RoshanSpace Brandcom takes Indian Railways to court over hoarding allotment

RoshanSpace Brandcom, a Mumbai-based OOH advertising company, has filed a legal petition against the allocation of railway hoarding sites under the New, Innovative Non-Fare Revenue Ideas Scheme (NINFRIS), citing a lack of fairness and transparency.

Public contracts for advertising hoardings are typically awarded through open, competitive bidding to ensure fairness. RoshanSpace argues that Indian Railways has bypassed this process under NINFRIS, leading to an unfair allocation of sites.

The petition by RoshanSpace raises concerns over bypassing competitive bidding, which leads to allocation of hoarding sites through private negotiations rather than open tenders. It further highlights unchecked discretion, allowing railway officials autonomy in awarding contracts, violating Article 14 of the Indian Constitution. The original purpose of NINFRIS was to test untried concepts for non-fare revenue generation. However, RoshanSpace argues that railway landholding sites have been allocated to agencies without due justification or adherence to the scheme’s objectives. The petition also unveils instances where advertising permissions have been granted without considering technical feasibility, visibility impact, and public safety regulations. This includes concerns over obstructed views, interference with railway signage, and non-adherence to the mandated distance between hoardings.

The policy stipulates a one-year contract, extendable for another year. Nevertheless, the railways have arbitrarily extended the contract for five years, contradicting their own policy. Furthermore, regular tenders are also being awarded for five years, effectively creating unfair competition and compromising railway revenues. Under the pretext of solar initiatives, over 35 billboards have been allocated to a single entity, even in locations where other billboards already exist, undermining fairness and transparency. Additionally, the railway’s decision to permit the conversion of static solar-powered billboards into digital ones contradicts NINFRIS policy. At the same time, questions remain on the feasibility of fully solar-powered digital billboards due to their high energy requirements. A digital billboard typically requires 12000 KW, while a static billboard needs 450 KW, which is 26 times more than a static billboard. RoshanSpace has demanded a thorough scrutiny of the matter through its legal petition.

Speaking on the petition, Junaid Shaikh, MD of RoshanSpace Brandcom, said, “We refuse to stand by while opaque practices threaten the integrity of our industry. It isn’t just about business, it’s about fairness, accountability, and ensuring that public resources serve the greater good. By challenging these arbitrary practices, we aim to establish a competitive, transparent system that promotes innovation and benefits the entire OOH industry. We hope with this petition; we can implement some changes to the existing practices in the industry.”

RoshanSpace has raised concern about the allocation of railway advertising sites to competitors in a manner that obstructs existing premium hoardings, leading to financial and operational losses. The company has also questioned the lack of clear communication from railway authorities regarding these allocations, raising broader concerns about the management and valuation of railway assets. The petition argues that certain advertising sites classified under NINFRIS do not meet the scheme’s criteria of ‘new and innovative’ and should instead be governed by standard competitive bidding procedures.

RoshanSpace stresses that these opaque practices jeopardise not only fair business competition but also public interest and safety. The petition seeks a judicial review of NINFRIS and urges railway authorities to uphold the principles of transparency, fairness, and structured procurement in public resource allocation.