Guidelines for TV rating agencies: HC asks Kantar to file

Kantart Market Reserach Services Pvt Ltd, a shareholder of television rating agency TAM Media, was today directed by the Delhi High Court to file in a week an affidavit detailing its shareholding in any advertising/ broadcasting companies either directly or indirectly.
A bench of justice Manmohan directed Kantar and its director Thomas Puliyel, who have challenged the guidelines for television rating agencies, to also mention "the Indian companies in which the petitoner (Kantar) holds shareholding."
The new guidelines issued by the I&B Ministry bar any single entity from having paid-up equity in excess of ten per cent simultaneously in both a ratings agency and a broadcaster, advertiser or advertising agency to ensure fair ratings.

"The affidavit would also categorically state that none of the aforesaid companies in which Kantar have shareholding in excess of ten per cent has done any business for any entity which was involved in any rating exercise done by TAM Media Research.
"If that is not so, then detail of such instances would be given," the bench ordered.
Kantar has said the new guidelines would result in closure or suspension of operation of TAM Media Research in India and that Kantar would be forced to sell its share in TAM Media.

Kantar had challenged the guidelines prescribed in the "Policy Guidelines for Television Rating Agencies in India" on January 16 and the TRAI recommendations which bar any single entity from having paid-up equity in excess of ten per cent simultaneously in a ratings agency and a broadcaster, advertiser or advertising agency.

According to the guidelines, existing television rating agencies are required to ensure that no single company, either directly or indirectly, shall have substantial equity holding in rating agencies and broadcaster/ advertising agencies.
The guidelines also impose requirement for television rating agencies to apply for registration with the Centre within 30 days failing which it would not be allowed to generate and publish rating.
The recommendations also suggest a penalty of Rs 1 crore and cancellation of registration for breach of guidelines.