Economy

Top TV companies accuse regulator of defying court

judge

Deputy Chief Justice Kalpana Rawal follows proceedings at the Supreme Court on January 28, 2015. PHOTO | EVANS HABIL

NTV, Citizen TV and KTN viewers Wednesday got a reprieve after the Supreme Court extended orders stopping the switch off of analogue signals until their petition against the communications regulator is determined.

The three top media owners have accused the Communications Authority of Kenya (CA) of failing to comply with Supreme Court orders of last September 29 which directed that they should be issued with a digital television broadcast licence.

The Nation Media Group, the Standard Media Group and Royal Media Services on Wednesday told a seven-judge bench that a licence earlier issued to them allowing them to carry their own content had been withdrawn by the regulator.

The document was an interim measure as they awaited issuance of a broadcast signal distribution licence that would allow them to carry content for any producer they entered into a commercial contract with.

Lawyer Issa Mansur, for the three media houses, told the bench that the purported withdrawal of the temporary authorisation and repossession of the allocated frequencies is unreasonable, unlawful and with no basis.

He said the three media houses had before the withdrawal placed orders for the manufacture of transmitters for the 21 broadcasting sites where frequencies had been allocated.

Transmitters are frequency-specific and could only be ordered once the frequencies had been allocated.

“As a result of the withdrawal, the media houses’ plans to roll out their digital broadcasting infrastructure have been frustrated yet again by the CA,” lawyer Issa said.

He explained that the transmitters will be of no use once they arrive in the country should CA’s decision remain in force. The three media houses have spent Sh565,560,432 to order for the first batch of 135,000 set-top boxes.

READ: Top media firms to stir market with free to air digital boxes

The CA director-general Francis Wangusi said in a statement that withdrawal of the licence was an administrative action taken against the three media houses for broadcasting an advert he termed as misleading to the public and “in gross violation of the legal and regulatory framework governing the sector”.

However, the media houses have in their court papers said that CA has abdicated its constitutional and statutory duty as a regulator and opted to be partisan by trying to compel them to have their television content carried by their competitors.

The three have opposed attempts by CA which requires that they should surrender their television content to be carried by pay TV broadcasters.

Mr Samuel Macharia, chairman Royal Media Services, said in his court papers that it was obvious GOtV and Star Times cannot survive without bundling and selling content of the three media houses.

He said that the three media houses were compelled to air the contested adverts out of desperation as GOtV and Star Times were carrying their content without consent.