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The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) delivered a comprehensive order in the dispute between Culver Max Entertainment Pvt Ltd and Tata Play Ltd, emphasizing strict data privacy standards and enforcing stringent confidentiality clauses related to a fresh audit of Tata Play’s operations.
The hearing, presided over by Justice Dhirubhai Naranbhai Patel, Chairperson of TDSAT, saw both parties present their arguments before the tribunal appointed MGB & Co, a TRAI-certified agency, as the auditor for the process.
The order (a copy accessed by Storyboard18), delivered by Justice Dhirubhai Naranbhai Patel, Chairperson of TDSAT, lays down meticulous guidelines to ensure strict adherence to confidentiality and regulatory compliance during the audit process.
The case revolves around a dispute where Culver Max challenged the sufficiency of the earlier audit conducted under Regulation 15(1) of the Telecommunication (Broadcasting and Cable) Services Interconnection (Addressable Systems) Regulations, 2017. The broadcaster contended that the report dated December 27, 2024, provided by Tata Play under the said regulation was unsatisfactory. Therefore, invoking Regulation 15(2), Culver Max moved to conduct a further independent audit to obtain a more comprehensive view of Tata Play’s Digital Addressable Systems operations.
Initially, Culver Max had chosen M/s KPMG Assurance and Consulting Services LLP as the auditor. However, after objections raised by Tata Play, Culver Max switched to another TRAI-empanelled firm, M/s MGB & Co. LLP, to conduct the audit.
A major aspect of the Tribunal’s order pertains to the Confidentiality Clause outlined in the Invitation of Expression of Interest for Empanelment of Auditors, published by TRAI on November 9, 2023. The Clause mandates that all information provided by the service provider must be treated as confidential, and no data should be shared without prior written consent from the service provider.
The order detailed the Confidentiality Undertaking’s terms, particularly emphasizing Clauses 4 and 5, which were amended at the behest of the broadcaster’s chosen auditor. The updated Clauses specify that the audit report, including annexures, shall be provided exclusively to Sony and that no commercially sensitive or confidential information of Tata Play shall be disclosed beyond what is strictly necessary and legally permitted. Additionally, all confidential information shall remain Tata Play’s property, and upon audit completion, the auditor must return or irreversibly destroy all data within seven days.
Addressing concerns raised by Tata Play’s senior counsel, Meet Malhotra, the Tribunal underlined that the data obtained from Tata Play’s Subscriber Management System (SMS), Conditional Access System (CAS), and other related systems must be preserved until the final hearing. Neither the auditor, petitioner, nor respondent is permitted to destroy or disseminate any such data until the final report is prepared and presented.
Furthermore, the order stipulates that the data shall be retained by Tata Play until the matter is fully adjudicated, and any copies gathered by the auditor must be destroyed after the report is finalized. The original data must remain with the respondent and be presented to the Tribunal whenever required.
Justice Patel directed that the confidentiality undertaking must be signed in the presence of an authorized officer of the broadcaster. Additionally, Tata Play is mandated to inform Culver Max of the exact date and time of the audit within ten days via email.
The Tribunal also granted Tata Play time to file a reply by the next hearing date and adjourned the matter for further proceedings on December 17, 2025.