B4U Television Network, which relaunched B4U Entertainment as B4U Movies on 2 October, expects to achieve operating profits of $ 2 million by the end of this financial year from its worldwide operations, CEO Ravi Gupta said today.

Speaking at a press briefing in Mumbai to celebrate the launch of B4U Movies, Gupta said the company was looking at total revenues of $ 20 million this fiscal, with operating costs at $ 18 million.

Gupta said he was targeting a net profit of $ 4 million after amortisation by March 2003.

Referring to B4U Music, Gupta said that the channel had achieved operational profits in the first year itself.

On the issue of the channel‘s encryption, Gupta clarified that it would not be in January 2001 as initially reported to indiantelevision.com. He said he expected B4U Movies to go pay in the second quarter of 2002.

Questioned as to what was the relationship existing between B4U and jailed film financier Bharat Shah, Gupta admitted that a strategic alliance was still in place. He however pointed out that with Shah still in custody, there were a number of issues that were still to be resolved on that front.

B4U Entertainment was launched on 3 September 2000 but failed to make a mark as a Hindi entertainment channel what with the likes of Star, Sony and Zee carving out most of the market share. B4U Movies will not face such problems because it will draw on its main strength - its library of movies (1,000 films in India and overseas rights to 1,600 films), Gupta says.

The B4U Network is promoted by steel magnate L M Mittal, Kishore Lulla and Gokul Binani, all based in the UK. Lulla is also the promoter of Eros International LTD, the largest overseas film distributor and the first to take Hindi movies to the UK and the US.

In what is claimed to be a first in India, the Tamil language channel Raj TV today launched a teleport facility in the southern city of Chennai.

The formal dedication of the teleport was done by Dr Murli Manohar Joshi, union minister for human resources development, at the Park Sheraton Hotel & Towers in Chennai at 10 am.

Raj TV is the first private satellite network with a teleport facility licence in India and the first network to offer two 24-hour Tamil entertainment channels. It was also the first Tamil channel to go fully digital. It also claims to be the first channel to host a daily quiz show, an English news bulletin, and institute rewards for academic excellence.

The channel also effectively mobilises people power for social causes with its programs, besides honouring legendary Tamil filmstars, its publicists say.

The formal launch, a well-attended affair, was carried live on the Raj TV Network.

Home Cable Network Ltd today said it had issued a legal notice to ESPN Software India Ltd. for releasing on 9 October what it claimed was a defamatory press release against it. It also said it had sent a similar notice to financial daily Business Standard for publishing the press release without cross-checking.

The ESPN release stated Delhi‘s district court had on the same day ruled in favour of the sports channel in a case filed by the Delhi-based cable network.

Home Cable today issued a press statement giving its version of events and said "the court case had been amicably settled between the parties before the district court and transmission of the ESPN and Star Sports channels to Home Cable was restored by ESPN Software India Ltd."

Home Cable contends that despite the settlement before the court, ESPN Software had incorrectly represented to the press that it had won the case.

Home Cable says it had entered into a services contract with ESPN Software for receiving signal of ESPN and Star Sports channels for its viewers. It had been paying regularly an amount of Rs 38,400 towards monthly subscription fee for the ESPN and Star Sports channels. In addition, installments towards the IRD decoders were also being paid regularly to ESPN Software.

On 5 October 2001, ESPN Software, without any notice, demanded Rs 16,000 from Home Cable and threatened that it would disconnect the ESPN and Star Sports channels in case their demand was not met, the statement says. Since the demand of ESPN Software was without prior notice and not in accordance with the terms agreed upon, Home Cable did not pay up, the statement says.

The same evening the ESPN and Star Sports channel feeds were disconnected. Home Cable moved court the next day seeking a permanent injunction against ESPN Software and restoration of the ESPN and Star Sports channel, the statement says .

The court on 6 October issued a notice to ESPN Software and its agent Arjun Enterprises (distributes ESPN and Star Sports in Delhi). Their legal representatives appeared before the court on 8 October. The judge adjourned the matter for filing of written statement, reply and disposal of the application for interim injunction filed by Home Cable to 9 October.

On 9 October a compromise proposal was put forward by ESPN Software which HomeCable, keeping the interest of its valued subscribers, accepted, the statement says. The case was withdrawn after an undertaking given by ESPN Software to restore the ESPN and Star Sports Channel by 2 p.m. on 10 October.

ESPN spokesperson when queried about the notice, reiterated that the dispute was settled only after Home Cable gave an undertaking that henceforce it would not provide unauthorised feeds of ESPN and STAR Sports signals to hotels or similar establishments. Further, Home Cable also agreed to abide by all the terms of the existing contract and settled all outstanding dues in court before the feed was restored, the spokesperson asserted.