Telecom Disputes Settlement and Appellate Tribunal (TDSAT) on 14th August 2015 has passed an order recording the undertaking by Hathway Cable & Datacom (Hathway) to pay Rs.14.56 crore towards subscription fee dues to MSM Media Distribution Pvt. Ltd. (MSM Media Distribution) till the expiry of the agreement i.e. 31st October 2015.
On 14 August 2015, TDSAT had ruled that Hathway has to honour the commitment under the MOU for the entire term for DAS Phase I areas till its expiry i.e. upto 31st October, 2015. Accordingly, Hathway has to pay the subscription fees in accordance with the MOU. Hathway has been directed to pay the outstanding dues of Rs. 14.56 crore on or before 31 October 2015 to MSM Media Distribution.?
Talking to exchange4media, Makarand Palekar, EVP Sales and Marketing, MSM Media Distribution said "We, at MSM MD, are happy that TSDAT has taken a fair view of this case and has given an order in our favour stating that the contract is sacrosanct and must be followed through. We are very conscious of not making our end consumer suffer and had refrained from deactivating our services in-spite of a huge debt from Hathway."
Hathway and MSM have two separate deals for phase I&II cities. Hathway didn’t pay the money for last seven months to MSM. The company approached TDSAT and the Tribunal directed Hathway to pay the money.
Our typical marketing budget is usually 10 per cent of the topline spend