Bloomberg, a renowned global news and media platform, has approached the Delhi High Court challenging a trial court’s directive to remove an article deemed defamatory towards Zee Entertainment Enterprises Limited. The contentious piece, published on February 21, titled “India Regulator Uncovers $241 Million Accounting Issue at Zee,” has sparked significant controversy and legal action.
Senior Advocate Rajiv Nayar, representing Bloomberg, urgently brought the matter before a division bench led by Acting Chief Justice Manmohan. The bench agreed to an expedited hearing, reflecting the case’s high stakes and international interest. Nayar expressed his client’s concerns, stating,
“I am an international news agency. In an ex parte order, the ADJ has asked us to take down the post within a week without a reasoned order.”
This statement underscores the tension between press freedom and judicial intervention.
The legal challenge stems from an order issued by Additional District Judge Harjyot Singh Bhalla of Saket Courts on March 1. The judge’s decision came in response to a defamation suit filed by Zee Entertainment, targeting both the managing company of Bloomberg’s online platform and the authors and researchers behind the controversial publication.
The trial court’s observations highlighted Zee’s establishment of a prima facie case for an ad interim ex-parte injunction. The court noted that the balance of convenience lay in favor of Zee and against Bloomberg, citing potential irreparable loss and injury to Zee if the injunction were not granted. Consequently, Bloomberg was restrained from posting, circulating, or publishing the contentious article on any platform, online or offline, until March 26.
Also Read- HUMANS Vs DOGS | Kerala HC: Priority Should Be Given To Human Lives Over Stray Dogs (lawchakra.in)
Zee Entertainment has argued that the Bloomberg article was defamatory, designed to malign and defame the corporation with a premeditated and malicious intent. The company emphasized that the article’s content, which speculated on corporate governance and business operations, was presented as truth without substantiation. Following the article’s publication, Zee reported a significant economic impact, with its stock price plummeting by nearly 15%.
Moreover, Zee highlighted a history of antagonistic publications by the authors and researchers associated with the disputed article, accusing them of baseless allegations of illegal fund diversion in the latest piece. The judge, granting relief to Zee, referenced similar cases where ex-parte ad interim injunctions were issued due to the inherently defamatory nature of the contested material.
This legal confrontation underscores the delicate balance between journalistic freedom and corporate reputation, setting a precedent for how defamation suits against media entities are handled in the Indian legal landscape. As the Delhi High Court prepares to hear Bloomberg’s plea, the outcome will undoubtedly have far-reaching implications for media law and corporate governance in India.
Also Read- Sharad Pawar Challenges PIL In Bombay High Court Over Lavasa Project (lawchakra.in)