To speedily recover its disputed Rs 192-crore dues, to cut through the legal red tape, Prasar Bharti has turned to retired judges. At present, four former Supreme Court chief justices and nine former judges of high courts across the country are heading arbitration courts in what Prasar Bharti CEO K S Sarma calls ‘‘very fruitful’’ proceedings.
Initially, Doordarshan officials headed arbitration courts. That hardly helped. ‘‘They did not find sufficient time to do justice to the case and secondly, they appeared to be interested parties,’’ said Sarma. ‘‘The system of ex-judges handling arbitrations is working much better.’’
The former chief justices involved in the cases: Justice Y V Chandrachud, Justice V N Khare, Justice B N Kirpal and Justice R S Pathak.
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While a majority of the ex-justices are handling one case each, some have multiple Prasar Bharti assignments stretching into at least 30 hearings each. Ex-CJI Khare, for instance, is handling four cases and former Delhi High Court judge, Justice C M Naiyyar, five cases.
Prasar Bharti officials say the justices are paid between Rs 25,000 and Rs 35,000 per hearing, depending on their seniority and the complexity of the commercial dispute.
In all, there are 35 disputes being settled via the arbitration route and the first success of the system was when the arbitration court headed by retired Mumbai High Court judge, Justice ML Phendse gave Prasar Bharti an award of Rs 12 crore against Nimbus Communications. The principal disputed amount was Rs 6.28 crore and the company has now filed an appeal before the division bench. Four other arbitration matters are in an advanced stage of hearings.
‘‘A majority of the 35 disputes involve the misuse of credit facility given by Doordarshan to private producers,’’ said Prasar Bharti’s Officer on Special Duty (OSA) Dhiranjan Malvey. ‘‘We find arbitration the cheapest method since we avoid court fees and the cost of arbitration is shared by both parties. If we get an award in our favour, in all probability, it will also cover the cost of arbitration as it has in the Nimbus case.’’
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The presence of former judges helps in another way. Says Rajeev Sharma, Prasar Bharti’s lawyer: ‘‘With ex-justices heading the arbitrations, the scope of orders being challenged are limited. Judges, rather than other Government officials, are best equipped to hold such courts. At least no one will impute motives and biases when retired judges are involved.’’