India's Prime Minister Calls Committee to review Devas Multimedia Agreement Dispute

 

 

February 11, 2011

 

Devas Multimedia welcomes the decision of the Hon Prime Minister in constituting the High Powered Review Committee to review the Agreement between Devas and Antrix/ISRO/Department of Space (DoS), Government of India. We also note that the Comptroller and Auditor General of India (CAG) is in parallel reviewing the Agreement, and is in the early stages of its inquiry as stated in its earlier statement. The Company will cooperate in the fullest with these reviews, which it hopes will be completed before any precipitate decision is taken on the Agreement.

 

In July 2010 following media speculations about a potential cancellation of the Agreement, Devas Multimedia had proactively volunteered to meet the Space Commission and DoS/ISRO/Antrix to address and clarify any questions in respect of the Agreement. We also met and briefed the Chairman ISRO and his senior team in October 2010 on the progress of the Devas project / technologies and requested an expeditious launch of GSAT 6 satellite, given the over 20 months of delay. At no time in these meetings or communications were any concerns in respect of the programme or Agremeent raised. The Company has continually wished to ensure the facts of the Agreement and the project were fully understood and that the unwarranted misrepresentations and misperceptions were avoided.

 

"We are fully committed to working with anybody in the Government on the reviews and will be willing to share any requested information with concerned agencies," said Ramachandran Viswanathan, President and CEO of Devas Multimedia.

 

As of date, Devas Multimedia has not received any official communication on the cancellation of the Agreement nor have we been provided any reasons for such possible action. We continue to await Department of Space / ISRO / Antrix to deliver the contracted space segment capacity, not withstanding any statements they have made.