Centre challenges relief for Marans in HC over MSO licence

In a setback for former Union Minister Dayanidhi Maran and his brother Kalanidhi Maran, the union government today filed an appeal in the Madras High Court challenging relief to Multi System Operator, Kal Cables by a single judge of the court.
The Union Ministries of Information and Broadcasting and Home challenged Justice V Ramasubramanian's last year order which had set aside the Centre's directive cancelling Multi System Operator licence for Kal Cables owned by the Maran families.
A division bench, comprising Justice Sathish K Agnihotri and Justice M Venugopal before which the appeal came up today, adjourned the matter to July 1 after issuing notice to Kal Cables Private Limited.

In the appeal, the Centre said that the licence to Kal Cables was given on a condition that it should get security clearance from the Union Home Ministry.
As the security clearance was rejected by the Home Ministry, the Ministry of Information and Broadcasting had no other option except to cancel the license for Multi System Operator, it said.
Invoking principles of natural justice does not arise as Kal Cables has not complied with an essential condition of security clearance from Home Ministry, the Centre contended.

Rejecting the view of the single Judge that in the absence of action against Sun Group no action can be initiated against Kal Cables, it said "the contention is not correct in law."

"When the Home Department decides not to grant the security clearance, as a natural corollary, the license for Kal Cables for MSO has to be cancelled," the Centre argued.
The single Judge, after having rejected the stand of Kal Cables that Maran Brothers "have nothing to do with it," ought to have rejected the writ petition as well, the Centre said in one of its grounds for appeal in the court adding "as they have come forward with a false case."
Last year, Kal Cables had petitioned the Madras High Court against a directive of the Union Ministry of Information and Broadcasting, asking it to wind up its operations in 15 days in Chennai and Coimbatore.

Allowing the plea, Justice V Ramasubramanian cancelled the Centre's directive which rescinded Kal Cable's MSO licence.