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(HERALD) Battle for radio licence spills into court

Battle for radio licence spills into court
Thursday, 15 December 2011 00:00
Herald Reporter

THE battle to control the country's airwaves and dispossess Zimbabwe Newspapers and AB Communications of their newly- acquired radio licences has spilled into the courts.

One of the unsuccessful applicants, KISS-FM has filed a notice of appeal in the Administrative Court challenging the Broadcasting Authority of Zimbabwe's decision to award licences to Zimpapers and AB Communications.

KISS-FM's legal action, taken through their lawyers Scanlen & Holderness, follows similar efforts by MDC-T and NewsDay through Parliament, political platforms and foreign-funded lobby groups.

BAZ awarded Zimpapers and AB Communications radio licences recently after a rigorous process that included a public inquiry and compilation of voluminous bid documents.
KISS-FM director and spokesperson Ms Sharon Mugabe said in a statement that the decision will be challenged on the grounds that BAZ made crucial oversights in its adjudication process.

She said: "KISS-FM is convinced that, amongst other factors, the Authority failed to take into account a number of material considerations which led to their decision to deny KISS-FM a radio licence."

The court application follows similar efforts to have the licences rescinded through an MDC parliamentary motion, a threat by MDC-T leader and Prime Minister Morgan Tsvangirai to take the issue to the principals of parties in the Global Political Agreement as well as an appeal to Sadc mediator in Zimbabwe, President Jacob Zuma of South Africa.

While MDC-T was pursuing the matter in Parliament and through other political forums where the party has used the issue to denigrate President Mugabe, KISS-FM has taken the court route in this multi-pronged attack.

The campaign against Zimpapers and AB Communications was based on the assumption that awarding licences to the two companies would further the interests of Zanu-PF and President Mugabe even though Zimpapers is a publicly-listed company whose shareholders include insurance companies, pension funds and ordinary Zimbabweans.

Media analysts questioned the sincerity of the KISS-FM consortium whose director and spokesperson Ms Mugabe was part of President Mugabe's electronic and print media campaign in the 2008 presidential election.

Her company, Imago Young & Rubicam (IY&R), was awarded the lion's share of the Zanu-PF campaign fund, which she used to flight both print and electronic adverts for the party before the advertising agency was subsequently blacklisted for handling the Zanu-PF campaign.

Ms Mugabe bought Michael Hogg Young & Rubicam (MHY&R) in 2005 and the company consisted of an advertising unit, Imago Y&R, Network Public Relations, Wunderman Action Marketing, Ducks in a Row and Brand Value.

It provided the most comprehensive corporate communications in Zimbabwe.
Key clients then deserted the agency, precipitating a sharp fall in revenue.

Ms Mugabe, who is based in South Africa where she worked as a BancABC executive and handled its advertising account, is said to be related to the bank's chairman and shareholder Mr Douglas Munatsi who is KISS-FM chairman.

BancABC facilitated the acquisition of the South African Mail and Guardian newspaper by the owner of NewsDay, Zimbabwe Independent and Standard, Trevor Ncube.

During the public inquiry on KISS-FM's application, BAZ board members queried Mr Munatsi and BancABC's involvement in NewsDay's application for a newspaper licence as the daily's financers when it had emerged later that the newspaper's entire funding was coming from an American outfit and not BancABC.

Reliable sources said Ncube was a key player in the KISS-FM application and his shares were being warehoused by a proxy.

Details of this were likely to come out in court or the debate now raging in Parliament.

In her statement, Ms Mugabe said: "KISS-FM sees the licensing matter as one of public and national interest, and is encouraged by the ongoing conversation in the public domain.

"KISS-FM has the potential to elevate radio and broadcasting in Zimbabwe to the world-class standards which the people of Zimbabwe deserve."

Confirming KISS-FM's position, Mr Sternford Moyo, the chairman and senior partner of Scanlen & Holderness said: "The decision will be challenged on the grounds, among others, that the Authority had erred and misdirected itself in failing to take into account or in giving insufficient weight to a number of material considerations or in giving weight or excessive weight to considerations which were immaterial."

Media analysts yesterday said KISS-FM directors should respect the BAZ decision because it was a competent body.

"Shareholders of KISS-FM are well within their right to appeal, that is why the law is there but it is the same law that empowered BAZ to adjudicate," said Professor Jonathan Moyo.

"Everyone who followed the licensing, especially from the public hearing would be aware that BAZ discharged its responsibility in accordance with the laws and constitution of this country," he said.

Prof Moyo said all the applicants were Zimbabwean and none of them was more Zimbabwean than the other.

"That is not anything to do with BAZ, but arrogance. Arrogance is not a basis for a licence," he said.

Prof Moyo said all BAZ board members were appointed by MDC-T chairman Lovemore Moyo who is also the Speaker of Parliament.

"Where there are two licences and 16 applications, 14 will lose," he said.

Another analyst Mr Goodson Nguni said BAZ was a properly constituted and competent body.

"They must ask for more licences than challenge those who were awarded the two licences," he said.

Labels: LICENSES, RADIO

posted by MrK @ 6:19 PM