BBC split in two in India to meet foreign investment rules

Surja
By Surja
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Months after the BBC came under investigation by federal tax authorities after airing a controversial documentary about Narendra Modi, it restructured its India operations to comply with the country’s foreign investment regulations.

The British broadcaster announced in December that it would spin off its news business to comply with India’s foreign investment rules, which limit foreign funding of Indian digital news companies to 26%.

Collective Newsroom, an independent India company founded by BBC India staff, will produce content for the broadcaster’s six other Indian language services, as well as India digital coverage and the BBC India YouTube channel.

The BBC is said to have applied to take a 26% stake in the new company, which will be largely independent of the broadcaster due to regulatory requirements in India.

Rupa Jha, CEO of Collective Newsroom, said: “The BBC is now our first and major client.” Financial Times.

The reshuffle comes a year after Indian income tax officials raided BBC India offices in Delhi and Mumbai, leading to further investigations by the country’s financial crimes agency, the Enforcement Directorate.

What the government calls an “investigation” comes just weeks after the BBC aired a documentary about the 2002 riots in Gujarat that angered the Indian government. A British government assessment at the time said Prime Minister Modi was “directly responsible” for the violence that killed more than 1,000 people, mostly Muslims.

The BBC defended its production and said it adhered to the highest editorial standards. The company also said it was cooperating with government agencies investigating its tax affairs.

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The broadcaster employs about 300 journalists in India, about 200 of whom have been transferred to collective newsrooms. The new company, founded by four former BBC employees, will be able to produce content for other news providers across India.

The BBC retains a smaller team of around 90 reporters and producers for its English-language radio and television news channels, who will work directly with its UK headquarters.

Ms Jia added: “Viewers will quickly learn that Collective Newsroom is an independent news organization that is fact-led, serves the public interest and listens to diverse voices and perspectives.”

In 2023, global media watchdog Reporters Without Borders ranked India 161st out of 180 countries, below Pakistan (150th) and Taliban-ruled Afghanistan (152nd).

independent The BBC has been contacted for comment.

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By Surja
Surja, a dedicated blog writer and explorer of diverse topics, holds a Bachelor's degree in Science. Her writing journey unfolds as a fascinating exploration of knowledge and creativity.With a background in B.Sc, Surja brings a unique perspective to the world of blogging. Hers articles delve into a wide array of subjects, showcasing her versatility and passion for learning. Whether she's decoding scientific phenomena or sharing insights from her explorations, Surja's blogs reflect a commitment to making complex ideas accessible.