GECs
IBF united to thrash out differences on CAS
NEW DELHI: The Indian Broadcasting Foundation (IBF) today decided that it should put up a united front and thrash out various differences, including those on conditional access, within the organisation itself.
In a board meeting, which was not attended by Foundation president and Prasar Bharati CEO K S Sarma owing to an official visit to Srinagar, a decision on the show cause notice issued to Sahara TV president Mahesh Prasad was deferred till the next meeting of the IBF.
Speaking to indiantelevision.com on behalf of the IBF, ESPN India’s head Manu Sawhney said, “The IBF stands united, more than ever at this juncture. We realise that all the members have a big role to play in industry related issues, including the implementation of CAS.”
Sawhney also downplayed the discordant note that Sarma had struck during a recent meeting with the parliamentary standing committee on IT, telecom and convergence, where he had disagreed with an IBF subcommittee view that CAS should be phased in and tried out in one city before being deployed in all the metros as had been mandated by the government.
“We are working collectively to address the (industry) issues proactively, including those related to the consumers,” Sawhney said. Though he refused to comment on the Mahesh Prasad issue saying “it’s an internal matter,” he did add that reduction of duty on the set top boxes (needed for CAS) is one of the key issues for the IBF at the moment for which the Foundation “would once again reinforce its stand to the government.”
Meanwhile, Sarma visited the Srinagar radio station in his capacity as the CEO of Prasar Bharati to review the situation after militants had struck there.
Sarma also appreciated All India Radio station director Rafeeq Masoodi and his staff for making it possible to run the station without any disruption despite a fierce gun battle being fought outside the premises.
GECs
Sebi sends show-cause notice to Zee over fund diversion, company responds
Regulator questions 2018 letter of comfort and governance lapses; company vows robust legal response
MUMBAI: India’s markets watchdog has reignited its long-running scrutiny of Zee Entertainment Enterprises, issuing a sweeping show-cause notice that drags the broadcaster and 84 others into a widening governance storm.
The notice, dated February 12, has been served by the Securities and Exchange Board of India to Zee, chairman emeritus Subhash Chandra and managing director and chief executive Punit Goenka, among others. At its heart: allegations that company funds were indirectly routed to settle liabilities of entities linked to the Essel Group.
The regulator’s probe traces its roots to November 2019, when two independent directors resigned from Zee’s board, flagging concerns over the alleged appropriation of fixed deposits by Yes Bank. The deposits were reportedly adjusted against loans extended to Essel Group entities, triggering questions about related-party dealings and board oversight.
A key flashpoint is a letter of comfort dated September 4, 2018, issued by Subhash Chandra in his dual capacity as chairman of Zee and the Essel Group. The document, linked to credit facilities availed by certain group companies from Yes Bank, was allegedly known only to select members of management and not disclosed to the full board—an omission SEBI believes raises red flags over transparency and governance controls.
Zee has pushed back hard. In a statement, the company said it “strongly refutes” the allegations against it and its board members and will file a detailed response. It expressed confidence that SEBI would conduct a fair review and signalled readiness to pursue all legal remedies to protect shareholder interests.
The notice marks the latest twist in a saga that has shadowed the broadcaster since 2019. What began as boardroom unease has morphed into a full-blown regulatory confrontation. The final reckoning now rests with SEBI—but the reputational stakes for Zee, and the message for India Inc on governance discipline, could scarcely be higher.
