I&B Ministry
MIB criticised for violating contractual norms for national film museum construction
NEW DELHI: The Ministry of Information and Broadcasting (MIB) failed to secure compliance with provisions of the contract before releasing advance payments to National Buildings Construction Corporation for the National Museum on Indian Cinemas (NMIC) leading to blocking of funds while the intended objective of commissioning the Museum for public remained unfulfilled.
Rejecting the reasons given by the Ministry, the Comptroller and Auditor General has said in its latest report that the Ministry prematurely released payments without observing linkages with various milestones of construction activity and their completion.
Out of a total sum of Rs 88.11 crore released to NBCC between March 2010 and March 2011, only Rs 36.72 crore had been utilised leading to blocking of substantial sum with the NBCC.
CAG said there was no provision of advance payment except payment on signing of contract between the Ministry and the NBCC.
The Films Division of the Ministry had in 2010 initiated a project on turnkey basis of constructing the NMIC in the Films Division Complex at Mumbai proposed to be commissioned for public during the centenary year of Indian Cinemas in 2013.
Under the contract, the estimated cost of work was Rs 101.20 crore with expected date of completion being June 2012.
Under clause 7 of the contract, the payment to NBCC was to be based on actual cost of all the works of the project and it included all the costs as paid to contractors/suppliers etc. Payments to NBCC were to be released on completion of various milestones as specified in the contract.
NBCC had to submit report for requirement of funds and while submitting the invoice it had to certify that it had completed the activity as per schedule. In terms of clause 10 of the contract, NBCC had to submit quarterly report indicating physical and financial progress of the work.
The CAG examination of records disclosed that the Ministry in contravention of the terms of contract, released funds to NBCC without linkages with the specific milestones as provided in the contract. It also did not ascertain the actual progress of work before releasing payments.
CAGt also observed that the required statutory approval from Municipal Corporation of Greater Mumbai was obtained by the Ministry only in August 2013. The Ministry had thus released more than 85 per cent of the estimated project cost (Rs 88 crore out of Rs 101 crore) even before obtaining the required statutory approval.
It was also noted that NBCC could incur expenditure of only Rs 36.72 crore out of released amount of Rs 88.11 crore as of December 2014, resulting in blocking of substantial sums for different durations during the period March 2010 to December 2014.
When this was pointed out, the Ministry said in February this year that since the project was to be completed before Centenary Celebration of Indian Cinema in 2013, the Ministry had relaxed/modified the milestones of construction of NMIC, before releasing the funds to NBCC through FD. It also said the NBCC opened a separate Bank Account for the NMIC project. The bank interest was being credited to that account.
The construction work of the Museum was in progress and according to the revised timeline for completion, the Museum was to be completed and handed over by December 2015.
But CAG noted that the reply of the Ministry did not address the issue of premature release of funds without synchronising the payments with the progress of work.
Furthermore, the fact remained that the Ministry failed to secure compliance with the provisions of the contract before releasing advance payments to NBCC leading to blocking of funds while the intended objective of commissioning the National Museum on Indian Cinemas for public remained unfulfilled.
I&B Ministry
AIDCF moves TDSAT over Waves plan to stream linear TV channels
Industry body flags regulatory gap as OTT push sparks broadcast turf war
NEW DELHI: The battle between traditional television distributors and digital platforms has found its way to the courts, with the All India Digital Cable Federation (AIDCF) moving the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) against Prasar Bharati’s latest OTT play.
At the heart of the dispute is Waves, Prasar Bharati’s OTT platform, which has invited applications to onboard linear satellite TV channels. Aidcf, which represents multi-system operators (msos), argues that this move sidesteps existing broadcasting rules and risks tilting the playing field in favour of digital platforms.
The federation’s petition hinges on a key provision in the Uplinking and Downlinking Guidelines, 2022. Clause 11(3)(f) allows broadcasters to downlink channels only if they provide signal decoders to recognised distribution platforms such as MSOS, DTH operators, hits operators and iptv platforms. OTT platforms, aidcf points out, do not feature on that list.
In simple terms, AIDCF’s argument is this: if OTT platforms are not officially recognised distributors, they should not be receiving broadcast signals in the first place. By inviting channels onto Waves, the federation claims, Prasar Bharati is opening a backdoor that lets broadcasters bypass long-standing rules.
The concern goes beyond legal interpretation. Aidcf says OTT platforms currently operate without a clear regulatory framework, allowing them to expand into traditional broadcasting territory without the compliance burden that cable and satellite operators must carry. That, it argues, creates an uneven contest.
There is also a warning for broadcasters. If they provide signal decoders to an OTT platform like Waves, they could risk breaching the very conditions under which their downlinking permissions were granted.
For its part, Prasar Bharati’s Waves initiative is positioned as a step towards wider access and digital reach, bringing linear television into the streaming era. But critics say the move blurs the line between regulated broadcasting and largely unregulated streaming.
The matter is expected to come up before tdsat next week. The outcome could do more than settle a single dispute. It may help define how India regulates the fast-merging worlds of television and OTT, where the lines are getting fuzzier by the day and the stakes, sharper than ever.
