline in Phase III of digitisation, thus clearing legal hurdles for complete digitisation by the stipulated deadline of 31 December 2016 when the last and Phase IV is supposed to get completed.

The court, disposing of pending petitions, directed all petitioners to run a scroll on their networks about digitisation and analog switch-off in two weeks, apart from informing their subscribers in advance about the change-over to digital signals that will require a set-top-box (STB).

Last month, the court overruled orders passed by various other courts in the country and, in eight other cases, vacated the stay where petitioners had sought an extension of deadline for implementing digital addressable system (DAS) in Phase III areas.

While originally the date for implementation of DAS Phase III was 30 September 2014, it was extended to 31 December 2015 by a notification issued by the ministry of information and broadcasting (MIB). The country, as per the original plan, is supposed to be fully digitised with the completion of Phase IV by the last day of 2016.

With the latest court directive, now it’s up to the various industry stakeholders, the government and the regulator to ensure that Phase IV is completed on schedule or as early as possible. Complete digitisation of TV services in the country is expected to bring about more transparency in the system that would benefit all.

Indian Broadcasting Foundation (IBF) president and Zee MD Punit Goenka said, “We welcome all stakeholders into the dawn of a new era and hope that the digitisation bandwagon continues unabated in Phase IV as well, which is to be implemented from 1 January 2017.”

IBF, an apex body of broadcasting companies, has been involved in the cases filed in various courts that were finally transferred to the Delhi High Court under the direction of the Supreme Court. “We were hit by a flurry of litigations, all filed within a space of 15 days beginning with 30 December 2015, in Andhra Pradesh and Telangana. Stays were obtained on implementation for periods of up to two months. Soon, the fire spread to 18 other high courts with over 50 petitions being filed,” said IBF secretary-general Girish Srivastava.

Welcoming the judgement, Siti Networks Limited ED & CEO and president of All India Digital Cable Federation (AIDCF) VD Wadhwa said, “This is a landmark moment in the Digital India journey as it will clear the passage for timely implementation of DAS Phase IV. It is now obligatory on part of broadcasters and other players to disconnect analog signals within two weeks. This will also pave the way for digital revenues to flow in from these areas.” AIDCF is an industry body representing digital MSOs.

According to Hinduja Group CEO-Media Tony DSilva, “It’s a positive step in the direction of digitisation. I would appreciate if MIB comes out with a clarification on final cut-off date for digitisation and be more realistic in the dates for Phase IV.”

DEN CEO S N Sharma, terming the court direction as positive, said that the demand (for STBs) would increase as the legal question marks over DAS have been cleared.

Background To Legal Cases Relating to Digitisation

A total of 62 cases had been filed in different courts and 29 cases had been transferred by various courts to Delhi by July-end. Of the 62 cases, 12 had been disposed off by respective courts and three cases had been withdrawn by the petitioners.

While the Andhra Pradesh and Telangana High Court had given orders extending the deadline of 31 December 2015 for Phase III, the Bombay High Court, while referring to a judgement, had said that if similar situation prevails in all states, then the stay can be pan-India. This was because the plea taken by petitioners in high courts was shortage of STBs.
Ministry of Information and Broadcasting (MIB) had admitted that the Law Ministry had observed the order passed by the Andhra Pradesh High Court staying Phase III “appears to have all-lndia applicability”.

Indiantelevision.com had reported in January this year that MIB had told the Punjab and Haryana High Court it had “decided not to press the requirement of having a STB as for now till the decision of the cases, which are pending before various other high courts”.

Sensing the wildfire effect the DAS Phase III cases could have, MIB approached Supreme Court with a plea to transfer all similar cases to one high court and the apex court asked Delhi High Court in April 2016 to handle these cases and directed notices to be sent to all other high courts to forward relevant files to Delhi HC.

Also Read:

DAS cases put off to 23 Nov as legal processes incomplete

Siti Networks CEO V.D. Wadhwa hails dismissal of DAS III cases by Delhi HC

December 8, 2016
IMCL: Hinduja Ventures divests minority stake

MUMBAI: MSO company IndusInd Media and Communications Limited (IMCL)’s parent Hinduja Ventured Ltd. (HVL) has sold 0.13 equity stake in the company to a non-Hinduja Group company for Rs. 46.6 million (Rs. 4.66 crore).

The buying company bought into the MSO at a price of Rs. 466 per share based on IMCL equity valuation of Rs. 3444.06 crore as per an independent valuation.

The holding of HVL in IMCL after disinvestment will reduce to 446,58,583 equity shares, 60.43 per cent, of the paid up equity share capital of IMCL, according to information provided to the stock exchanges by HVL.

IMCL is an national level MSO that has widespread cable distribution network in the country and has been in the forefront of digitalising its networks to keep pace with changing times and technology.

Meanwhile, apart from divesting a minority stake in IMCL, the Board of Directors of the HVL approved disinvestment of 1,75,00,000 equity shares of Rs. 10 each held by the company in Hinduja Energy (India) Limited as per independent valuation of Rs. 31.58 per share to third party.

December 1, 2016