The Madras High Court on Tuesday dismissed an appeal filed by the Union government against the interim order of a single judge allowing Sun group to participate in Phase-III e-auction process of FM radio.
Upholding the single judge’s decision, a Division Bench, in its order, said in case interim direction is not given and the I&B Ministry is permitted to proceed with the auction and if the applicants succeeded ultimately in the pleas filed by them challenging the order not permitting their applications to take part in the auction, it would not be possible to give them relief at that point of time.
“There is a likelihood of creation of third party interest in case auction is conducted during the pendency of writ petitions without permitting the above companies (SunTV Network Limited, Kal Radio Limited, South Asia FM Limited, a group of Companies run by Maran Brothers) to take part,” the Bench said.
On the other hand, no prejudice would be caused to the I&B Ministry by permitting them to participate in e-auction and keep the bid in a sealed cover and open it depending upon the orders to be passed in writ petition, the bench, comprising Justice Satish K Agnihotri and Justice KK Sasidharan, said.
The Ministry had refused permission to the Group to participate in the FM auctions on the basis of non-security clearance by the Home Ministry, which had cited ‘grave’ economic offences faced by one of its promoters and ex-Telecom Minister Dayanidhi Maran for its decision.