GECs
MTV networks COO Michael Wolf quits
MUMBAI: There seems to be no end to the executive departures at Sumner Redstone’s Viacom Inc. A day after Gail Berman resigned as president of Viacom’s Paramount Pictures, putting in less than two years in the organization, MTV Networks president and chief operating officer Michael Wolf is also leaving Viacom’s MTVN.
Wolf left McKinsey to join the media group’s transition to the digital age but is leaving barely a year later.
According to the company’s website, Wolf and MTVN president of affiliate sales and marketing Nicole Browning will be leaving the company.
Wolf led the company’s business and technology operations, including advertising sales, affiliate sales and marketing, business and strategy development, business and legal affairs, finance, information systems and technology and production operations.
Browning oversaw the distribution activities of MTV Networks including MTV: Music Television, MTV 2, mtvU, MTV Tr3s, MTV World, VH1, Nickelodeon, Nick at Nite, Spike TV, Comedy Central, Logo, TV Land, Noggin/The N, CMT, VH1 Classic, The Digital Suite from MTV Networks, and BET Networks including BET, BET Gospel, and BET J.
Earlier last week Wolf had revealed to the media that there was a “gap in perception” in the market about Viacom’s internet activities. He also added, ‘We’ve been able to accomplish a huge amount in the 15 months I’ve been here’. During his tenure, Viacom acquired a slew of internet gaming and film startups, including Xfire and Atom Entertainment.
Wolf’s departure had been a subject of speculation since Redstone, Viacom’s chairman and controlling shareholder, ousted Tom Freston in September 2006 from his post as chief executive and replaced him with board member Philippe Dauman.
It was widely believed that Freston, one of the MTV founders, was blamed for the company’s failure to acquire MySpace, the popular social networking site, and the perception that the cable group was being eclipsed by a new generation of youth-oriented media companies.
In early 2006 Viacom’s research maven Betsy Frank exited the company after nearly a decade. Company sources pointed out that they would be working with Frank on a consultancy basis over a number of projects. MTVN president ad sales Larry Divney also stepped down on 1 April but would continue to be exclusive consultant to the network on their various projects.
This is the latest in a long line of top ranking executive exits at Viacom’s MTV Networks which in hindsight could now be said to have begun with the resignation of MTV COO Mark Rosenthal in 2004 following Judy McGrath’s promotion to chairman and CEO of MTV Networks.
The company’s January 2006 split from CBS has led to a huge upheaval in its top management ranks. Wolf’s departure is the latest in this series. MTVN will begin searches for a new COO and a new head of Affiliate Sales and Marketing immediately it has said.
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.
