TDSAT directs Antrix to provide transponder service continuity to Independent TV

The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has directed Antrix Corporation to provide continuity of transponder service to direct to home (DTH) operator Independent TV (formerly Reliance Big TV) for a period of three months at a time.

However, the service is subject to DTH providing the required advance payment and bank guarantee both of which it claims to have done.

The tribunal said that the record of discussions dated 25 June is acceptable to both the parties. In an interim order, the tribunal said that the arrangement will continue and the parties will respect the spirit of the record of discussions until further orders.

As per the record of discussions, the corporation had agreed to continue the transponder on a short terms basis of three months, in line with the spirit of earlier directions of this Tribunal dated 30 May, subject to advance payment of monthly Space Segment Charges (SSC) and providing a bank guarantee of the requisite amount.

Another key condition was that the DTH operator will pursue with the ministry of information and broadcasting (MIB) and department of telecom (DoT) for licence/no objection certificate (NOC).

On this issue, the tribunal made it clear that Antrix would have the right to terminate the agreement/arrangement by end of seven days as soon as they get the information that the request of the DTH operator for licence/NOC which is pending, has been rejected by MIB and DOT.

The tribunal noted that it would not be in the interest of the parties and especially the DTH operator to keep on investing huge amounts without assurance of an agreement at least for three months at a time.

“Hence, by way of interim arrangement, the respondent are directed to adhere to the Record of discussions and provide continuity of service on short-term basis of three months agreement at a time on petitioner providing the required advance payment which they claim to have done for the present and on providing requisite bank guarantee, which has also been claimed to have been done,” the TDSAT said in the order.

Independent TV has submitted before the tribunal that it has provided a bank guarantee for a lump sum of Rs. 10 crore. It had also stated it is not exactly for SSC of three months but according to the DTH operator, this has been agreed between the parties. The tribunal said that Antrix will be at liberty to inform if this stand is erroneous and requires interference.

The tribunal stated that the difficulty in the way of the DTH operator appears to have arisen on account of an e-mail dated 12 July through which the short term agreement’s period has been reduced from three months to only one month with an option for early termination without any notice just after seven days.

The matter has been posted under the same head on 15 October. The DTH operator will have to furnish a status report by the next date.

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