Red FM allowed to participate in mock auction

The firm challenged govt.’s decision to keep it out of stage III FM auction

July 23, 2015 02:37 am | Updated April 20, 2016 03:38 am IST - NEW DELHI:

In an interim relief to Digital Radio Broadcasting Limited, the Delhi High Court on Wednesday granted permission to Red FM, run by it, to take part in the mock auction of FM radio waves scheduled for Wednesday and Thursday. The company had challenged the Centre's decision to keep it out of the stage III FM auction.

Kalanithi Maran-promoted Sun TV has a stake in Digital Radio Broadcasting Limited. A Division Bench of the High Court issued notices to the Ministry of Information and Broadcasting on the writ petition and sought its reply by Friday, when it will hear the matter.

‘Open to misuse, vague’

The Bench, comprising Justice B.D. Ahmed and Justice Sanjeev Sachdeva, on Tuesday observed that the Centre’s security clearance process for stage III FM radio channel auction was vague and open to misuse. It suggested that the auction be deferred till the matter was heard.

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