Pointing out that the ministry of information and broadcasting
had amended guidelines and foreign investment norms for news and
current affairs news channels in 2003, the release said that Clause
B prescribes that foreign direct investment (FDI) shall not exceed
26 per cent of the paid-up equity capital of the applicant company.
Clause D states that while calculating the 26 per cent FDI in the
equity of the applicant company, the foreign holding component,
if any in the equity of the Indian shareholder companies of the
applicant company, will be duly reckoned on a pro-rata basis, so
as to arrive at the total foreign holding in the applicant company.
Clause F states that it is obligatory on the part of the company
to take prior permission from the MIB before effecting any alteration
in the foreign shareholding patterns and the shareholding of the
largest Indian shareholders," the release stated.
Though NDTV gave no particular reason for issuing this notice,
companys director Narayan Rao assured indiantelevision.com
today evening that NDTV would do nothing to flout or breach any
This notice had been put up earlier also, including NDTV
site, as part of a stipulation for our IPO, Rao said. He also
did not cite any particular reason for the BSE notice, including
the fact whether FII investments through daily buying and selling
could have taken the FDI limit beyond 26 per cent.
According to the release, "The company states that persons
resident outside India including FIIs, NRIs and companies in which
there is majority ownership and control by persons resident outside
India cannot buy or sell or trade or deal in the shares of the company."
The company, the release said, reserves its right to rectify the
register of members as and when any breach comes to the notice.
"The company will take due action in this regard only on the
basis of data made available to them by the Registrars from the
share transfer related documentation and no other mode," the