Calcutta HC extends stay order on Digicable Comm’s licence cancellation

30 Aug, 2014 - 04:22 PM IST |

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KOLKATA: Granting relief to Digicable Comm Services once again, the Calcutta High Court has further extended the interim stay on the cancellation of the registration of the Kolkata-based multi system operator (MSO), till 31 October.

As reported earlier, the MSO had got a stay order on the cancellation of the registration of its licence till 29 August.

The case was again up for hearing on 29 August. “The matter was heard by the bench comprising Justice Nadira Patheria and the stay has been further extended till 31 October 2014,” said Digicable Comm Services VP – operations and technology Lokesh Agarwal.

Last month, the Ministry of Information and Broadcasting (MIB) had cancelled the registration of Digicable Comm.

Digicable counsel had earlier argued in the court that the MIB only stated the reason for cancellation of registration as not receiving security clearance from the Home Ministry. However, it did not give the reason for denial of security clearance. The Ministry counsel, in his response said that the reason for non- clearance cannot be disclosed to Digicable for security reasons.

The court observed that when the MSO received its DAS licence in 2013, it was subject to security clearance from Home Ministry and the same has been denied in the order passed last month. Subsequently, Digicable Comm was asked to stop operations within 15 days.

Digicable Comm however appealed to both the Home Ministry and High Court in order to put a stay on the cancellation.

The company is a joint venture between Digicable (51 per cent) and Kolkata-headquartered Multicar Group (49 per cent) and was formed in 2009 to gain foothold in the West Bengal market.