Sun TV Network’s shares lost more than a quarter of their value in intra-day trading on fears that the Kalanithi Maran-owned company’s 33 television channels would be taken off air after failing to get a crucial Home Ministry security clearance.

The shares recovered a tad to close 22 per cent down at ₹278.90 on Monday. Maran, who owns 29.556 crore shares in the network, lost ₹2,289.11 crore of his wealth.

SL Narayanan, Chief Financial Officer, Sun TV Network group, said the company has not received any communication from the authorities. “The news reports only conjectured that the Home Ministry has denied security clearance and communicated it to the Information and Broadcasting Ministry,” he said.

Last year, the group’s cable distribution arm Sumangali Cable Vision was denied security clearance by the Home Ministry; this was set aside by the Madras High Court. In April, the Home Ministry refused to approve some of the group’s FM radio stations.

The company again got interim relief from court. Some probes are on against the group and its owners — CBI's Aircel-Maxis case, an Enforcement Directorate money laundering case, and a CBI case of illegal telephone connections to Sun TV’s office. Though it is not clear if the denial of security clearance is because of these cases, Narayanan wondered how anyone could be condemned without a fair hearing.

Industry sources doubted if the firm’s licences could be cancelled as they were due for renewal only between 2021 and 2023. But some legal experts say the Home Ministry can recommend cancellation of licences midway.

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