To investigate a money laundering case, the Enforcement Directorate conducted a search operation at eight different locations in Delhi, Mumbai and Kolkata. The case is against music companies registered against the Indian Performing Right Society (IPRS) and the Phonographic Performance Limited (PPL.)
Sources revealed the five companies include, YRF Music (a part of Yash Raj Films,) Sa Re Ga Ma, Universal and T-series. One of the complainants is Javed Akhtar who has alleged that these music companies have failed to pay the royalties and also irregularities at the IPRS and PPL.
The ED has registered a case against the IPRS and PPL under the Prevention of Money Laundering Act (PMLA.) The IPRS is a representative body formed in 1969 with the owners of music including lyricists, composers and publishers. IPRS is also the sole authorized body to issue licences that permits the usage of music in India by any person.
The representative body collects the royalties received from radio stations, TV channels and restaurants using the music. The IPRS is then required to distribute the royalties among the specific composers and publishers.
The PPL on the other end handles the public performance rights and radio broadcasting rights for over 7 lakh songs. The songs are from different languages across the country including film and non film songs. The PPL has 250 members consisting of mainly music labels.
It has been revealed the IPRS along with the PPL have conspired against the artists and withheld royalties from these musicians. The details of the raid today are yet to be revealed. While the companies who have been accused refuse to make any statements.
