It's not cricket, cry hoteliers

19 February,2011 06:28 AM IST |   |  Urvashi Seth

Say the World Cup telecaster's demand of licence fee is unjust; file a petition


Say the World Cup telecaster's demand of licence fee is unjust; file a petitionu00a0

As the ICC Cricket World Cup 2011 kicks off today, several hoteliers, concerned that they would have to cough up huge fees for giving their guests the luxury to watch the sporting event, have approached the court to resolve the dilemma once and for all.


According to TRAI, restaurants or non-heritage hotels havinga below three-star rating and with less than 50 rooms are not liable to pay to broadcasters directly

Seven hoteliers from Mumbai and Pune filed a petition (copy with MiD DAY) before the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) two days ago, alleging that the event's telecaster, ESPN, is
trying to extract money from them for airing the matches.

Hoteliers' woes

They claimed that the channel is threatening them with legal notices, even when they are not liable to pay. They claim they are already paying the cable operator and asking for extra fees would be unfair to them.

A pub owner from Colaba who did not wish to be named, said, "Telecom Regulatory Authority Of India (TRAI) had clearly mentioned that restaurants or non-heritage hotels having a below three-star rating and with
less than 50 rooms are not liable to pay to broadcasters directly."

MiD DAY had earlier reported ('World Cup not screening at a pub near you', February 10) about how
several eateries were thinking not to broadcast cricket's biggest event owing to the heavy licence fee they will be forced to shell out for televising the matches.

The restaurateurs brought the issue up once before during the Indian Premier League, but decided on legal action this time.u00a0

'It's unfair'

Said Meldan D'cunha, owner of Soul Fry restaurant, Bandra, who received a legal notice from Novex, the agency ESPN hired to collect the money on its behalf.

He said, "We had a bad experience during the IPL matches as well. We were asked to pay the license fee, even though we are a restaurant, and do not provide any lodging.
u00a0
That is why this year we have decided to get it cleared in a legal manner. We have filed a petition in the court along with other owners. We are now awaiting justice."

Asked if they are screening the matches, D'cunha said, "We are going to screen the matches. We will not pay
anyone unless the court asks us. These people know they can extort money from anyone in the name of World Cup."

Pradeep Shetty, chairman (Legal) HRA-WI, confirmed that the association has filed a petition in the court. "We would not like to comment on the issue as the matter is sub judiced," he said.

Suresh Talera, owner of Oakwood hotel in Pune, and member of the association, said that he received a show- cause notice from service providers even though his hotel has no star rating and has only 45 rooms.

The providers have asked him to pay the license fee. "I have filed a petition but I would not like to say
anything," said Talera.

The Other Side
The spokesperson of ESPN refrained from commenting on the issue. However, Ketan Kanakia, MD, Novex Communication, ESPN's agency, said, "Any restaurant which does not have 50 seats is not applicable to pay the fees. Similarly hotels below the three-star category that do not have more than 50 rooms will also not pay. Those without any rating but 50 rooms will have to pay the fees for broadcasting our channels." About the petition, he said, "We have not received a copy of the petition. As a matter of fact many restaurants have paid the fees. Only a few adamant ones are not ready to pay."

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