Television

Zeel issues clarification regarding resignation of 3 directors

No action on large outstanding from Dish TV and Siti Cable is one of them.

https://www.indiantelevision.com/sites/default/files/styles/smartcrop_800x800/public/images/tv-images/2019/11/28/zee.jpg?itok=aMSbAKKI

MUMBAI: Zee Entertainment Enterprises Ltd (ZEEL) announced on Monday that independent directors Neharika Vora and Sunil Sharma along with non-independent director Subodh Kumar resigned and three new independent directors - R Gopalan, Surendra Singh and Aparajita Jain have been appointed. On the request of the Bombay Stock exchange (BSE) Zeel disclosed the reasons for the resignation.

Irregularities in CSR spending, film advances worth Rs 2,200 crore, appropriation of Zee Entertainment's fixed deposits worth Rs 200 crore by a bank have been cited as reasons for the resignation of two of the directors along with others.

“The board of directors have noted that all of the issues raised by the resigning directors have been duly discussed, deliberated and acted upon from time to time in the previous committee/ board meetings in which the said directors were also present,” ZEEL said in a statement.

The company said Sunil Sharma (Independent Director) in his resignation letter dated 24 November has informed that subsequent to sale of shares by the promoter group, and reconstitution of the board, he tendered his resignation. But at the same time, Subodh Kumar and Neharika Vora flagged several issues.

Here are the reasons and Zeel’s comment on the issue.

Film advances given in 2018-19 to the tune of Rs 2200 crores have been cited as the first reason. Zeel commented that the information has already been disclosed annual Report and clarified in various investor interactions.

Lack of legal action by management when a scheduled bank had appropriated Rs 200 crore of the company's fixed deposits towards promoter loans has been cited as another reason. “Issues pertaining to the wrongful revocation of the bank guarantee stand resolved with the Company having being secured by the promoter companies and appropriate legal notices were sent to the bank at the relevant time,” Zeel commented on the issue.

Another reason was alleged laxity in spending CSR funds given to a related party foundation or trust. Zeel clarified that the CSR funds have been allocated in compliance with the law and necessary certification has been obtained.

The directors also raised the issue that the scheduled bank wrote to all directors in October 2019 that a subsidiary of Zeel had guaranteed the repayment of certain loan given to a related party.  “The company has a legal opinion to state that the Company is not liable and in any event there has been no enforcement of the 'guarantee' by the bank, other than to write letters, including to all the directors,” Zeel commented on the issue.

“A letter received from a PMS entity holding preference shares of the company raising questions regarding build up of related party balances and advances for content acquisition”- has been cited as one of the reasons. According to Zeel, audit of the issues pertaining to related party transactions and advances is underway by auditors.

The issue of non implementation of certain decision of the board meeting held on 17 October relating to treasury operations has also been flagged by the directors. Against this concern, Zeel said that the company is exploring options to withdraw these deposits in a phased manner without effecting the long term relationship with these banks.No action on large outstanding from DTH operator Dish TV and MSO Siti Cable for the content supplied by Zeel has been mentioned as one of the reasons for resignation. As per Zeel’s filing in the exchange, the same has been secured by a definitive plan and the situation is being strictly monitored as instructed by the board.

Latest Reads

https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2021/08/02/photogrid_plus_1627895437180.jpg?itok=1uMCzXHd
ZEE TV organises vaccination camp for viewers from 3 August

Mumbai: ZEE TV has always placed viewers on the highest pedestal over the past three decades and now to take one step further to ensure the safety of its viewers in the face of the COVID-19 pandemic, the network channel has organised a vaccination camp for citizens across multiple states to get...

Television TV Channels Movie Channels
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2021/08/02/photogrid_plus_1627894546026.jpg?itok=OER1ER-S
UP CM provides Rs 10 lakh aid to family of journalists who succumbed to Covid-19

Mumbai: Uttar Pradesh chief minister Yogi Adityanath has announced financial aid to the families of journalists who lost their lives due to the coronavirus pandemic. The families of scribes were provided a cheque of Rs 10 lakh each. Adityanath was accompanied by India TV editor-in-chief and...

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2021/08/02/news.jpg?itok=ysjizMwK
Why we need good news today!

The commonly-held belief is that if you turn on any news channel, you will be rattled by the high-decibel cacophony that has become common as garden amongst the invited on-air guests and anchors during prime time.

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2021/08/02/time.jpg?itok=rLlcko4N
Times Network forays into Hindi news with a bid to create ‘New India’

Making its foray into Hindi news, Times Network on Sunday launched its new channel, Times Now Navbharat HD. The new entrant is being spearheaded by Times Now’s group editor Navika Kumar who will lead the editorial mandate and handle the overall management of the channel.

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2021/07/31/photogrid_plus_1627727872873.jpg?itok=Kzhr4-eg
ABP Group ropes in 82.5 Communications for launch of ABP Desam

Mumbai: ABP Group has partnered with 82.5 Communications for the launch of its regional news platform ABP Desam in two Indian states - Telangana and Andhra Pradesh. The agency's Bengaluru office will handle the business. The launch campaign of ABP Desam is based on the central insight that...

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2021/07/31/nickelodeon.jpg?itok=rw3gE8nC
Nickelodeon to launch month-long campaign celebrating friendship day

Mumbai: Kids entertainment channel Nickelodeon has come up with an initiative #ToastYourDost to celebrate Friendship Day. Represented by Nick toons, the campaign will give its young viewers a chance to celebrate the entire month of August as an ode to friendship with banter between friends, and a...

Television TV Channels Kids
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2021/07/31/zee.jpg?itok=FWyLsL1X
Zee Media Corp revenue rises 28.8 % to Rs 170 crore in Q1

Zee Media Corporation's operational revenue was up 28.8 per cent to Rs 170.18 crore for the quarter ended in June 2021 as against Rs 132.14 crore in the corresponding period of the previous fiscal.

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2021/07/30/indvssri.jpg?itok=lin_qEWU
Team India gets a boost of confidence after easy ODI win

The Indian cricket team gets a boost of confidence after winning with seven wickets with 13 overs to spare in their first match against Sri Lanka on 18 July at the R Premadasa Stadium. Shikhar Dhawan’s esteem resonates with the rest of the squad, even declaring that they have a great chance at...

Television TV Channels Sports
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2021/07/30/zee.jpg?itok=UZx2JzD0
ZEE TV announces launch of 'Zee Comedy Show'

Mumbai: ZEE TV on Friday announced the launch of its brand new reality show called ‘Zee Comedy Show’. Premiering on 31 July, the show will be aired every Saturday & Sunday at 10 pm. The show will feature some of the country’s best comedians and artists such as Ali Asgar, Chitrashi Rawat, Punit...

Television TV Channels Movie Channels

Sign up for our Newsletter

subscribe for latest stories

* indicates required