IPO-bound Ullu courts trouble for explicit content, IT ministry urged to take action

IPO-bound Ullu, an OTT platform which offers movies and series targeted at an adult audience, has courted trouble with the National Commission for Protection of Child Rights (NCPCR) urging the IT ministry to take action for making sexual content easily accessible to minors and for hosting alleged sexual content depicting school-going children.

The national child rights body, in a letter on February 27, has urged the Ministry of Electronics and Information Technology to take action against Google and Apple and also to mandate stricter Know Your Customer norms for users accessing Ullu and similar apps on app stores.

The NCPCR has told the ministry to respond with a detailed report with required information within 10 days.

This comes at a time when Ullu, which has over 20 lakh subscribers, has filed the draft papers with the BSE SME to raise Rs 150 crore through a public issue. Ullu plans to use the proceeds to make content for the big screen and then bring it to the smaller screen.

Moneycontrol has reached out to Ullu, Google, Apple and Ministry of Electronics and Information Technology with queries on the matter and the article will be updated when a response is received.

“The commission has received a complaint from gems of Bollywood alleging that the Ullu app, accessible on both Play Store and iOS mobile platforms, contains extremely obscene and objectionable content,” NCPCR chairperson Priyank Kanoongo said in the letter to MeitY.

Moneycontrol has reviewed the contents of the letter.

“The app is easily accessible on Google and Apple and does not seem to have any KYC requirement for downloading or viewing any content it makes available to its private group,” the letter further added.

Kanoongo, in the letter, also refers to alleged shows on the app that target school kids with explicit sexual scenes and plotlines. “Screenshots of one of the shows has also been annexed by the complainant where sexual intercourse has been depicted between school children. The copy of the complaint is enclosed,” said the letter.

He also asked MeitY to provide information in regard to the regulations and policy certification governing such apps.

“Considering the gravity of the situation, the Commission, under Section 13 of CPCR Act, 2005, recommends your good office to inquire into the present matter and take appropriate action against the Ullu app, Google play store and iOS as per the law,” Kanoongo said in the letter.

The letter also requested for stringent measures mandate KYC procedures for all such applications streaming these types of videos available on Google Play Store and iOS to protect the children from accessing such apps.

Ullu plans to spend Rs 30 crore out of the IPO proceeds on the production of new content. It purchased content worth Rs 31 crore in FY23, up from Rs 26.5 crore a year back. Its cost of production went up to Rs 9.5 crore in the last financial year from Rs 3.7 crore in FY22, the draft IPO papers said.

With the platform’s content library expanding, the company has also hiked its prices to its subscribers in recent years, raising the annual subscription plan from Rs 198 in 2020 to Rs 459. MoneyControl