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IBF advises members to take advance payment from BSNL for its ads

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IBF advises members to take advance payment from BSNL for its ads

The Indian Broadcasting Foundation (IBF) has advised its members to take advance payment from Bharat Sanchar Nigam Ltd (BSNL) for all the advertisements of the telecom major running on their channels. The move has been taken following inconsistencies in payments by BSNL, which very often stretches to even six months of overdue.

Confirming the development, Naresh Chahal, Director for Finance, IBF, said, “BSNL has had a record of being inconsistent in payments, which could be because of its changing agencies. We have not put an embargo, but have just advised the members to take payments in advance from BSNL for advertising on their channels. The norm is to pay the dues within 60 days from the appearance of the ads and the agency is responsible for the payments and ensures that they get money from the client. In fact, we also step in to ensure that the clients pay on time to the agency. In the case of BSNL, the delay has been happening very often and stretching to even a period of six months. This is not acceptable.”

When asked if any other advertiser was on IBF’s radar for non-payment, Chahal refused to divulge details. BSNL had empanelled Euro RSCG, Mudra, PerceptH and Prachar Advertising to handle its Rs 150 crore creative business in January 2009. For media duties, BSNL had empanelled Allied Media, Motivator, MPG and Prachar Communications.

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