Cable television provider i-CABLE Communications Ltd. (01097.HK) must submit by the end of the month supplementary information for its affiliate’s application for a free-television broadcasting license.
Part of the required information is related to the affiliate’s ownership restructuring, the Hong Kong Economic Journal reported Friday, citing Communications Authority chairman Ambrose Ho.
Regulations prohibit any companies in the form of a subsidiary from owning a TV license, the report said.
A document submitted in 2010 said Fantastic Television Ltd., formerly a wholly owned subsidiary of i-CABLE, would be owned by two parties, each of which would hold a 42.55 percent voting share, with the rest to remain under the control of i-CABLE.
The restructuring was completed last month, Company Registry records show.
Infiniti Trust and Louvre Fiduciary each now holds 42.55 percent of Fantastic TV.
The authority will review the supplementary information and then hand it over to the Executive Council for the license to be approved.
Recently, activist Kwok Cheuk-kin, nicknamed “King of Judicial Review”, filed a request for a judicial review of the authority’s decision to grant without an auction some of the digital broadcasting spectrum vacated by the soon to be shut down Asia Television Ltd. to Hong Kong Television Entertainment Co. Ltd., an affiliate of PCCW Ltd. (00008.HK).
Kwok questioned what he said was a transfer of benefits from the government to a private company.
Ho denied the allegation but said he will closely monitor the development of the case.
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