Samsung, Motorola 'defaulters'

A joint panel of Indian Broadcasting Foundation and Advertising Agencies Association of India has asked major television broadcasters not to carry commercials from Samsung, Motorola and Reckitt Benckiser after "consistent defaults" and "non-clearance of dues" by them.

"The committee unanimously decided to advise all the IBF members not to accept any further advertising business from Samsung, Motorola and Reckitt Benckiser and other defaulting advertisers with effect from November 10, 2004," a joint press release by IBF and AAAI said.

Some of the clients have been consistently defaulting and have not cleared the dues despite specific meetings with them by the joint committee, it said.

The joint committee, which held its last meeting on November 2, observed that AAAI members have not been able to meet their entire obligations to pay broadcasters within the credit period since their advertisers are in default in meeting their dues to these AAAI members, it added.

"The joint committee felt that many advertisers are not paying their agencies on time and if this trend continues, all these advertisers would also face similar action," it said.

The IBF members had stopped the advertising of BPL and Ozone Ayurvedics in the past due to defaults, the statement said.

The IBF-AAAI joint working committee has been regularly meeting for over three years now and, through their collective effort, has substantially reduced the advertising dues of various broadcasters, it said.