WorldSpace to pull out of India

WorldSpace, in the process of being bailed out, will not include India in its rescue operators. Faced with financial woes, WorldSpace has decided to cease the broadcast of its satellite radio service in India from 31 December. "The potential buyer of much of WorldSpace's global assets has decided not to buy the assets relating to and supporting the subscription business in India," the company said. Worldspace, which had filed for bankruptcy protection in the US in October last year, has more than 90 per cent customers located in India. Its broadcast footprint covers over 130 countries including India and China, all of Africa and the Middle East and most of Western Europe.

As the Indian subscriber's contract is with WorldSpace Inc, the US company, it wont be able to offer a refund for any unused portion that a subscriber may have paid for services to be rendered beyond the termination date. However, as per the potential remedy under the US bankruptcy law, subscribers may file a claim under the claims procedure that is intended to protect creditors of the bankrupt company. Sometime early next year, a claim servicing company will send notice to all creditors listed by the company.

- Indiantelevision