GECs
Cabinet refers downlink policy to GoM
NEW DELHI: After uplink, it’s now time for downlinking a policy for a group of ministers (GoM) that would be headed by defence minister Pranab Mukherjee.
According to information and broadcasting minister Jaipal Reddy, the Cabinet today referred the proposed downlinking policy to the GoM, which is also examining the uplink policy.
Briefing newspersons today after a cabinet meeting, Reddy said the GoM would study the downlink issue too as some issues are common to both the downlink and uplink norms that the government is attempting to put in place.
The draft downlinking policy, prepared by the I&B ministry, requires that channels downlinking content into India from foreign soil must have offices registered in India so that such companies can be made accountable to local laws.
The draft downlink policy also looks at making it mandatory for private channels to share the feed of sports events of national importance, including cricket (or should one say particularly cricket?), with pubcaster Prasar Bharati.
Since the issue of sharing of feed with Prasar Bharati had split the Cabinet, the uplink matter had been referred to the GoM, which has now been constituted.
As if on cue, Doordarshan is trying to flex its muscles vis-a-vis Indian cricket team’s tour of Sri Lanka by asking rights holder Ten Sports to share the live feed on a revenue sharing basis.
The GoM comprises ministers of telecom, finance, I&B, home and law.
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.
