Direct-to-home (DTH) company Dish TV said that it has received a demand notice from the government for a payment of Rs 4,164.05 crore. This includes license fees and interest. The company said in the information given to the stock exchanges that the Ministry of Information and Broadcasting through the letter of 24 December issued the DTH license to Essel Group firm for payment of license fee amount from the financial year 2018-19.
The Ministry of Information and Broadcasting has stated that the company owes Rs 4,164.05 crore from the company's accounts and the issuance of DTH licenses till FY 2018-19. The company has been directed to deliver within a period of 15 days. This amount includes license fee and interest thereon. The company said it is reviewing the ministry's order to determine the next step.
The DTH license fee case has already been through several rounds of litigation. The company said that any future updates in this matter will be communicated to the stock exchange. Dish TV was granted a DTH license in October 2003. The Ministry has also stated in its letter that this amount is subject to further verification and audit, besides the result of various court cases pending before TDSAT, Jammu Kashmir High Court and Supreme Court.
According to Dish TV, the ministry had issued a demand notice in 2014 for the license fee related to the date of issuance of DTH licenses till 2012-13. The demand notice was challenged by the company before the Telecom Disputes Settlement Appellate Tribunal (TDSAT). Then it is banned by TDSAT which is still in force till date.
A petition of the company is also pending in the Jammu and Kashmir High Court, where the challenge of charging interest on quantum or applicability, among other things, has been challenged. It said that the orders of the Jammu and Kashmir High Court and the Kerala High Court, the order of the TDSAT and the writ are pending before the Supreme Court. For this reason, the company disagrees with the December 24 demand raised by the Ministry of Information and Broadcasting.
