Turmoil at Network18 deepens; CFO Bawa, quits!

While the A & M industry is occupied celebrating creativity and talent at Goafest 2014, people at Network18 are not anywhere close to this. If the news of B. Saikumar, Group CEO, Network18 and Ajay Chacko, COO, Network18 & President, A+E Networks | TV18 quitting was not enough, Group CFO RDS Bawa also put in his papers and has decided to quit the media conglomerate.

"Bawa has spent over 19 years with the group, since its early years. Over the years, he has led the group's financial efforts in the creation and management of its various businesses," read a Network18 Group press statement.

As reported earlier by Adgully, these movements are the beginning of what could be touted as the one of the major media conglomerate board dissolutions. If sources are to be believed, Raghav Bahl, MD, Network18 is set to move out of the company today; who may not have immediate investment or entrepreneurial plans in the media, but may mentor a media house or so.

However, the significant news that is keeping everyone on their toes is that these changes are being driven by Reliance Industries, which has an indirect stake in the company through Independent Media Trust (IMT), controlled by the Network18 promoter group. The Board of Reliance Industries Limited (“RIL”) has approved funding of upto Rs. 4,000 crore to IMT, of which RIL is the sole beneficiary, for acquisition of control in Network 18 Media & Investments Limited (“NW18”) including its subsidiary TV18 Broadcast Limited (“TV18”) and the Open Offers to be made consequent to the acquisition.

Given the circumstances, it’s worth noting that Reliance Industries has recently hired a few senior media industry executives, both in Editorial and Business: namely Alok Agrawal - previously the CEO at Zee News, Umesh Upadhayay, a senior TV journalist who has joined RIL as its Media Director, Gautam Chikermane who is the New Media Director at Reliance Industries and was involved in the 4G business at Reliance, BV Rao, the former Sahara News group editor who has joined RIL as its News & Communications Director, Rohit Bansal who works at the intersect of media, regulation and strategy at RIL, Shivendra Singh Chauhan, who previously led the online strategy for India Against Corruption (IAC) has joined Reliance Industries as its New Media strategist. Amongst this, Alok Agarwal is speculated to be the new CEO taking over from B. Saikumar.

As reported earlier, other high profile exits from the network include Rajdeep Sardesai who was earlier speculated to join Focus TV but may now take a sabbatical for a while; as Sagarika Ghosh who is also rumored to move out, may join another news network. Sources also inform Adgully that the outgoing member’s list doesn’t end here, as there are two to three more senior level exits expected to be announced soon. This, sources disclose, has brought in the element of uncertainty in the newsrooms at the network’s channels.

Watch this place for more updates…