Académique Documents
Professionnel Documents
Culture Documents
Roll No. 49
Roll No. 49
PREFACE
Audit Bureau of Circulations (ABC) is a voluntary organization constituted in the year 1948. Going back six decades when the concept of circulation audit was yet to be established in our country, advertisers had no means to know the actual circulation numbers of publications that they used for advertising and had to depend more on their own judgment. Publishers also found it difficult to convince advertisers of the relative values of their publication for the purpose of advertising. It is with this background, eminent
representatives of the advertising profession and publishing industry came together to establish an organization which could serve common interest. Since then the benefit of ABC certificate of circulation have been availed by advertisers, advertising agencies, publishers and organizations connected with print media advertising.
Roll No. 49
Bureau certifies circulation figures of member publications for a six-monthly audit period i.e. January to June and July to December. The system envisages a comprehensive audit of printing, distribution, financial and production records of member publications by a panel of approved auditors as per the audit guidelines laid down by the Bureau from time to time.
Roll No. 49
Roll No. 49
The ABC founded in 1948 is a not for profit, voluntary organization consisting of Publishers, Advertisers and Advertising Agencies. It has done pioneering work in developing audit procedures to verify the circulation data published by those newspapers and periodicals which have earned the right to display its emblem.
Roll No. 49
From a modest beginning it has grown to remarkable proportions. ABC's membership today includes 411 Publishers of national and regional importance, 151 Advertising Agencies, 51 Advertisers & 20 New Agencies and Associations connected with print media and advertising. It covers most of the major towns in India.
Roll No. 49
An Advertiser would like to know the facts and figures before investing his money in advertising. An Advertiser ought to know how many people buy a publication and in which area. The ABC gives all these vital facts every six months. The ABC figures are not the outcome of opinions, claims or guesswork, but they are the result of rigid, in depth and impartial audits of paid circulations of member publications by independent and leading firms of Chartered Accountants working in accordance with the rules / procedures prescribed by the Bureau.
Roll No. 49
Roll No. 49
Records are checked and rechecked at every level for authenticity. Facts and figures are scrutinized by impartial Auditors, and only then is the CERTIFICATE OF NET PAID CIRCULATION issued. The day to day working of the bureau is handled by its secretariat which is headed by the Secretary General.
Roll No. 49
10
ABCs primary objective is to arrive at and certify authentic circulation figures representing Net Paid Sales of member publications and disseminate the data for the use of space buyers. Together with the ABC Certificate, data on territorial distribution of copies in various states, major cities and small towns is included as add on.
As ABC Certificates are regularly referred to for media selection, the publisher has a far better chance of being selected by space buyer members of ABC. By enjoying the confidence of space buyers, publishers are able to increase their Ad revenues and also improve their services.
Roll No. 49
11
ABC adds to the Publications success by providing advertisers the information they need to evaluate print media. The Publishers fully participate in ABCs efforts to help them gain the credibility advertisers are looking for. Advertisers normally place their advertisements with publications that can substantiate their Circulation claims through authentic sources which is easy to understand.
Roll No. 49
12
New Membership:
Membership of ABC entails certain obligations in respect of books and records to be maintained to facilitate a field and proper ABC audit as per the information given below:
Permanent information form and Membership application form should be filled up and sent to the Bureaus office along with one years annual subscription plus the same amount as one time entrance fee.
Roll No. 49
13
DAILY NEWSPAPERS
Schedule of fees Specimen of Check -list Specimen of Publication Confirmation Form Specimen of Letter of Authority
Roll No. 49
14
Schedule of fees Specimen of Check -list Specimen of Publication Confirmation Form Specimen of Letter of Authority
MAGAZINES
Schedule of fees Specimen of Check -list Specimen of Publication Confirmation Form Specimen of Letter of Authority
Roll No. 49
15
Roll No. 49
16
Roll No. 49
17
Cash Book with Cash Sales Register or Cash Sales Records. ii. Cash Book with Sales Account in General Ledger. b. SUBSCRIPTION SALES : . i. Cash Book with Subscriber's Register.
Roll No. 49
18
Cash Book with Agents' Account in General Ledger. Agents' Ledger with Credit Note Books.
iv.
Totals of Credit Note Books with Agents Accounts and Sales Account in General Ledger v. Journal with Agents' Ledger and General Ledger.
Roll No. 49
19
ABC provides its member advertising agencies with up to date audited circulation data every
six months relating to member publications in the country. This circulation data covers
distribution of copies in various states, major cities and even smaller towns which are
potential markets. The half-yearly ABC Certificates are used for media planning. To get
maximum value for their clients, the ABC Certificates enable advertising agencies to
Roll No. 49
20
ABC has been the foundation for all print media buyers providing the advertising industry
with an even playing field. Advertisers are assured through ABC that each Rupee spent is
correctly invested in media that provides accurate circulation numbers while extending
Roll No. 49
21
New members should remit their annual subscription as well as equivalent amount as one time entrance fee.
Roll No. 49
22
Advertisers require knowing to what extent any advertising medium is an effective sales promoter and consequently must have knowledge of two factors (1) cost of the advertisement and (2) the results which he expects from the advertisement. Any calculation of results must necessarily be based on the scope of audience which the advertiser is addressing and in the case of a newspaper or a periodical this is directly related to number of copies which are in circulation. As far as the advertisers are concerned, more and more effective distribution of their advertising investments is ensured by the circulation data provided by the ABC. This ABC data is by far the most accurate information on circulation of important publications, which is available. It also shows the changes in the circulation trends and its coverage of circulation.
Roll No. 49
23
Advertisers can access the purchase preference in that area thereby obtaining valuable clues in locating potential markets. ABC Certificates can be used as a reliable and a dependable guide for finding the right markets for the advertisers products. ABC.s concept of circulation audit is accepted in many advanced countries for authentic and accurate circulation figures.
New Membership:
New advertiser member should complete the information and the membership form and send the same to the Bureaus office along with annual subscription and equivalent amount as one time entrance fees.
Roll No. 49
24
The ABC with the active co-operation and expertise of its member publishers, advertisers and advertising agencies, can assist the Union and the State Governments in reaching their targets in rural and semi-urban areas effectively and fruitfully.
New Membership:
The Membership of small and medium newspapers in ABC gives the Government agencies a wide field for operation and helps them reach the remote comers of the country.
Roll No. 49
25
Roll No. 49
26
(The Audit Bureau of Circulations is a company limited by Guarantee and not having a share capital. The only possible financial liability attached to members, other than their entrance fee and annual subscription is one of not exceeding Rupees fifteen per member in the event of winding up of the Company.)
I/We further agree that in the event of any differences of disputes arising between me/we and the Bureau and / or its Council of Management at any time from the date of this application, whether during the period of my /our membership of the Bureau or after its cessation, these shall be subject to the jurisdiction of Courts in Mumbai only.
Roll No. 49
27
Roll No. 49
28
Address Proposed by
(Please affix Rubber Stamp / Seal)
Seconded by
(Please affix Rubber Stamp / Seal ) (To be proposed and seconded by any two members of the Bureau.)
Roll No. 49
29
INFORMATION FORM
NEWS AGENCIES /ASSOCIATIONS/ ORGANISATIONS/ GOVT. PUBLICITY DEPT.
1. Name and Address 2. Telephone, Fax & Email Details: 3. Date of Establishment 4. Type of Organization (i) Company under the Companies Act (ii) Partnership firm (iii) Proprietary concern
Roll No. 49
30
7. Are any of the owners or persons referred to in (6) above directly or indirectly financially connected with any newspaper and /or periodicals? If so please give details:
8. Branch Offices:
Roll No. 49
31
Place: For and on behalf of Date: Designation (Please affix Rubber Stamp/Seal)
Roll No. 49
32
ABC is a forum of the magazine and newspaper publishers, advertisers and advertising agencies, similar to BPA Worldwide. As a non-profit association, ABC is funded by dues and service fees by advertisers, advertising agencies and publishers.
Roll No. 49
33
Roll No. 49
34
At the turn of the 20th century, publishers were ungoverned. A practice of inflating circulation figures to win advertising dollars was common. With little recourse, advertisers were forced to buy advertising based on exaggerated circulation claims.
Determined to end deceptive industry practices, advertisers, advertising agencies and responsible publishers banded together to establish an industry organization to
Roll No. 49
35
ABC is governed by a tripartite board of directors composed of 17 publishers and 19 advertisers and advertising agencies. The board meets three times a year (March, July and November) to review existing rules, establish new rules and consider member requests.
ABC also has 14 advisory committees. The advisory committees meet throughout the year and discuss member-initiated topics. The committees consider the topics and make recommendations to the ABC board of directors.
The organization has its headquarters in Schaumburg, Illinois, and additional offices in New York City and Toronto.
Roll No. 49
36
Membership is open to all publishers, advertisers and advertising agencies. Additionally, any individual, firm or corporation who requires access to circulation data may apply for an associate membership.
Roll No. 49
37
Roll No. 49
38
Newspaper circulation rates are currently experiencing a downward trend. Circulation is one of the principal factors used to set advertising rates. Circulation is not always the same as copies sold, often called paid circulation, since some newspapers are distributed without cost to the reader. Readership figures are usually higher than circulation figures because of the assumption that a typical copy of the newspaper is read by more than one person.
In many countries, circulations are audited by independent bodies such as the Audit Bureau of Circulations to assure advertisers that a given newspaper does indeed reach the number of people claimed by the publisher.
Roll No. 49
39
The Japanese Yomiuri Shimbun, Asahi Shimbun, Mainichi Shimbun and Seikyo Shimbun are still the best-selling newspapers in the world.
Roll No. 49
40
News () is the most popular paper in China. The highest selling from the United
States is USA Today, which is 13th in the world.
According
to
the Guinness
Book
of
Records, in 1990,
the while
daily the
circulation Soviet
of
the
Soviet
21,500,000
weekly Argumenty
Roll No. 49
41
INDIVIDUAL COUNTRIES
India
The 2009 Indian Readership Survey findings show that the largest read local language newspapers to be Dainik Jagran (with 55.7 million readers) and Dainik Bhaskar (with 31.9 million readers), both published in Hindi. The Times of India is the most widely read English language newspaper (13.3 million), followed by Hindustan Times (6.3 million), The Hindu (5.2 million). The New Indian Express is another widely-read English language newspaper (1.8 million}. Eenadu news paper which is published in Telugu crossing 1.32 million has the largest circulation in regional languages.
Roll No. 49
42
Roll No. 49
43
Shimbun, 5,587,000; Seikyou Shimbun, 5,500,000; Nihon Keizai Shimbun, 4,635,000; Chunichi Shimbun/Tokyo 2,757,000; Nikkan 1,711,000; The Shimbun,4,512,000; Tokyo Sports, Nikkan Sports, 2,425,000; Sankei 1,896,594; Sports 1,683,000; Yukan 1,368,000; Hochi Shimbun, Nippon, Fuji,
Shimbun,
1,559,000; Shizuoka
Shimbun,
1,479,000; Sankei
Shimbun,
Roll No. 49
44
Today's Zaman
United Kingdom
Best-selling papers as of July 2, 2006, according to the Audit Bureau of Circulations, are the News of the World (Sunday only), 3,471,415;The Sun, 3,148,700 and The Daily Mail, 2,340,255.
Roll No. 49
45
Newspaper circulation numbers are reported to the Audit Bureau of Circulations. Bestselling papers as of March 31, 2009 in the U.S.A., according to the Audit Bureau of Circulations, are USA Today, 2,113,725; The Wall Street Journal, 2,082,189 and The New
Roll No. 49
46
Roll No. 49
47
JULY 2009
Roll No. 49
48
PART I NEWSPAPERS
INDEX
1) DEFINITIONS:
1.1 Audit 1.2 Average 1.3 Back Copies 1.4 Combo Offer 1.5 Daily Newspaper 1.6 Distribution Cost 1.7 Distributing Trade 1.8 Edition 1.9 Excess Circulation
Miss Abhilasha Yadav Roll No. 49
49
50
51
Roll No. 49
52
Roll No. 49
53
54
Roll No. 49
55
News Media Management 8. GUIDELINES COVERING TITLES HAVING AVERAGE CIRCULATION LESS THAN 15,000 COPIES
Advance written indents / monthly confirmations Agents Supply Register Agreement with outside printers Banking of cash collection Cash covering Notes Cash sales records Machine Room Returns Newsprint Consumption Register Newsprint Stock Register Postage / dispatch record for subscribers
Roll No. 49
56
Roll No. 49
57
1. DEFINITIONS:
1.1 AUDIT:
Examination of publishers as well as his principal agency/agencies (local or otherwise) distribution, and financial records and corroborative evidences in order to establish the Qualifying Sales and non Qualifying Sales and to verify whether the publisher and his
Roll No. 49
58
1.2 AVERAGE:
Means average per day, per week as the case may be, of the relevant audit period.
Roll No. 49
59
Roll No. 49
60
1.8 EDITION:
A publication/title separately registered with Registrar of Newspapers for India (RNI) and having a separate registration number, serial No. & Volume Number
Roll No. 49
61
Roll No. 49
62
Roll No. 49
63
Roll No. 49
64
Roll No. 49
65
Roll No. 49
66
Roll No. 49
67
(**Net sale price to the dealer is the net price at which a newspaper is sold to the dealer calculated at cover price of the publication less applicable trade commission, delivery charges or by whatever name called).
Roll No. 49
68
Roll No. 49
69
Roll No. 49
70
Roll No. 49
71
(**Net sale price to the dealer is the net price at which a newspaper is sold to the dealer calculated at cover price of the publication less applicable trade commission, delivery charges or by whatever name called).
Roll No. 49
72
Roll No. 49
73
A publisher can offer discount / gift to the subscriber together with delivery charges to the distribution trade upto 90% of the cover price of a publication.
Roll No. 49
74
Roll No. 49
75
Roll No. 49
76
Q (i) How excess circulation for non compliant issues of the week will be determined?
A(i) Excess circulation is the incremental circulation for any non complaint issue as compared to the average circulation of the immediate previous week or such another week during an audit period where all relevant issues are compliant with the qualifying criteria and the corresponding circulation qualifies for certification.
Roll No. 49
77
Q(ii) What treatment will be given if, during an audit period there is no such week where all issues of the week are independently compliant with the qualifying criteria?
A(ii) Under such circumstances, the benefit of reducing only the excess circulation will not be available. The entire circulation of all non compliant issues will not be shown as `Qualifying Sales in Part A of the Certificate. However, such copies will be shown in Part B as `Non Qualifying Sales. (All publishing day(s) during an audit period will however be reckoned for average calculations of qualifying and non qualifying sales.)
Roll No. 49
78
Roll No. 49
79
Roll No. 49
80
Roll No. 49
81
Roll No. 49
82
All prescribed audit guidelines for subscription copies (single and joint) as in force are also applicable to all institutional subscription copies. All relevant documentation should be available with the publisher for auditors verification.
Roll No. 49
83
Roll No. 49
84
Roll No. 49
85
member publication will then arrange to obtain a written confirmation from a nonmember publication that its financial & distribution books & records are open for scrutiny by Bureaus Auditors / officials.
Roll No. 49
86
Roll No. 49
87
established to the satisfaction of the auditors (Unless Auditors/Bureau having any evidence to the contrary).
Institutional Sales are accepted for certification only to the extent of 10% of Qualifying Sales.
Roll No. 49
88
Accordingly, it is clarified that publishers offering gifts to readers value of which is more than 50% of the cover price on non subscription copies under any scheme for a defined period then such a scheme is void abinitio and does not qualify for certification. Accordingly, all copies offered to readers under such a scheme do not qualify for certification as Qualifying Sales irrespective of whether readers have availed the benefit offered under the scheme or not.
Roll No. 49
89
Publishers should ensure that the reader incentive schemes are not taken advantage of by the trade in order to increase their earnings which would result in reduction of the net price at which the trade purchases a copy from the publisher. In case of barter arrangements,
relating to gifts issued to subscribers or on newsstand sales, publishers should pass necessary accounting entries in their books of accounts.
Roll No. 49
90
The provision referred to above for reducing excess circulation does not apply to cases where value of gifts offered to readers is more than 50% of the cover price under a scheme for a defined period. In such circumstances, such a scheme as mentioned above will be treated void abinitio and all copies under such a scheme will be shown as NON Qualifying Sales (Part B).
Roll No. 49
91
Roll No. 49
92
Roll No. 49
93
Roll No. 49
94
Roll No. 49
95
Roll No. 49
96
Roll No. 49
97
However, if a gift or a reward is announced on specific occasion which is based on the performance of a particular agent from a group of agents or is subject to a draw of lottery pursuant to a sales promotion scheme, then such gifts shall be considered more or less as a sales promotion scheme rather than a part of the trade term (Unless Auditors/Bureau having evidence to the contrary).
Roll No. 49
98
Roll No. 49
99
Roll No. 49
100
Roll No. 49
101
Roll No. 49
102
OPTION TO AVAIL A SEPARATE AND / OR A COMBINED ABC CERTIFICATE FOR A MULTIEDITION PUBLICATION: A publisher of a multi-edition publication has an option to avail either a separate certificate for its various editions or a combined ABC certificate for various editions. A publisher who is a member of the Bureau and has exercised an option to avail a separate ABC Certificate or a combined ABC Certificate can change his option only once during a period of four six monthly audit periods. Publishers request may be considered by the Council only prospectively from the commencement of the following audit period.
Roll No. 49
103
PUBLISHING DAYS MULTI EDITION / CENTRE PUBLICATIONS: Qualifying Sales of individual editions / printing centres will be shown as a foot-note on the ABC Certificate of circulation. Qualifying Sales will however be calculated on the basis of
Roll No. 49
104
REASONS FOR INCREASE IN CIRCULATION: Publisher members are required to specify the reasons for increase in circulation when the circulation of a printing centre or an edition individually increases / decreases by 10% or more over the previous audit period.
SUNDAY CIRCULATION / WEEKLY EDITIONS OF DAILY NEWSPAPERS: In case of daily newspapers, where higher rates are prescribed or surcharge is levied over normal advertisement rates for Sunday editions or Weekly edition published on any other
Roll No. 49
105
Roll No. 49
106
substantial variations are noticed between the figures of average Qualifying Sales for an audit period and the total distribution provided in the Area Breakdown Statement for the issues selected. In order to rectify this anomaly, members are requested to provide details of State-wise, District-wise and Townwise distribution in an Area Breakdown Statement for the issue selected which will be reduced or adjusted in proportion to the average circulation figures for the period. Accordingly, total qualifying distribution of an issue provided in Area Breakdown Statements will be equal to the average qualifying sales as certified for the period.
Roll No. 49
107
DETAILS OF TOWN-WISE DISTRIBUTION UNDER SECTION 'B' TO BE PROVIDED AS UNDER : For the State(s) in which the town(s) of publication is/are situated, towns to be classified according to the respective Districts. A tally of total distribution in each District to be provided showing towns where 250 copies or more are
Roll No. 49
108
Roll No. 49
109
Roll No. 49
110
Roll No. 49
111
Roll No. 49
112
Roll No. 49
113
Roll No. 49
114
Roll No. 49
115
News Media Management 8. GUIDELINES COVERING TITLES HAVING AVERAGE CIRCULATION LESS THAN 15,000 COPIES:
In order to encourage small publications / titles to have their circulation figures certified by the Bureau and to minimise record keeping by such small publications / titles, following simplified guidelines have been prescribed for maintenance of books of accounts and other documents for a satisfactory circulation audit for such titles having average circulation upto 15,000 copies. The same is applicable to TITLES having average circulation less than 15,000 copies and not to individual edition / printing centre of a title.
Roll No. 49
116
Roll No. 49
117
Roll No. 49
118
Roll No. 49
119
k) PRINT ORDER
Consolidated print order may be prepared
l) RETURNS REGISTER
Unsold / returns register to be maintained
Roll No. 49
120
Roll No. 49
121
In case one or more publications in a group are not members of the Bureau and outstandings from an agent cannot be ascertained for each publication that he sells, then all outstandings
Roll No. 49
122
It is therefore advisable for such agents to specifically mention the purpose for which the payment is made to the publisher against a particular service offered by the agent.
9.3 OUTSTANDINGS:
Whilst calculating the qualifying copies under Part A of the ABC certificate of circulation outstanding payment for copies supplied to agents at the end of the audit period as under have to be excluded.
Roll No. 49
123
_ Local agents - outstanding for more than one month's supply _ Outstation agents copies outstanding for more than two months supply _ Railway book stalls copies outstanding for more than four months supply
Qualifying Copies which were outstanding for payment in the previous audit period and excluded but payments for which have been received in the immediate subsequent audit period are to be added back as qualifying sales for certification under Part A in the immediate subsequent period equally over the entire audit period of six months.
Roll No. 49
124
A firm of Publisher Auditor may carry out publishers circulation audit for a maximum period of two years or four half-yearly audit periods. Thereafter, a publisher member is required to appoint another firm of Publisher Auditor from amongst the empanelled firms. The same firm of Publisher Auditor may be considered for re-appointment by a publisher member only after a clear gap of four audit periods or two years. The terms of appointment, fees etc. to be mutually decided between the publisher member and the publisher auditor.
Roll No. 49
125
In cases where non member publications are offered to a reader along with member publications under any scheme then it is incumbent upon the publisher to provide full access to the auditor for scrutiny of books and records pertaining to non member publications.
Roll No. 49
126
Roll No. 49
127
For a satisfactory audit, an auditor should not limit his scrutiny of publishers books and records placed before him but his audit should include physical verification of actual printing and despatch of the publication including actual sale of copies to the trade which may be
Roll No. 49
128
Roll No. 49
129
b) Financial Records:
i. Credit note register/ Credit notes ii. Sub agents ledger for Credit sales
Roll No. 49
130
The Auditors may where deemed necessary, call for such information directly from the parties concerned with the concurrence of the Publisher.
Auditors shall verify that Cash receipts on account of sale of the concerned publication and from all sources must be deposited with the bank intact on the following day except on a bank holiday, in which case cash receipts are to be deposited on the next working day. The
Roll No. 49
131
c) Agents Confirmations:
Principal agent are required to obtain from their sub agents or by any other name called documentary evidence for number of copies supplied to them. The said written evidence could either be: i) Advance written indent / orders from agents in support of copies supplied to them.
Roll No. 49
132
iii) In absence of (i) and (ii), principal agent should obtain monthly statements from agents / sub-agents duly stamped and signed showing number of copies received and those remaining unsold, payment received by either cash, cheque, or demand draft. In such cases, it is the principal agents responsibility to obtain the duplicate copy of the statement of account from the agents / sub-agents duly stamped and signed. This monthly statement of accounts duly accepted by the agents / sub-agents should be kept on record for auditors verification.
Roll No. 49
133
Roll No. 49
134
Roll No. 49
135
Roll No. 49
136
Agents Returns Register Subscription amount receipts Credit Note Register / Credit Notes Subscribers Register
Roll No. 49
137
Auditors should include any adverse observation on the scrutiny of the above books and records in their reports to be annexed along with six monthly audit report issued to the publisher.
10.7 AUDITORS ARE ALSO REQUIRED TO COVER THE FOLLOWING AREAS DURING THEIR CIRCULATION AUDIT:
a) Distribution records:
i. Sub agents/ hawkers supply register
Roll No. 49
138
b) Financial Records:
i. Credit note register/ Credit notes ii. Sub agents ledger for Credit sales iii. Duplicate bills/invoice of sub agents Bills register iv. Cash sales records v. Cash/bank book, Bank Reconciliation statement etc.
Roll No. 49
139
The Auditors may where deemed necessary, call for such information directly from the parties concerned with the concurrence of the Publisher. Auditors shall verify that Cash receipts on account of sale of the concerned publication and from all other sources must be deposited with the bank intact on the following day except on a bank holiday, in which case cash receipts are to be deposited on the next working day. The auditor will satisfy himself as to the banking of cash receipts and examine the Bank Pass Book. He will also ensure that cheques deposited on account of sale of the publication have been duly realised by reference to bank reconciliation statement.
Roll No. 49
140
The said written evidence could either be: i) Advance written indent / orders from agents in support of copies supplied to them. ii) Subsequent confirmation from agents in cases where advance indents are not available specifying the number of copies. iii) In absence of (i) and (ii), publisher should obtain monthly statements from agents duly stamped and signed showing number of copies received and those remaining unsold,
Roll No. 49
141
d) Agents Remittances:
All remittances from agents especially by cash or demand drafts should be supported by documentary evidence such as payment advices, covering letter or statement of accounts. All remittances from agents should be checked with the principal agents books of accounts and bank statements.
Roll No. 49
142
Roll No. 49
143
Roll No. 49
144
Roll No. 49
145
DISTRIBUTION
i. Auditors to check:
a. Cash Sales with Cash Sales Register and/or Cash Book. b. Subscription Sales with Subscribers Register and dispatch records.
Roll No. 49
146
Roll No. 49
147
b. SUBSCRIPTION SALES: i. Cash Book with Subscribers Register. ii. Cash Book with Sales account in General Ledger
Roll No. 49
148
Roll No. 49
149
viii. All payments and/or perquisites to agents have been verified with reference to Agents Ledger, Agents Account in General Ledger, respective Nominal accounts in the General Ledger, Credit Notes and correspondence between the Publisher and the
Roll No. 49
150
e. QUALIFYING SALES (PART A) Auditors to confirm that all copies shown under PART A of the certificate are qualifying copies and satisfy the following norm for certification :For each issue on a daily basis the net sale price to the dealer (first point of sale) at any trade margin is higher than the net realisation rate. The same has also been found to be compliant on a weekly average basis for all issues of the week taken together.
Roll No. 49
151
Auditors to also confirm that excess circulation has been removed for such issues where net sale price to the dealer at any trade margin is lower than the Net Realisation Rate (NRR)
Roll No. 49
152
Roll No. 49
153
Roll No. 49
154
Roll No. 49
155
Publisher members may at their discretion request the Bureau atleast a month before the end of the audit period to carry out surprise recheck audit by Bureaus Auditors at publishers expense in order to expeditiously complete the process of surprise recheck audit in the above cases.
Publisher members to keep books and records ready for scrutiny of Bureaus Auditors by 10th January / 10th July as the case may be
Roll No. 49
156
Roll No. 49
157
Roll No. 49
158
Roll No. 49
159
Roll No. 49
160
Roll No. 49
161
Roll No. 49
162
Roll No. 49
163
Roll No. 49
164
Roll No. 49
165
Roll No. 49
166
Roll No. 49
167
The
system
authorises
Bureaus
Auditors
representatives
to
visit
publishers
establishments, without prior intimation, to verify actual print runs, distribution of copies as well as books and records maintained by them. All publications enrolled with the Bureau will be visited for a surprise check by Bureaus Auditors atleast once in a span of three years or more, if deemed necessary. Surprise checks will be carried out by the Partners / representatives of firms of Chartered Accountants enrolled on the Bureaus Panel of Auditors.
Roll No. 49
168
Roll No. 49
169
Roll No. 49
170
a) Press Visit:
_ Date and time of visit _ Number of copies to be printed as per print order available including break-up of print order _ Cover price of various print runs as per print order _ Number of copies printed and dispatched before Auditors arrival as per MRR and availability of dispatch records.
Roll No. 49
171
Roll No. 49
172
Roll No. 49
173
Roll No. 49
174
Roll No. 49
175
2. DEFINITIONS / SCOPE
a) CIRCULATION
i) Circulation' shall always mean the Average Qualifying Sales of Daily & Weekly Newspapers shown in Part A of the ABC Certificate of Circulation OR Net Paid
Roll No. 49
176
Roll No. 49
177
Roll No. 49
178
Roll No. 49
179
Roll No. 49
180
Roll No. 49
181
Roll No. 49
182
Roll No. 49
183
Roll No. 49
184
Roll No. 49
185
Roll No. 49
186
Roll No. 49
187
advertisement as per the text provided by the Bureau in size 20 x 3 cc on page 3 of the publication within a period of 15 days from the date of intimation by the Secretariat.
ii) In those cases where the concerned Publisher member does not publish the corrigendum advertisement within the stipulated time, as above, and / or in case of a second violation by a publication / group within a period of one year the Bureau would
Roll No. 49
188
iii) In case of multiple instances of contravention of the provisions of the Bureaus Code for Publicity by a publication / group in a period of two years or Publishers failure to comply with the Bureaus directives in (i) & (ii) above, then the Bureaus Council of Management may show cause the concerned Publisher member as to why their Bureau Membership should not be terminated under the provisions of Article 44(a) of the Bureaus Articles of Association.
Roll No. 49
189
PART II MAGAZINES
Miss Abhilasha Yadav Roll No. 49
190
Roll No. 49
191
b) Has been sold to the distributing trade by a Publisher or by his agent/agents within trade terms which may be specified by the Bureau from time to time and which may reasonably be supposed to have been sold by the distributing trade to and paid for by genuine readers at not less than the publishers normal declared news-stand, subscription or combo price. (Unless Auditors/Bureau having any evidence to the contrary)
Roll No. 49
192
Roll No. 49
193
3. TRADE TERM:
Commission and allowances etc. mutually agreed to between a publisher and the distributing trade and paid continuously and consistently.
Roll No. 49
194
4. SUBSCRIPTION SALES:
All provisions under subscription sales, para 3.1 relating to subscription offers (single and joint) would also apply to magazines. Gift / incentive / discounts offered to subscribers in aggregate not to exceed 90% of the cover price of a magazine.
Roll No. 49
195
Roll No. 49
196
Full particulars of a subscriber namely, name, address, telephone number, period of subscription etc. should be obtained and available with the publisher for scrutiny by auditors.
Roll No. 49
197
All provisions under para 5.1, 5.2, 5.3, 5.4 would also apply to magazines.
Gifts which are offered along with a magazine on newsstand mostly as inserts
valued upto 50% of the cover price of a magazine will now also be permissible on
subscriber copy. Value of such gifts to subscribers will not be included in the 90%
Roll No. 49
198
Roll No. 49
199
Roll No. 49
200
Roll No. 49
201
Roll No. 49
202
Roll No. 49
203
circulation, since many magazines are distributed without cost to the reader. This is
especially true for magazines dealing with business and professional topics. Readership figures are usually considered to be higher than circulation figures because of the assumption that a typical copy of the magazine is read by more than one person. In many countries, circulation figures are audited by independent bodies, such as the Audit Bureau of Circulations and BPA Worldwide, to assure advertisers that a given magazine does indeed reach the number of people claimed by the publisher.
Lists by country/region
The following are lists of magazines in selected countries/regions, sorted by overall circulation, for recent periods.
Roll No. 49
204
Rank
Name
Circulation
Publisher
Her World
62,530
SPH Magazines
HWM
24,000
SPH Magazines
7,804
HR Asia
2,730
Roll No. 49
205
Rank
Name Australian Women's Weekly Womans Day Better Homes And Gardens
Circulation
Publisher
493,055
407,644
ACP Magazines/PBL Media Pacific Magazines/Seven Media Group Pacific Magazines/Seven Media Group The Reader's Digest Association
370,000
New Idea
325,181
Reader's Digest
325,028
Roll No. 49
206
Thats Life!
302,137
Pacific Magazines/Seven Media Group News Magazines ACP Magazines/PBL Media ACP Magazines/PBL Media ACP Magazines/PBL Media ACP Magazines/PBL Media ACP Magazines/PBL Media Pacific Magazines/Seven Media Group
7 8 9 10 11 12
13
Who
135,040
Roll No. 49
207
14 15 16 17 18 19
ACP Magazines/PBL Media Knockout Media News Magazines News Magazines ACP Magazines/PBL Media ACP Magazines/PBL Media Pacific Magazines/Seven Media Group ACP Magazines/PBL Media Pacific Magazines
20
Marie Claire
116,500
21 22
112,311 108,119
Roll No. 49
208
23
96,554
24 25
94,868 93,239
Canada
This is a list of Canadian magazines, sorted by their circulation, as of the first half of 2009, according to the Audit Bureau of Circulations. Rank Name Circulation Publisher The Readers Digest Association Rogers Communications
1 2
851,096 551,871
Roll No. 49
209
3 4 5 6
Canadian Living Macleans Style at Home Canadian House & Home Slection du Reader's Digest Coup de Pouce
Transcontinental Rogers Communications Transcontinental House & Home Media The Readers Digest Association Transcontinental Royal Canadian Geographical Society Robert Kennedy Publishing Rogers Communications
7 8
227,171 205,801
9 10 11
Roll No. 49
210
12 13 14
Rogers Communications Robert Kennedy Publishing Rogers Communications St. Joseph Communications Transcontinental Rogers Communications Transcontinental Transcontinental Transcontinental Rogers Communications
15 16 17 18 19 20 21
Fashion Canadian Gardening Flare More Good Times Le Bel Age Today's Parent
Roll No. 49
211
22
Elle
128,681
23
Best Health Harrowsmith Country Life Hello! Money Sense Canadian Home & Country Canadian Home Workshop TV Hebdo
123,629
24 25 26
27
120,190
Transcontinental
28 29
100,077 98,138
Roll No. 49
212
Tesco Magazine
1,998,407
6 7
1,998,407 1,335,894
Roll No. 49
213
8 9 10
IPC Media/Time Warner PSP Rare Publishing BBC Worldwide Result Customer Communications Bauer John Brown Group John Brown Group Saga Royal Society for the Protection of Birds
11
Morrisons Magazine
934,535
12 13 14 15
16
Birds
625,553
Roll No. 49
214
17 18
551,765 546,059
Northern and Shell British Sky Broadcasting The Reader's Digest Association
19
Reader's Digest
540,074
20
Pet People (Allianz Petplan) Closer Shortlist Source (Greenbee) Glamour ASOS.com Magazine
524,476
Sunday Publishing
21 22 23 24 25
Bauer Shortlist Media John Brown Group Cond Nast Publications Seven Squared
Roll No. 49
215
26 27
Heat Chat Emma's Diary Pregnancy Guide Good Housekeeping new! Thats Life! Cosmopolitan Now National Geographic Magazine
437,425 423,267
28
407,191
29 30 31 32 33
Nat Mags/Hearst Northern and Shell Bauer Nat Mags/Hearst IPC Media/Time Warner
34
340,264
Roll No. 49
216
35 36 37 38 39 40 41 42 43 44
Hello! Woman & Home Woman Pick Me Up Look Reveal TV Times Star Love it! Sport
339,973 339,901 326,106 313,886 313,176 311,324 310,066 307,543 305,784 305,341
Hola! IPC Media/Time Warner IPC Media/Time Warner IPC Media/Time Warner IPC Media/Time Warner Nat Mags/Hearst IPC Media/Time Warner Northern and Shell Hubert Burda Media Sport Media & Strategy
Roll No. 49
217
45 46 47 48 49 50
BBC Good Food Womans Weekly Woman's Own Sainsburys Magazine Yours Best
BBC Worldwide IPC Media/Time Warner IPC Media/Time Warner Seven Squared IPC Media/Time Warner Bauer
United States
This is a list of American magazines, sorted by their circulation, both paid and unpaid, as of the first half of 2009. Rank 1 Name AARP The Magazine Circulation 24,554,819 Founded 1958 Publisher AARP
Roll No. 49
218
24,305,715
1960
AARP
8,217,269
Costco
Reader's Digest
8,158,652
1922
7,634,197
1922
Meredith Corporation
6,440,891
Kraft Foods National Geographic Society Hearst Corporation Hachette Filipacchi Media U.S. (Lagardre)
National Geographic
4,708,307
1888
Good Housekeeping
4,630,397
1885
Woman's Day
3,933,990
1931
Roll No. 49
219
10
3,932,510
1932
Meredith Corporation
11
3,842,791
1883
Meredith Corporation
12
Westways
3,831,215
1909
American Automobile Association Time Inc. (Time Warner) GameStop MediZine Inc. Time Inc. (Time Warner) Rodale Inc. Zoasis
13 14 15 16 17 18
Roll No. 49
220
19 20
3,302,601 3,252,298
1993 1954
Reiman Publications Time Inc. (Time Warner) National Education Association OpenGate Capitol Hearst Corporation Southern Progress Corporation/Time Inc. (Time Warner) American Automobile Association MediZine Inc.
21
NEA Today
2,941,953
1982
22 23
TV Guide Cosmopolitan
2,934,969 2,907,436
1953 1886
24
Southern Living
2,840,241
1966
25
Via
2,783,833
26
Remedy/Remedy MD
2,652,320
Roll No. 49
221
27
Newsweek
2,646,613
1933
The Washington Post Company Alpha Media Group American Automobile Association American Automobile Association Playboy Enterprises Inc.
28
Maxim
2,537,130
1997
29
2,521,974
30
AAA Living
2,458,902
31
2,453,266
1953
32
2,397,697
2000
Hearst Corporation
33
Glamour
2,389,915
1939
Roll No. 49
222
34
2,264,855
1926
American Legion
35 36 37
Hearst Corporation Meredith Corporation Bonnier The Walt Disney Company American Automobile Association Hearst Corporation Guideposts ESPN
38
FamilyFun
2,161,343
1991
39
AAA World
2,110,621
40 41 42
Roll No. 49
223
43
Martha Stewart Living Smithsonian American Baby Real Simple Us Weekly Money Men's Health
2,030,844
1990
Martha Stewart Living Omnimedia Smithsonian Institution Meredith Corporation Time Inc. (Time Warner) Wenner Media Time Inc. (Time Warner) Rodale Inc. RCI (Wyndham Worldwide) The Reader's Digest Association
44 45 46 47 48 49
50
Endless Vacation
1,845,297
1977
51
1,815,462
2005
Roll No. 49
224
52
Entertainment Weekly
1,779,537
1990
53
Cooking Light
1,772,029
1987
Southern Progress Corporation/Time Inc. (Time Warner) Kraft Foods Reiman Publications/The Reader's Digest Association Time Inc. (Time Warner) Cond Nast Publications(Advance Publications) American Media
54
What's Cooking
1,759,898
55
1,757,601
1995
56
InStyle
1,738,787
1994
57
Golf Digest
1,678,163
1950
58
Shape
1,676,323
1981
Roll No. 49
225
59 60
1,652,800 1,629,398
2003 1978
MediZine Inc. Hearst Corporation National Rifle Association Meredith Corporation Cond Nast Publications(Advance Publications) Bonnier Rodale Inc. Wenner Media Time Inc. (Time Warner)
61
American Rifleman
1,561,746
1887
62
Fitness
1,555,217
63
Self
1,516,075
1979
64 65 66 67
Roll No. 49
226
68
VFW Magazine
1,416,664
Veterans of Foreign Wars Southern Progress Corporation/Time Inc. (Time Warner) U.S. News & World Report Cond Nast Publications(Advance Publications)
69
Health
1,378,395
1981
70
1,365,652
1933
71
Bon Apptit
1,352,658
1956
72
1,344,908
1993
Scholastic
73 74
1,338,163 1,320,314
1998 1872
Roll No. 49
227
75
1,317,787
1955
Hachette Filipacchi Media U.S. (Lagardre) Johnson Publishing Cond Nast Publications(Advance Publications) Weight Watchers Bauer Publishing Bauer Publishing Reiman Publications/The Reader's Digest Association
76
Ebony
1,301,760
1945
77
Vogue
1,298,480
1892
78 79 80
81
Country
1,251,168
Roll No. 49
228
82
1,241,339
1975
National Geographic Society American Automobile Association Southern Progress Corporation/Time Inc. (Time Warner) Hearst Corporation Boy Scouts of America Reiman Publications/The Reader's Digest Association American Media
83
1,232,258
84
Sunset
1,224,453
1898
85 86
1,207,256 1,202,331
1902 1911
87
Reminisce
1,194,701
88
Star
1,157,921
1974
Roll No. 49
229
89
Realtor
1,157,493
National Association of Realtors Cond Nast Publications The Reader's Digest Association Source Interlink Morris Communications Cond Nast Publications(Advance Publications) Hachette Filipacchi Media U.S. (Lagardre)
90
Vanity Fair
1,151,377
1983
91
Family Handyman
1,150,413
92 93
1,141,088 1,136,539
1949 -
94
Lucky
1,127,233
2000
95
Elle
1,105,456
1981
Roll No. 49
230
96
Allure
1,093,265
1991
Cond Nast Publications Time Inc. (Time Warner) Martha Stewart Living Omni media
97
Essence
1,092,721
1968
98
Everyday Food
1,085,032
1990
99
1,065,145
WebMD
100
1,048,782
1925
Roll No. 49
231
Roll No. 49
232
News Media Management Updated: ABC Starts Releasing Jan-June Data; Greater Mumbai Edition of TOI, ET, Dip
The Audit Bureau Of Circulation has started releasing data for January-June 2009 and we are bringing you a partial set of figures for prominent dailies.The Times of India and The Economic Times in Mumbai registered a drop both sequentially and year-on-year. TOIs circulation in Greater Mumbai (ABC classification) dropped 0.37% year-on-year, while ETs circulation dropped 13.88% y-o-y. Deccan Chronicle grew 25.9% y-o-y, while HT Medias Hindi daily Hindustans Patna and Ranchi edition grew 4.21% y-o-y. The data for other editions of these dailies as well as data for other dailies will be gradually available within the next fortnight or so and we will keep you updated.Update: Bennett, Colemans VP for circulation, Vikesh Wallia, wrote in to say that our post was misleading about TOIs figures in Mumbai. BCCL publishes both TOI and ET. The clarification hinges on the distinction between circulation figures for Greater Mumbai Edition and Greater Mumbai. From his email: ABC clearly differentiates between the Edition circulation numbers and the City circulation numbers. The top line certificate is for the Edition which always serves more
Roll No. 49
233
* JJ 08 TOI includes 5671 Copies of Mumbai edition printed at GOA in Upcountry figures
Roll No. 49
234
Roll No. 49
235
Roll No. 49
236
Roll No. 49
237
Roll No. 49
238
VERIFICATION OF CIRCULATION
As per the present advertising policy of the Government of India, for release of Government advertisements, a newspaper should have a minimum circulation of 2000 copies, subject to relaxations in certain cases. Under the PRB Act, the Press Registrar or any gazette officer authorised by him can have access to any premises and to any relevant records or documents relating to a newspaper for obtaining any information regarding the newspaper. Thus, the Press Registrar is empowered to verify the circulation claims of any newspaper. The verification will be done either on-the-spot or by obtaining the prescribed
documents/records/information in the office of the RNI. Initially a notice is issued to the publisher asking for the required documents within 21 days of notice. If the advice is not complied with, two more notices are sent asking the publisher to furnish the documents within 15 and 10 days respectively. In case the documents are not received within the stipulated time or if the documents received are incomplete, the circulation claim for the
Roll No. 49
239
The documents required to be submitted are listed below: a. A Photostat copy of the annual statement for the year _____ Publishers of daily newspapers in b. may also send statement of Daily Press in form as prescribed
Annexure-X . Seven issues of each month of the calendar year ____ for the dates ____ in the case of
dailies and one set of all issues in the case of other periodicities. One copy of the latest issue may also be sent. c. Details of printing machinery i.e., make, size, speed per hour, etc. of each machine, printing schedule (pagewise) and details of other printing jobs, if any, along with Photostat copies of print orders, printing charges bills and payees receipts as proof of payment for the month of ___.
Roll No. 49
240
Roll No. 49
241
duly attested by a Gazetted Officer. Unattested copies, if received, will not be entertained. The results of the circulation check will be intimated to the publisher as far as possible within 30 days of the date of receipt of all requisite documents in the offices of RNI, or the date of on-the-spot inspection, whichever is later. Any objections to the results can be submitted within one month of the date of such intimation. The results, after consideration of objections if any, will be intimated to DAVP, concerned State Governments, and other such agencies after two months of the date of intimation to the publisher, but before expiry of three months from the said date. In addition to the circulation verification either suo-moto or as referred by DAVP, State Governments or any other public body, RNI may also entertain requests from any publisher desirous of verification of circulation of his/her newspaper, along with a copy of the latest annual statement and latest issue of the newspaper. However such requests will be entertained at the sole discretion of RNI subject to availability of resources and other constraints.
Roll No. 49
242
Roll No. 49
243
AUDIT BY CHARTERED ACCOUNTANTS FIRMS ON BEHALF OF REGISTAR OF NEWSPAPERS FOR INDIA (RNI)
Roll No. 49
244
The Registrar of Newspapers for India (RNI) receives circulation data from the publications in the prescribed annual returns which is filed by the publishers on periodical basis. The said circulation data is used by various Government departments, for example by DAVP for allotment of government advertisements and by RNI for allotment of quota for
auditors/Chartered Accountants of publisher. RNI now intends to carry out the sample verification of the circulation data submitted by the publishers from their own panel auditors (i.e. Chartered Accountants firms) to be appointed by RNI. The objective of the said audit shall be to reconfirm the correctness and geniuses of the circulation data/figures submitted by the publications in their returns/report.
II
SCOPE OF WORK/AUDIT
The scope of work to be followed by the RNI panel auditors while verifying these returns to ensure correctness and genuineness of the data furnished by publisher is outlined in brief as under. These are only suggestive guidelines and the auditor shall have access to all the
Roll No. 49
245
support to auditors. Further, the Auditor shall maintain the confidentially of the records and data and it should not be shared with any party/ person.
A)
i)
VERIFICATION OF PRINTING
The printing capacity of the publisher(s) and/or the printer of publication should be
examined keeping in view the level of printing achieved by the publisher. ii) a) Printing facility owned by the publisher:Print Order/ Daily Press Statement:
The print order which contains the number of copies edition/city-wise printed for each day/ period shall be test verified by auditors. Further, the supporting document such as indent etc. based on which the print order is prepared by publisher shall be verified and any significant variation in the number of copies be enquired so as to establish the correctness of the print order based on which the number of copies printed are mentioned in the annual statement.
Roll No. 49
246
The Machine Room Return/record which contains the details of the printing is to be maintained by the publisher. The auditor shall test verify the Machine Room Returns/records and Print orders in original. (These must be signed by some responsible officer of the publication). c) The details given in the annual return should be in consonance with the daily print Variation if any should be enquired from
publisher and if required adjustment be made in the return to give the correct data. iii) Printing at outside press:
Where a publication is printed from outside press not owned by the publisher, printers bills showing number of copies printed and the rate per form maintained by the publisher shall be verified by the auditor. Where the printing press is an associate concern, or subsidiary company, printing records maintained by such printers shall be verified by the auditor.
Roll No. 49
247
the press where the printing is owned by the publisher or at the press of the outside printing press.
B
i)
visit to the press with the dispatch challans, transporters GRN etc. In the cases where the copies are dispatched through road and where the copies are dispatched through railways air and by post parcel etc. the supporting proof for such dispatch shall be verified during their morning visit to the printing press. Further the reconciliation of the copies printed as per MRR/PO with the number of copies dispatched should be carried out on the day of visit to the press and also for some of the earlier days based on the records available in the office of the publisher. ii) The distribution/sale of publication be physically verified by visiting the distribution
centers where the copies are distributed/sold. On visit to the centre the copies dispatched from the press and received at the centre should be verified and actual distribution being
Roll No. 49
248
distribution centre of the agents be visited and auditors can verify the distribution record of such agent. (Agent who are selling more than 10% of the total supply of the publisher subject to minimum of 15,000 copies per day should be considered as the principle/sole agent for this purpose)
C)
i)
NEWSPRINT CONSUMPTION:
Receipt of Newsprint
The purchase/receipt of newsprint be verified by auditor with reference to invoice, transporter GRN, delivery/dispatch documents, packing list, bank statement and
Roll No. 49
249
suppliers may also be obtained by the auditor. ii) In case a publication has been issued Eligibility Certificate for import of newspaper, the relevant vouchers/bills and receipts in original be verified and quantity purchased should tallied with consumption. iii) Physical verification of newsprint stocks may be carried out to ensure its conformity with the records at the time of visit to publisher's office. iv) The summary reconciling acquisition with consumption of newsprint and other paper with reference to the copies printed be carried out to ensure the consumption of newsprint vis-vis the actual copies printed. v) Verification of newsprint consumption with reference to Print Orders, Machine Room returns, stock Register and/ or periodic newsprint consumption statements received from outside press.
Roll No. 49
250
D)
Copies sold through agents/ subscribers to be verified with the following:i) The sale to agents should be verified with the agents bills/ sale register, railway/ road/ air / posted delivery book etc. ii) The unsold copies received from the agents be verified with the credit notes issued by the publisher. Further, the accounts of the agents be received to ascertain the cases of unsold copies as these shall not be included in sold copies column. iii) Copies sold through subscriptions be verified with the subscribers register, postage book and delivery book etc. The records should be maintained in such a manner that the subscriber-wise and dispatch details thereof is verified.
Roll No. 49
251
deduction of commission.
commission being allowed appears to be unreasonable and which loses the significance of paid copies. The copies sold at the commission in excess of 40% shall not be included in sold copies.
E)
Financial and other records connected with printing, distribution and sale etc. of the publication will be reviewed by the auditors.
Roll No. 49
252
Based on the verification of printing, distribution and circulation records of the publication as detailed above the auditor shall draw a conclusion keeping in view the materiality of observation, whether the circulation figures as reported in the returns submitted by the publishers to RBI are correct or not. Wherever variations or inconsistency is observed with respect to printing, distribution and circulation etc, the auditors shall carry out adjustments in the circulation figures as reported by publishers in their returns and the returns will be revised and signed by the auditor and sent to RNI along with their report.
III
AUDIT PLAN:
The RNI will issue the appointment letter to the auditors along with the authority letter or the concerned publisher authorizing them to visit to their press, distribution center and office. As per the appointment letter the time period will be specified during which the audit is to be completed and report submitted normally a time frame of 4-6 weeks will be allowed. Based on this appointment letter the audit will be carried out by the auditor at any time in a surprise manner by visit to printing press, distribution centers and office of the publisher.The audit team will be formed keeping in view the number of copies printed by the publisher e.g.
Roll No. 49
253
IV
AUDIT REPORTS:
Audit observations arising from the audit will be initially discussed by the partner with the publisher during his visit to the office of the publisher at the time of finalization of the audit. Based on these discussions the audit reports along with the annual return duly signed by the auditors will be finalized and sent to the concerned officials of the RNI. The necessary discussions if any required.
V)
A)
The fees to the Chartered Accountant firms will be paid based on the number of copies printed by the publisher in the same manner as the fees is pain the Audit Bureau of
Roll No. 49
254
surprise/ recheck audit is based on the parameter that the audit of publisher is also carried out by their own empanelled auditor who are to certify the figures based on the detailed audit programme laid down by ABC. The fees for publisher Audit is not prescribed by ABC but fixed between the auditors and publisher. The fees for Surprise/ recheck audit has been kept considering that substantial procedures are followed by publisher's auditors who also issue a separate report confirming that all the prescribed guidelines of ABC have been followed. Considering the above the auditors have represented that their fees may be increased at least by 100% of the prescribed fees by ABC as detailed below since RNI has not have a established procedure which the auditors is to follow while certifying the Annual Report of RNI. No. of copies printed Upto - 25,000 25,001 - 75,000 75,001 - 1,50,000 Audit fees as per ABC 6,500 7,500 8,600 Audit fees suggested for RNI keeping in view the 100% increase in the fees offered by ABC 13,000 15,000 17,200
Roll No. 49
255
The above level of fees suggested for carrying out the audit on behalf of RNI is substantially lower as compared to level of fee as recommended by the ICAI for carrying out such special assignment.
B)
The auditors are reimbursed traveling, halting and other out of pocket expenses as actually incurred and supported by original bills by ABC for carrying out surprise/ recheck audits. Further, in the case of appointment of bank Auditors by 'Reserve Bank of India' the level of traveling lodging and boarding expenses has been fixed. Keeping in view the expenses being
Roll No. 49
256
i. Traveling Expenses:
Partner / Assistant Class of Travel First Air-conditioned Railway, Air (economy class) where the Partner distance of place to be visited is reasonably more or by A/c Taxi if the route is not served by Rail/ Air A/C II Tier Railway Fare or by Non-A/C Taxi if the route is not served by Rail/Air A/C II Tier Railway Fare or by Non-A/C Taxi if the route is not served by Rail/Air.
Qualified Assistant
Unqualified Assistant
The daily conveyance expenses for residence/ hotel to/fro railway station/ airport and hotel to/fro office/ press of the publisher will be paid at actual by Taxi in the case of partners and by Auto in the case of assistants.
Roll No. 49
257
Particulars
4000
4000
3000
2500
2000
Note:
Roll No. 49
258
Chairmans Address
Dear Friends, On behalf of your Council of Management and on my own, it gives me great pleasure to extend a very warm welcome to you all at the 61st Annual General Meeting of Audit Bureau of Circulations, this afternoon. Bureaus Annual Report and Audited Accounts for the year ended 31st March 2009 were circulated earlier. I presume you must have had an opportunity to go through the details. We shall be pleased to answer any points that you may have on the annual report and audited accounts.
COUNCIL MEMBERS:
Mr. Anil Kapoor, Chairman of your Council during the previous year 2007-2008 has desired not to seek re-election following the long standing tradition maintained by past Chairmen of the Bureau. Mr. Romit Chaterji, advertiser representative on the Council from the Tata Group also resigned from the Council following his retirement from the Tata Group. Mr. Amitabha Datta,
Roll No. 49
259
GENERAL OVERVIEW:
The past one and half year has been a difficult period for most of the industries and specially so for the print media industry. Most of the publishing houses have taken individual steps to cut costs without affecting their quality and content. Advertising industry on the whole had also slowed down in the wake of the general economic recession. Most of the publishers faced these market conditions head on by taking several steps including increasing cover price and / or reducing pagination. However, international newsprint prices did reduce during this period providing some relief to the publishers.
THE BUREAU:
Over the last many years since I am on the Council, I have come across many complaints / grievances of publisher members regarding their competitors which normally pertains to
Roll No. 49
260
Roll No. 49
261
Roll No. 49
262
Roll No. 49
263
CONDOLENCE:
On behalf of your Council, I wish to deeply condole the sad demise of Secretary, Mr. Shailesh Sheth who had devoted 28 years in the service of the Bureau. As you are aware, Mr. Sheth expired suddenly on 5th June 2009 in Mumbai. On your behalf and my own behalf, I wish to offer our deepest condolences and sympathies to his wife, children and mother. May his soul rest in peace
COLLEAGUES:
Before I conclude, I wish to thank all my colleagues on the Council for their guidance in dealing with various issues discussed at the Council. I also wish to thank Mr. Sam Balsara, Hony. Treasurer and Mr. Shashidhar Sinha, Hony. Secretary who willingly shared the responsibility in administering the Bureau.
Roll No. 49
264
Thank you,
Place : Hyderabad Date : 14th September, 2009
Ch Kiron Chairman
Roll No. 49
265
Roll No. 49
266
Roll No. 49
267
Roll No. 49
268
Secretary General
Roll No. 49
269
News Media Management COMPANY LIMITED BY GUARANTEE AND NOT HAVING A SHARE CAPITAL
MEMORANDUM OF ASSOCIATION OF AUDIT BUREAU OF CIRCULATIONS
1. The name of the Company (hereinafter called The Association is *AUDIT BUREAU OF CIRCULATIONS. 2. The registered office of the Association will be situated in the Province of Bombay. 3. The objects for which the Association is established are: a) To secure accurate circulation figures and data relating to all periodicals and media that sell advertising space and in regard to such publications to obtain information as to area of distribution and fix standard forms and methods for ascertaining the net sales figures and generally all information that will be of assistance to advertisers in estimating the value of
Roll No. 49
270
Roll No. 49
271
federation or other organisation, whether in India or elsewhere, having objects similar to those of this Association, or otherwise in any manner concerned with advertising or carrying on any business capable of being conducted so as directly or indirectly to benefit this Association. c) To puchase, take on lease or in exchange, hire or otherwise acquire any real or personal property and any rights or privileges which the Association may think necessary or convenient for the promotion of its objects, and to construct, maintain and alter any buildings or erections necessary or convenient for the work of the Association. d) To sell, let, mortgage, dispose of or turn to account all or any of the property or assets of the Association as may be thought expedient with a view to the promotion of its objects.
Roll No. 49
272
Roll No. 49
273
Roll No. 49
274
Association (hereinafter called the Council) shall consist of proprietors or publishers of newspapers or other periodicals which carry advertising and who are members of the Association or their representatives. (b) The other half of the members for the time being of the Council, shall consist of and include both (i) members of the Association who advertise commodities or services in any newspaper or periodical, or their representatives and (ii) members of the Association who are advertising agents or their representatives.
Roll No. 49
275
Roll No. 49
276
Roll No. 49
277
MEMBERS
2. For the purpose of registration the number of members of the Association is declared to be unlimited.
Roll No. 49
278
Roll No. 49
279
Roll No. 49
280
Roll No. 49
281
GENERAL MEETINGS
7. An Ordinary General Meetings of the members of the Association shall be held within eighteen months of the date of incorporation and thereafter at least once in every calendar year and not more than fifteen months after the date of the last preceding Ordinary General Meeting. Subject as aforesaid such meetings shall be held at such time and place as the Council may determine.
Roll No. 49
282
Roll No. 49
283
Roll No. 49
284
Roll No. 49
285
VOTES OF MEMBERS
19. Subject to the provisions of the Act no member shall be entitled to be present or to vote or speak on any question either personally or by proxy or as a proxy for another member, at
Roll No. 49
286
Roll No. 49
287
Roll No. 49
288
Roll No. 49
289
Roll No. 49
290
Roll No. 49
291
Roll No. 49
292
Roll No. 49
293
Roll No. 49
294
Roll No. 49
295
Roll No. 49
296
Roll No. 49
297
Roll No. 49
298
AUDIT
49. Once at least in every year the accounts of the Association shall be examined and the correctness of the income and expenditure account and balance sheet ascertained by one or more properly qualified auditor or auditors.
Roll No. 49
299
50. Auditors shall be appointed and their powers and duties shall be regulated in accordance with the provisions of Sections 224, 225, 226, 227, 229 and 231 of the Act.
NOTICES
51. (1) A notice may be given by the Association to any Member either personally or by sending it by post to him to his registered address or (if he has no registered address in the Republic of India) to the address, if any, within the Republic of India supplied by him to the Association for the giving of notices to him. (2) Where a notice is sent by post, service of the notice shall be deemed to be effected by properly addressing, pre-paying and posting a letter containing the notice, and, unless the contrary is proved, to have been effected at the time at which the letter would be delivered in the ordinary course of post. A certificate in writing signed by the Secretary or such other person as the Council may authorise for the purpose that the letter containing the notice was so addressed, prepaid and posted shall be conclusive evidence thereof.
Roll No. 49
300
Roll No. 49
301
Roll No. 49
302
newspapers/journals. DAVP maintains a list of newspapers/journals approved for release of advertisements by empanelling acceptable newspapers/journals. DAVP will empanel only such newspapers/journals as are required for issuing advertisements of the Government of India. Care is taken to empanel newspapers/journals having readership from different sections of the society in different parts of the country.
newspapers/journals for being empanelled for receiving Government advertisements. This Committee is headed by Director General, DAVP/Director, DAVP and it includes Addl. Principal Information Officer in the PIB, Press Registrar, RNI and Deputy Secretary/Under Secretary in the Ministry of Information & Broadcasting dealing with Print Media. The Committee will also have one representative each from the Association of big, medium and
Roll No. 49
303
Roll No. 49
304
Roll No. 49
305
Regularity
8. The applicant should have published the newspaper on at least 25 days in each month during preceding 12 months. Weeklies should have published 46 issues during the preceding year, fortnightlies 24 issues and monthlies 10 issues during the preceding year to be considered being brought out regularly. The applicant should also furnish a copy of the Certificate of Registration issued by the RNI in the name of the publisher. 9. Newspapers/journals having established circulation of more than 75,000 copies per publishing day, as certified by Audit Bureau of Circulation(ABC) can seek empanelment of their fresh edition from a new place without having any regular publication for preceding 12 months, but in such cases empanelment of fresh edition will be only in the lowest slab of circulation. New Editions of small and medium newspapers will also be empanelled similarly. 10. A newspaper/journal should have a minimum paid circulation of not less than 2000 copies for being considered eligible for empanelment. However, newspapers/journals in Sanskrit, newspapers/journals published in backward, border or remote areas or in tribal
Roll No. 49
306
Periodicity
Dailies Weeklies, Monthlies
Exceptions may, however, be made by PAC in the case of newspapers/journals belonging to the above mentioned category in Sanskrit etc. 12. The empanelment already granted by the DG/Director, DAVP earlier will remain valid for the duration for which empanelment has been made. 13. The applicant newspaper/journal should furnish authenticated figures of circulation of ABC, RNI or Chartered Accountant. However, Chartered Accountant Certificate will be accepted only up to 25,000 copies per publishing day for up to one year only. DAVP will take average circulation for the preceding one year as certified by ABC, RNI failing which CA (whichever is less).
Roll No. 49
307
Roll No. 49
308
http://www.davp.nic.in and newspapers may download the proforma from internet to apply for renewal of rate contract of their newspaper.Alternately, newspapers may collect the
Roll No. 49
309
Roll No. 49
310
Roll No. 49
311
Release of Advertisements
26. As soon as requisitions for release of advertisements are received from various Ministries and Departments as also from public sector undertakings and autonomous bodies, DAVP will prepare a suitable media list keeping in view the content, the target audience or the advertisement and availability of funds after consideration of the recommendations of the client.
Roll No. 49
312
27. DAVP will ensure availability of funds before the advertisements are released, especially in the case of paying clients. The Ministries and Departments, which are required to pay advance deposit for release of their advertisements, will be requested to do so by depositing the required funds as per extant orders of the Government in this regard.
Exceptions
28. Notwithstanding any of the provisions mentioned above, DG/Director, DAVP, as Chairman of the Panel Advisory Committee, will have discretion to grant provisional empanelment to a newspaper, subject to approval of the PAC, for a period of six months or till the next meeting of the PAC if the newspaper has completed all the formalities required for empanelment and otherwise found suitable for issue of Government advertisements.
Roll No. 49
313
Roll No. 49
314
INDEX
ARTICLE 1 Objects ARTICLE 2 Membership Qualifications and Obligations
2.1 Classes and Obligations of Membership 2.2 Eligibility for Membership 2.3 Forced Combinations 2.4 Periodicals Selling Advertising as a Unit 2.5 Member Representative, Proxy Execution 2.6 Application for Membership All 2.7 Application for Publisher Membership 2.8 Publisher Duty to Install and Maintain Records
Roll No. 49
315
Roll No. 49
316
ARTICLE 5 Officers
5.1 Board Officers 5.2 Chair of the Board 5.3 Secretary
Roll No. 49
317
Roll No. 49
318
ARTICLE 8 Appeals
8.1 Appeal to Board of Directors 8.2 Procedure
ARTICLE 9 Resignations
9.1 Publisher 9.2 Non-Publisher 9.3 Release of Right to Assets 9.4 Reinstatement of Membership
Roll No. 49
319
ARTICLE 11 Amendments
11.1 Bylaws in Force 11.2 Change in Bylaws and Rules
Roll No. 49
320
321
Roll No. 49
322
Roll No. 49
323
A newspaper that meets the requirements of Bylaw 2.13 may be a provisional member.
Roll No. 49
324
Roll No. 49
325
Roll No. 49
326
Roll No. 49
327
Roll No. 49
328
Roll No. 49
329
Roll No. 49
330
Roll No. 49
331
2.12 Calculating Percentage of Paid Circulation For purposes of calculating the percentage of paid circulation, checking copies to advertisers and advertising agencies, plus an average of not to exceed 500 copies per issue for promotion copies to advertisers, prospective advertisers and advertising agencies, shall not be included in the total distribution. 2.13 Provisional Membership (Newspapers Only) No newspaper shall be admitted to or retained in publisher membership in the Bureau unless it has and maintains paid circulation in accordance with the bylaws and rules of the Bureau except as follows:
Roll No. 49
332
membership under the definition in Bylaw 2.11 not later than the period covered by the sixth regular six-months' Publisher's Statement filed by the publication following the date of admission to provisional membership, or that in the event the publication does not qualify for regular membership under the definition in Bylaw 2.11 as provided above, the provisional membership in the Audit Bureau of Circulations will thereupon terminate without further action. (b) Any newspaper that has maintained a paid circulation of 70 percent as defined in Bylaw 2.11 for at least one complete audit period and subsequently drops below 70 percent paid circulation in either a Publisher's Statement or an Audit Report but has at least 50 percent paid circulation, shall immediately upon notification in writing by the managing director,
Roll No. 49
333
Roll No. 49
334
Roll No. 49
335
Roll No. 49
336
Roll No. 49
337
Roll No. 49
338
2.18 Waiver of Damages and Indemnification (a) Purpose and Scope. To maintain the economic well-being of the Bureau for the benefit of the membership as a whole, the following provisions shall constitute a condition of membership, shall bind each member (and successor) and shall be for the direct protection of the Bureau (including its directors, officers, employees and agents). (b) Limited Damage Waiver. Each member waives any right to assert claims for money damages against the Bureau or its subsidiaries for any action, negligence or breach relating to its performance or nonperformance of its activities or services, except that this waiver shall not apply to damages that are determined by final adjudication to have arisen from
Roll No. 49
339
Roll No. 49
340
proceedings relating to such member. (e) Enforcement. Any costs and expenses (including reasonable attorneys' fees) incurred by the Bureau or its subsidiaries to successfully enforce these provisions against any member shall be reimbursed by the member of the Bureau. (f) Existing legal rights. The provisions of this bylaw shall supplement whatever rights and protections, including common law rights to contribution or indemnification, that the Bureau and its subsidiaries may otherwise have by separate agreement or operation of law, but in no event shall the Bureau and its subsidiaries be entitled to more than a full recovery in any claim for reimbursement for a loss, cost or expense.
Roll No. 49
341
Roll No. 49
342
Roll No. 49
343
Roll No. 49
344
Roll No. 49
345
Roll No. 49
346
Roll No. 49
347
disseminated, or from whatever source the copyrighted data was originally acquired. (b) Any member furnishing circulation and other data to ABC, as is periodically required under the terms of being a member, or, to the Bureau's Data Bank, or any member being furnished, supplied or sold, with or without compensation, any data from the Bureau's Data Bank, is subject to the following provisions: (1) ABC obtains legal title to all data supplied by members by an automatic assignment of title to the data from each member to ABC. ABC shall retain legal title to all data furnished to members. (2) Members are granted the non-exclusive legal right to use any data or other publication protected or owned by ABC only in accordance with the terms set forth specifically in the Publicity Rules and only in accordance with all other bylaws, rules and policies. ABC shall
Roll No. 49
348
Roll No. 49
349
Roll No. 49
350
Advertiser Division at least eight members. Advertising Agency Division at least seven members.
There shall be a combined total of sixteen U.S. Advertiser and Advertising Agency member representatives and three Canadian Advertiser and/or Canadian Advertising Agency member representatives on the ABC Board of Directors.
Newspaper Publisher Division eight members. Magazine Publisher Division five U.S. members.
Roll No. 49
351
Farm Publication Publisher Division one U.S. member. Business Publication Publisher Division two U.S. members. Magazine Publisher Division, Farm Publication Publisher Division, and Business Publication Publisher Division, jointly one member identified as the Canadian Periodical Publisher Director (who shall be a Canadian member of one of these three divisions).
For the purpose of choosing the eight newspaper directors to the Board of Directors, the following classes of newspaper membership shall exist: Class 1 All Newspapers published in Canada. Class 2 Daily Newspapers at-large published in the U.S. Class 3 Daily Newspapers at-large published in the U.S. Class 4 Daily Newspapers having 250,000 or more net paid circulation published in the U.S.
Roll No. 49
352
Roll No. 49
353
Roll No. 49
354
Roll No. 49
355
Roll No. 49
356
Roll No. 49
357
Roll No. 49
358
Roll No. 49
359
Roll No. 49
360
Roll No. 49
361
Roll No. 49
362
Roll No. 49
363
Roll No. 49
364
Roll No. 49
365
Article 5 - Officers
5.1 Board Officers (a) The officers of the Bureau shall consist of a chair of the board, four vice chairs (who may at the option of the board be designated first, second, third and fourth vice chair respectively), a secretary and a treasurer. One of the vice chairs shall be a representative of
Roll No. 49
366
Roll No. 49
367
Roll No. 49
368
5.4 Treasurer The treasurer shall supervise the accounts of the Bureau, receive all monies, pay bills when properly approved and preserve vouchers for all payments. The treasurer shall render a report at the annual meeting of the Bureau and such other reports as may be required from time to time by the Board of Directors. 5.5 President and Managing Director (a) The president in the capacity of managing director, and hereinafter referred to in this section and in the rules as the ''managing director," shall, subject only to the general supervision of the Board of Directors, be charged with the responsibility for directing all operations of the Bureau required for carrying on the work and accomplishing the objects of the Bureau as authorized by the Board of Directors. He/she may, subject to the approval of
Roll No. 49
369
Roll No. 49
370
5.6 Bonding Officers or Employees Such officers or employees as may be designated by the Board of Directors may be bonded for such sums as may be determined by the Board of Directors, the premiums on such bonds to be paid by the Bureau.
Roll No. 49
371
Roll No. 49
372
Roll No. 49
373
Roll No. 49
374
Roll No. 49
375
Roll No. 49
376
Roll No. 49
377
Roll No. 49
378
Roll No. 49
379
Roll No. 49
380
Roll No. 49
381
Roll No. 49
382
Roll No. 49
383
Roll No. 49
384
Roll No. 49
385
Roll No. 49
386
Roll No. 49
387
Article 10 - Exceptions
10.1 To Bylaws and Rules The Board of Directors may at any time and from time to time grant a member an exception to the rules, standards or bylaws of the Bureau. Such exceptions may be granted when in the opinion of the Board it would be equitable considering the circumstances of the requesting member and other members who are similarly situated or when, in the opinion of the Board, the circumstances peculiar to the requesting member are such that enforcing the rule, standard or bylaw will not accomplish the intended purpose or will work a substantial hardship on the requesting member.
Roll No. 49
388
10.3 Vote Required An affirmative vote of two-thirds of all the directors then present and voting on the resolution at the Board meeting at which it is presented shall be required to grant any requested exception to the bylaws, rules or standards of the corporation.
Roll No. 49
389
Roll No. 49
390
Roll No. 49
391
Roll No. 49
392
BIBLIOGRAPHY
I have referred the following secondary sources have been used by me as dated between 1 December, 2009 till 31 December, 2009 for the successful completion
st st
Websites
www.google.com www.wikipedia.com www.yahoo.com
___________________________
___________________________
Abhilasha Yadav
Roll No.49
Roll No. 49
393