TDSAT asks DEN to pay Rs 10 crore to ZEE, orders audit

Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has declined a request made by DEN Networks to avail ZEE signals on RIO basis. The tribunal also asked DEN Networks to pay a total of Rs 10 crore to ZEE as fine. DEN Networks Limited and ZEE Entertainment are in TDSAT due to non-renewal of their commercial arrangement which expired on December 31, 2017.

ZEE submitted to TDSAT that DEN Network has failed to clear the outstanding subscription fee amounting to more than Rs 39.50 crore, and said that as a defaulter DEN is not entitled to signals of ZEE & Turner channels. They also submitted that DEN Network cannot be provided with their signal on RIO basis, as DEN is not compliant with the regulations.

Advocates representing ZEE said there was no existing agreement between the parties after the past deal expired.

In the order dated January 15, 2018, TDSAT has declined the request of DEN to migrate to RIO-based agreement.

Tejveer Bhatia, representing ZEE, said, "TDSAT has directed DEN to continue ZEE and Turner channels as per the agreement which had expired on December 31, 2017. The TDSAT has not permitted DEN to migrate on RIO-based agreement at the interim stage. TDSAT has also asked DEN to pay Rs 5 crore by January 16, 2018 and another Rs 5 crore within the next week.

The next date of hearing in the matter has been set on February 2, 2018. TDSAT also directed to carry out an audit of DEN's SMS & CAS system by BECIL in the presence of representatives of ZEE before the next hearing. The tribunal further directed both the sides to either come with their agreed outstanding or to file their separate outstanding by way of an affidavit."

Bhatia said, "For working of a RIO based agreement, it is imperative that SMS & CAS System of a MSO is in terms with the regulations and is capable of generating correct and accurate reports. ZEE has time and again tried to conduct an audit of DEN's CAS & SMS system. However, DEN has not provided the data pertaining to past period. It seems from the conduct of DEN that their system is incapable of providing these reports live as required under the Schedule I to the 2012 DAS Interconnect Regulations."

The Issues

• DEN Networks Limited and ZEE are in TDSAT due to non-renewal of commercial arrangement.
• DEN has also failed to clear the subscription fee amounting to Rs 39.50 cr.