ZEEL initiates legal proceedings against Raitel over termination of contract

Zee Entertainment Enterprises Ltd (ZEEL) on Friday said RailTel Corporation of India has terminated the agreement with its subsidiary for providing media content in trains, and it has initiated legal proceedings against it.

Margo Networks, a subsidiary of ZEEL, had entered into a content-on-demand (COD) contract with RailTel Corporation of India for providing media content in all express and suburban trains and all Wi-Fi-enabled railway stations.

The contract, which was on a build-own-operate basis for 10 years, was terminated by RailTel Corporation of India on Thursday (November 11), ZEEL said in a regulatory filing.

“The company has initiated appropriate legal proceedings against the Notice of Termination,” said ZEEL.