The Department has disallowed the investment of US$ 20 Million by M/s Fuse + Media Holding LP (Fuse +Media), a wholly owned subsidiary of M/s. Velocity Interactive Group in NDTV Networks Plc. (NNLPC), erstwhile subsidiary of the Company, and taxed it as unexplained investment in the hands of NDTV. Fuse + Media Group is a respected and leading Silicon Valley investment company and continues to be invested in NDTV Group till date.

Based on the legal advice received from senior counsel, the Company strongly believes that the said order is untenable and misconceived. The Company will challenge the said order before the appropriate forum and believes that it has a strong chance of success in such proceedings.

The present disclosure is issued without prejudice to the rights and contentions of the Company before any regulatory authority or tribunal.