Pulling up Prasar Bharati for making overpayments in royalty to National Film Development Corporation, the CAG said despite repeated assurances to Public Accounts Committee, the public broadcaster failed to take remedial measures to curb the practice.
Prasar Bharati procures films from NFDC on royalty for telecast on its Doordarshan channels. Royalty payments are regulated on the basis of a rate card prescribed by Prasar Bharati, the CAG said in its report on autonomous bodies (2008-09), which was placed in Parliament today.
As per the rate card, the royalty fees ranges between Rs three lakh and Rs 20 lakh per film, depending upon its vintage/categorisation.
Payment for the same film telecast on more than one occasion within two years from the first telecast is regulated on a sliding scale of 50 and 25 per cent for the second and subsequent repeat telecast respectively.
The CAG, in its earlier report, had made a mention regarding excess payment of Rs 58.35 lakh made to NFDC by Prasar Bharati.
Subsequently, the ministry for information and broadcasting in action taken report had stated (in November 2008) that action had been taken to review payments made for all films and necessary steps had been taken to strengthen the internal control system so that excess payments were not made.
