Zee promoter calls for scrutiny of TV media licences

Raising concern over the funding to media houses, Zee Group Chairman Subhash Chandra has sought scrutiny of media licences before it is issued.

“Lack of transparency in the ownership of news media, especially television media, is a worrying factor. Media licences should be scrutinised the way RBI does in the case of financial services. RBI applies ‘fit and proper’ criteria before issuing any permission for entities entering the financial services,” said Subhash Chandra, Chairman, Essel Group.

He added that the way the RBI “goes to the ultimate source of funding, as well as the cleanliness of people involved,” a similar structure needed to be put in place for news channels.

The Zee group, which has interests in various sectors including media, real estate and packaging, has said there was an urgent need for a defined framework of rules under the media regulator, in order to screen out illegal players.

Stating that it takes just about ₹5 crore as “bare minimum capital” to start a television channel, Chandra said a correction in legislation was also called for at this time.

“We are the only country that has got 368 news television stations, running in eight languages. Where is the funding coming from? We need to check that. This is eroding our credibility as a media house, since ownerships are opaque,” Chandra said, adding that government scrutiny would ensure that, “at least we will not have history sheeters owning TV stations.”

Essel Group, which owns and operates Zee TV, is firming up plans to start a global English news channel with an Indian approach.

“We have been harbouring the thought of starting a global news channel. Things have not been finalized yet. It will entail an investment of couple of million. It will be a large investment from Zee,” Chandra said, when asked about his expansion plans.

He said the global news channel would be targeted at global audiences as also the Indian diaspora.

The company is intent on creating content focused on Indian lifestyle solutions.

Chandra added that currently Zee is focusing on its newly launched lifestyle and wellness channel Veria Living, a channel based out of New York.

He also said Zee is scaling up its digital offering including Ditto TV and has a Zee Family App for mobiles. He said the company is in talks with telecom companies for scaling its digital presence.

Essel Group owns and runs leisure park (EsselWorld), gaming company (Playwin), the first direct-to-home operation (Dish TV), DNA newspaper and flexi-packaging unit in India (Essel Propack).