HC scraps I&B order quashing MSO licence to Kal Cables

Chennai, Sept 5: In a reprieve to Maran-family run Kal Cables, the Madras High Court on Friday set aside the Information and Broadcasting ministry's order cancelling the licence of the company to operate as a multi-system operator (MSO) in the Chennai area. With the favourable order, Kal Cables, the distributor under the brand Sumangali Cable Vision, can now continue to distribute TV channels to its subscribers.

Delivering the order on Friday, Justice V Ramasubramanian said Kal Cables is only a last-mile operator and not the broadcaster, and if at all the licence has to be cancelled for security reasons, the ministry should have cancelled the licence of the broadcaster and not the distributor. He, however, allowed the ministry to issue a fresh notice, if it so desired, after giving an opportunity to Kal Cables to present its case. He said that principles of natural justice should have been followed, and Kal Cables should have been given

Kal Cables operates in and around Chennai with a subscriber base of around 10 lakh

a showcause notice and an opportunity to present its case.

Kal Cables operates in and around Chennai with a subscriber base of around 10 lakh. The company is owned by Mallika Maran, wife of former Union minister Murasoli Maran, who owns 75% stake in the company, and DK Enterprises which owns there maining stake in the company.

The I&B ministry in its August 20 order had cancelled the licence of the company to function as an MSO in Chen-nai metropolitan region citing that the home ministry had now denied the security clearance which is mandatory for an MSO licence. Aggrieved, Kal Cables moved the HC.