Monday, 18 February 2019

GENERAL UPDATES 18.02.2019





RBI GOVERNOR SHAKTIKANTA DAS TO MEET BANK HEADS ON FEBRUARY 21

Reserve Bank Governor Shaktikanta Das on Monday said he will meet heads of public and private sector banks this week to discuss transmission of interest rate cut to borrowers. Speaking to reporters after Finance Minister Arun Jaitley addressed the board of the central bank, he said transmission of monetary policy decisions is important He said he will meet the heads of public and private sector banks on February 21.
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PROJECT DELAYS TO DEFAULTS, BANKERS FLAG ISSUES ON REALTY SECTOR EXPOSURES

Banks have highlighted issues like delay in project completion, lack of fund sources, divergence of money, governance and defaults as reasons for their hesitation to take up additional exposure to the real estate sector This comes after Union cabinet minister Piyush Goyal’s statement that bankers will meet real estate players in a forthright. The sector has been hit hard by demonitisation and the Real Estate Regulations (RERA). This is in addition to challenges like delays in project completion, questionable sources of funds and divergence of money and weak project management practices, bankers said. A few days ago, while addressing a Confederation of Real Estate Developers' Associations of India (CREDAI) event in Delhi, interim finance minister Piyush Goyal had said that within the next 7-15 days, the Indian Banks' Association (IBA) will hold a meeting with the real estate players to help increase funding to the sector. The minister also assured that goods and services tax (GST) rates would be brought down soon for the sector, which has been facing a demand slack. There is a real problem (being faced by the realty sector), Goyal said. Rating agency ICRA, in its outlook on the real estate sector, said the residential realty segment has been increasingly relying on non-banking financial companies (NBFCs) and housing finance companies (HFCs) to raise debt financing. This is owing to the risk perception attached with the segment by banks. The liquidity crunch faced by the NBFC and HFC segment towards the mid of FY2019 has impacted fund availability to the real estate sector. If the current scenario persists in FY2020, it may cause credit stress to developers who are reliant on refinancing to support balance sheets on land assets or slow-moving inventory, ICRA added.
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PROVIDENT FUND RATE MAY BE RETAINED AT 8.55%

The government is likely to retain the provident fund interest rate at 8.55% despite the decline in interest rates, benefitting over 60 million subscribers of the Employees’ Provident Fund Organisation (EPFO). The Central Board of Trustees (CBT) of the EPFO will meet on Thursday to consider the return for the current year besides an increase in the minimum pension for subscribers. The doubling of the minimum pension under the Employee Pension Scheme (EPS) of the EPFO will benefit nearly 5 million subscribers. There is an FIAC (finance, investment and audit committee) meet just before the CBT meet on Thursday in which we will get a clear picture on the accounts of EPFO and the rate of interest that can be offered. But we hope it will be retained at the existing level, said Prabhakar Banasure. The CBT is a tripartite body with representatives from the government, employers and trade unions headed by the labour minister. It is the apex decision-making body of the EPFO. The 8.55% rate is higher than that available on government small savings schemes, the return on which is benchmarked to market rates.
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15 LAKH SALARIED EMPLOYEES WITH PF A/CS STUCK WITH TOXIC IL&FS BONDS

A new threat looms large for the government in an election year. A spanking new but restive community of salaried employees is concerned about its money deposited with the Employees Provident Fund Organisation (EPFO). At the cutting edge of the ever burgeoning IL&FS crisis, these employees are exposed to toxic investments. Most of these Employee Provident Funds and Employee Pension Funds have stated that the IL&FS resolution plan must provide repayment before secured creditors as the resolution framework proposed by the company doesn't provide for any payment to secured creditors. A sense of panic has crept in. They have collectively invested thousands of crores of rupees in IL&FS bonds. Many say that the resolution framework must balance interest of all stakeholders. Others have also challenged Sec 53 of the payment schedule distribution process as it doesn't address public and social interest. Since these are tradeable instruments, the exact quantum is not known, but investment bankers estimate it to be in thousands of crores since the infrastructure company's bonds - which were 'AAA' rated - were preferred by retirement funds that have a low-risk appetite but still have to get assured returns even when interest rates are low. The growing discontent is across some of the blue chip Indian corporates. Some of these that have filed an intervening petition with the tribunal, thereby impleading themselves in this gargantuan case on how to run a corporate into the ground. As many as 15 lakh salaried employees across different sectors are caught in this ticking time bomb and the number is only likely to go up as the true extent of the malaise is known and understood. Till September last year, Indian rating agencies, not realising that IL&FS was set to implode, were giving Triple A rating to the bonds. With elections around the corner, this new expose will further polarise debate. After all it is salaried employees who are now staking claim to their hard-earned monies.
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SC DECLINES TO STAY TDSAT ORDER FAVOURING RCOM ON SPECTRUM ROW

In a relief to Reliance Communications (RCom), the Supreme Court on Friday refused to stay a Telecom Disputes Settlement and Appellate Tribunal (TDSAT) order that had upheld the Anil Ambani-owned firm’s appeal in the One-Time Spectrum Charge (OTSC) petition In its February 4 order, TDSAT had upheld RCom’s petition that challenged the Department of Telecommunications’ (DoT) decision to impose OTSC on its contracted CDMA and GSM spectrum resources. TDSAT held that the operator’s spectrum holdings of up to 5 MHz of CDMA and up to 6.2 MHz of GSM spectrum were exempt from OTSC levies TDSAT had set aside OTSC on RCom’s spectrum. The Anil Ambani group filed an Intervention Application (IA) with the Supreme Court last week, which was heard on Friday. The move comes as a breather for RCom, which had earlier approached the National Company Law Tribunal (NCLT) with a debt resolution plan. The company also continues to pursue the deals with Reliance Jio Infocomm (RJio) outside the NCLT. The management had proposed a resolution plan as part of the NCLT process which is similar to the one pursued outside. The key elements of the process still remains the same, and the move will be helpful to RCom, as under the majority rule, the NCLT needs 66 per cent approval from minority lenders against 100 per cent outside.
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FERA CASE: SC STAYS TRIAL COURT PROCEEDINGS AGAINST TTV DHINAKARAN

The Supreme Court on February 18 stayed the proceedings of a Chennai court relating to the 1996 Foreign Exchange Regulation Act (FERA) case lodged against AMMK leader TV Dhinakaran. A bench headed by Chief Justice issued notice to Dhinakaran and sought his reply on the petition filed by ED challenging the Madras High Court order of June 25, 2018. The bench, also comprising Justice Sanjiv Khanna, was not in agreement with the Enforcement Directorate that the trial should continue during the pendency of the appeal before the apex court. The probe agency had filed an appeal against the high court order by which lower court was directed to order the ED to provide copies of the documents of the case to Dhinakaran. The high court had also dispensed with the appearance of Dhinakaran except when ordered by the trial court. The case against Dhinakaran was that he allegedly acquired $1,04,93,313 in foreign exchange without obtaining permission from the Reserve Bank of India and deposited it in the current account of Dipper Investments Ltd., a company incorporated in the British Virgin Islands, and having account with Barclays Bank in UK.
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NO YET APPRISED OF GOVERNMENT'S DECISION ON TELECOM OMBUDSMAN: TRAI TO DOT

Regulator TRAI has written to the telecom department that it has not yet been apprised of the government's decision on the proposed grievance redressal mechanism or ombudsman for the telecom sector despite a reminder, and that the position on the same should be conveyed to it. In the letter addressed to Telecom Secretary Aruna Sundararajan, the Telecom Regulatory Authority of India (TRAI) noted that officials of the Department of Telecom (DoT) informed the Parliamentary Standing Committee in a recent meeting that the government has approved a three-tier structure for resolution of consumer grievances in the telecom sector through setting up of an ombudsman. However, TRAI has not received any communication from the Government in this regard, the letter said. TRAI has asked DoT to apprise it of the decision taken by the government on the said recommendations. It is pertinent to mention that as per TRAI Act, the Government needs to refer the matter back to the authority in case the Government has taken any view other than the recommendations made by TRAI, the regulator said. Telecom grievances mechanism till date has largely remained within control of the service providers. Under present norms, telecom subscribers can register a complaint with the call centre of their service provider. It can be escalated to the nodal officer of the telecom operator in case the complaint is not resolved, and thereafter the appellate authority set-up by the service provider.
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GOVERNMENT-BACKED 5G TRIALS HIT A POLICY SNAG

Government-backed field trials of fifth generation cellular mobile communications technology appear to have hit a snag even before their start. The wireless planning wing of the Department of Telecommunications (DoT) has said that free spectrum for 5G trials can be allocated only for 90 days citing current rules. But mobile phone operators and equipment vendors have said that at least a year is needed to run complicated field trials. A senior government official said that current rules impose a time limit of 90 days and that no decision has been taken yet on whether 5G airwaves for trial purposes could be allocated for a year. Allocation of the trial spectrum merely for 90 days is too short and will not serve the desired purpose, said Rajan S Mathews, director general, Cellular Operators Association of India (COAI). The industry body that represents Vodafone Idea, Bharti Airtel and Reliance Jio said that a considerably longer period would be required by the stakeholders to conduct major 5G trials including fine-tuning of operations, troubleshooting of different applications and collection of relevant data for more efficient full-scale deployments later. Telecom service providers and gear companies fear that if the 90-day period lapses, then they may be forced to pay commercial spectrum charges in addition to penalties. There should not be any penal provisions in case suitable justification is submitted for the extension of trial period, Mathews said. Otherwise, he said, it would only serve as a deterrent to conduct 5G trials. The government has already invited incumbent telecom operators – Vodafone Idea, Bharti Airtel, Reliance Jio and Bharat Sanchar Nigam Ltd (BSNL), in addition to network vendors such as Cisco, Huawei, Samsung, Ericsson and Nokia to undertake 5G-based pilots and showcase India-centric use cases by early 2019. The government expects commercial 5G services to be rolled out in 2020.
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INDIA TO USE AI FOR GOOD GOVERNANCE – SURESH PRABHU

Suresh Prabhusaid that Government will use Artificial Intelligence (AI) for good governance and proper regulations and corrective action will be taken to protect citizen’s privacy and ownership of data. India is transporting more data than US and China put together and the top six companies in the world are using this data with value addition and monetization. Suresh Prabhu added that India is strengthening its legal system and regulatory framework to deal with this world of digital data. The Minister said that AIis the technology of today and one who masters this will rule the world. Every country is developing an AI strategy and India too is working on developing a strategy for the use of AI for the common good. This is the first time in human history that machines are taking decisions based on data and experience and we have to learn to deal with this kind of decision making. Government will have to put in place mechanisms on how data is used and algorithms are written. As all the data being generated in world today is being controlled by few companies, it is creating asymmetries as very few create, understand and use this data. This has given rise to a very powerful elite who are controlling millions of lives. Government will have to take massive efforts in the fundamental education of every Indian from school level so that access to mathematics and technology is available to each and every student. In the present world those who can’t access technology will be on the other side as AI is creating an ethical divide. Therefore, education at the foundation level has to be upgraded urgently.
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TRADERS BODY CALLS FOR NATIONWIDE MARKET BANDH ON MONDAY

Traders' body CAIT has called for a nationwide trade bandh on Monday to express solidarity with the families of security personnel martyred in the Pulwama terror attack. In a statement, the Confederation of All India Traders (CAIT) said commercial markets will remain closed and there will be no business activity In Delhi, all wholesale and retail markets will observe bandh on February 18. CAIT Secretary General Praveen Khandelwal said during the bandh traders would observe a day long fast and take out a tribute march in their respective states. He said the body is planning to organise substantial financial assistance which will be directly given by traders to the families of martyrs.
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JET AIRWAYS PLANS TO RAISE ABOUT RS 2,500 CRORE THROUGH RIGHTS ISSUE

Cash-starved Jet Airways plans to raise about Rs 2,500 crore through a rights issue. Its lenders are also looking at a debt-to-equity conversion While lenders may convert Rs 1,000 crore of debt into equity they will also participate in the equity infusion through a rights issue as part of the deal. Additionally, promoter Naresh Goyal and Etihad Airways, which owns a 24 per cent stake in the airline, will infuse around Rs 2,000 crore into the airline, sources aware of the development said. Lenders are expected to participate in a rights issue to raise capital. Government-owned infrastructure fund National Infrastructure Investment Fund (NIIF) is likely to buy a 19 per cent stake for Rs 1,500 crore. Along with the NIIF, banks will own a 51 per cent stake in the company. The NIIF was approached by lenders after Etihad Airways refused to increase its stake beyond 25 per cent without an exemption from open offer. The Securities and Exchange Board of India (Sebi) did not agree to the idea. Sources said Etihad Airways would infuse around Rs 1,450 crore to maintain its stake at 24 per cent, promoter Naresh Goyal would bring in Rs 550 crore to hold around 21 to 22 per cent. Goyal has already infused Rs 250 crore into the airline. On Thursday, the company’s board approved a draft resolution plan, which comprises conversion of debt into 110.4 million shares.
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TV18 WRITES TO TRAI REGARDING INCORRECT GENRE CATEGORIZATION OF REPUBLIC BHARAT

Television company TV18 Broadcast Ltd has written to the Telecom Regulatory Authority of India (Trai) to complain against the incorrect genre categorization of the recently launched channel Republic Bharat. The Hindi news channel owned by Arnab Goswami’s ARG Outlier Asianet News, launched on 2 February, 2019, is being placed outside its declared genre that is, Hindi news on several cable networks, TV18 says. We verily believe that the said channel is being deliberately and mala fide, placed outside its genre at the behest of broadcaster of Republic Bharat so as to enable Republic Bharat to illegally garner higher BARC ratings and increase viewership TV18 said in a statement dated 6 February, 2019. Republic Bharat recorded a reach of 73 million in its opening week according to television monitoring agency BARC (Broadcast Audience Research Council). A Trai spokesperson admitted having received the complaint and said the regulator was examining the issue. This so because genres where Republic Bharat is being placed either have better viewership and ratings when compared with Hindi news genre or ensure that Republic Bharat catches viewers’ attention and gets sampled in non-Hindi news genre. As such, by placing Republic Bharat in non-Hindi news genres, an unfair and undue advantage is being given to Republic Bharat when compared with competing channels that continue to be listed in correct/Hindi news genre, the statement added. About 100 cable networks across the country including Omnero Media Pvt Ltd, Star Cable Network and Digitel Cable Network in places like Hamirpur (Himachal Pradesh), Aklera (Rajasthan) and Haridwar (Uttarakhand) are allegedly carrying incorrect genre classification of Republic Bharat. The action, TV18 says, is a violation of Trai’s broadcasting regulations especially sub-regulations 2 of regulations 18 of The Telecommunication (Broadcasting and Cable) Services and Interconnection (Addressable Systems) Regulations, 2017.
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WOMEN CONTINUE TO ‘WAGE’ A DAILY BATTLE FOR PAY PARITY

Under the provisions of the Minimum Wages Act, 1948, the wages fixed by the appropriate government are payable equally to both male and female workers in all sectors, including agriculture, and the Act does not discriminate on the basis of gender the Government had told the Lok Sabha early this week. However, an analysis of available data tells a different story. Even as daily wages of women have increased more rapidly than those of men particularly in recent times (2004-05 to 2011-12), the gender gap still remains wide. The Labour Bureau in India has been compiling and maintaining average daily wage rates in rural areas for select agricultural and non-agricultural occupations on the basis of data collected by the National Sample Survey Office (NSSO). Data based on a 2017 survey show that the average daily wage rates for general agricultural labourers were 264.05 for men and 205.32 for women. It means that women workers in the sector get 22.24 per cent less than men. For non-agricultural labourers, the average daily wage rate for men is 271.17, while for women it is 205.90, which is 24.06 per cent less. The International Labour Organisation (ILO) estimates based on NSSO data show that female workers in India are paid a lower wage rate than their male counterparts in each employment category (casual and regular/salaried) and location (urban and rural), although the differences are smaller — on average — in urban areas. The gender gap in India remains very high by international standards, despite the raw gender wage gap (the difference in average pay between men and women, as a proportion of men’s wages) declining over time: it has fallen from 48 per cent in 1993–94 to 34 per cent in 2011–12. The gap can be observed among all types of workers. As a result, of all worker groups, the average daily wages of casual rural female workers is the lowest (104 per day). Globally, the gender wage gap has narrowed significantly in the last two decades. In 2015, it was estimated to be about 23 per cent, with women earning 77 per cent of what men receive, on average. Data from the ILO show that in 2011–12, the gender wage gap oscillated between 22 per cent and 39 per cent across different categories by location and status of employment, and was lowest among regular urban employees (22 per cent). Over time, the gender wage gap narrowed for all subgroups with the most recent period (2004–05 to 2011–12) contrasting with a rather mixed picture in the earlier period (1993–94 to 2004–05). To reduce the gender wage gap, the government has enacted Equal Remuneration Act, 1976, which provides for payment of equal remuneration to men and women workers for the same work or work of similar nature without any discrimination. To enforce the Act, Central and State governments conduct regular inspections. However, the rules and regulations do not seem to have bridged the gender gap.
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ALL ARUNACHAL GOVERNMENT OFFICES WILL BECOME PAPERLESS BY 2021: CM PEMA KHANDU

All state government offices in Arunachal Pradesh will become paperless e-office by 2021 Chief Minister Pema Khandu has said. The state government is giving a big push to the usage of information technology (IT) in governance and by 2021 all government offices will become paperless e-office, Khandu said on Friday while launching WiFi hotspots for Tawang and Dirang districts at Tawang. The chief minister said the advantage of having paperless e-office is to stop manipulation, ensure transparency and provide easy access of services to the people. Khandu said the WiFi services have been rolled out as per the budget announcement and similar hotspots were launched earlier in several educational institutions in the state capital, a CMO release said here. The chief minister said 66 access points in Tawang and 12 in Dirang would be installed, which would be capable of providing WiFi service to 124 users at each access points. Khandu lauded the Tawang district administration for carrying out the Sarkar Aapke Dwar (government at your doorstep) programme effectively across the district.
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MORE SOPS FOR AP RYOTS, TOTAL AID PER ANNUM GOES UP TO RS 15K

In fresh sops to ryots ahead of Lok Sabha polls, the Andhra Pradesh government Saturday further modified the 'Annadaata Sukhibhava' scheme announcing an extra financial assistance of Rs 5,000 per annum to small and marginal farmers taking the total to Rs 15,000. The overall assistance includes Rs 6,000 announced by the Centre in its interim budget on February 1. The state government, on its own, would pay Rs 10,000 per annum to farmers with a landholding of over five acres, N Chandrababu Naidu said Saturday evening. On February 13, the state Cabinet decided to uniformly grant Rs 10,000, at the rate of Rs 5,000 per crop season, to all farmers irrespective of the landholding. While the Central government fixed a cap of five acres for the financial assistance, the state government decided to make it open-ended. What the Centre is going to give is not adequate. We have previously decided to give an additional Rs 4,000 but now we have decided to make the state component Rs 9,000 per annum. Thus, farmers up to a landholding of five acres will get Rs 15,000 per annum (Rs 6000 from Centre and Rs 9,000 from state) for Kharif and Rabi seasons. Those holding more than five acres will get Rs 10,000, which will be totally the state government contribution, the Chief Minister said after laying the foundation-stone for the Muktyala Lift Irrigation Scheme. According to state government estimates, there are about 54 lakh farmers with a landholding of less than five acres and another 10-15 lakh with over five acres each. The Telugu Desam Party government is also working on guidelines for extending the scheme to tenant farmers as well.
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THE COMING LOK SABHA POLLS WILL BRING GOOD RESULT, HOPES AMARTYA SEN

Nobel laureate and economist Amartya Sen has said primary education and healthcare have not received the desired attention in India but sounded optimistic that the upcoming Lok Sabha elections will bring some good results He claimed that schemes such as Ayushman Bharat and Rashtriya Swastha Bima Yojana do not aim at improving primary healthcare in the country. Just giving money will not help primary healthcare and the schemes are guided by narrow thinking. only to take credits, Sen said. He also alleged that the amount of money spent for improvement of health and education is not enough in this country. Primary healthcare is being neglected, the Nobel laureate said, adding those who can afford it, go to private facilities as the condition of government primary healthcare is not up to the mark. He, however, expressed hope that the forthcoming general election would yield some good results. Everyone is excited about the forthcoming (Lok Sabha) election and we hope that the result will be good, the country will progress. I am not a pessimist. I believe in democracy, Sen said. Improved primary healthcare and education have caused economic progress in China. They can produce a lot of things. Because the people there have basic education and they can maintain quality control, Sen said.
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SHIPS BUILT IN INDIA TO GET PRIORITY IN CHARTERING UNDER REVISED GUIDELINES OF SHIPPING MINISTRY

In a big step to promote the Make in India initiative and incentivize ship building activity in the country, the Ministry of Shipping has revised its guidelines for chartering of ships by providing Right of First Refusal (RoFR) to ships built in India. Henceforth, whenever a tendering process is undertaken to charter a vessel, a bidder offering a ship built in India will be given the first priority to match the L1 quote. It is expected that this priority given to ships built in India will raise the demand for such vessels, providing them with additional market access and business support. Prior to the revision of the guidelines, the RoFR was reserved for Indian flag vessels as per the relevant provisions of Merchant Shipping Act, 1958. The existing licensing conditions have been reviewed in consonance with the Government of India’s policy of promoting the Make in India initiative and the Public Procurement and Make in India orders dated 15.6.2017 and 28.05.2018 issued by DIPP. The review is also in line with the need to give a long term strategic boost to the domestic shipbuilding industry, the need to encourage the domestic shipping industry to support the domestic shipbuilding industry, and the need to develop self- reliance and a strong synergy between these vital industries for the overall long term development and economic growth of the country. The Ministry of Shipping has also laid down eligibility conditions and rules for exercise of the RoFR. The RoFR would be exercised only in case the vessel being offered for charter by the lowest bidder (L1) has been built outside India. For any bidder to exercise RoFR, his bid should be within the Margin of Purchase Preference, which will be 20% of L1. The two instances under which the RoFR may be exercised are that the L1 bidder is a Foreigner or Company registered outside India, offering a ship not built in India and the L1 bidder is a Citizen of India OR company registered in India OR Society registered in India OR Indian Shipping company/organization with a vessel registered/flagged in India, offering a ship not built in India. From amongst the bidders eligible to exercise RoFR, the priority to exercise this Right would lie in sequence from the lowest to the highest bidder within the margin of purchase preference.
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UP PROCURES RECORD 4.65 MN TONNES PADDY, BARELY ENOUGH SPACE TO STORE IT

The record paddy procurement of 4.65 million tonnes (MT) so far in the current kharif marketing season is testing the food grain storage capacity in Uttar Pradesh. According to sources, the state currently has warehousing capacity of nearly 5.4 MT, which has inhibited any procurement beyond a point, although the procurement potential was much higher than the target of 5 MT for paddy this season. Against the target of 5 MT, the 3,253 state run procurement centres have already clocked nearly 4.65 MT of the cash crop, which corresponds to 93% of the target and counting. In 2015-16, the state had registered the second highest level of paddy procurement at a little more than 43 MT. The annual procurement is projected to rise by 5% every year, so we have planned to ramp up warehousing capacity to 8 MT over the next 5 years, a senior food department official said. Fresh storage capacity of 1.2 MT is being created in the government sector with additional 0.6 MT in the private sector under the Private Entrepreneurs Guarantee (PEG) scheme, totalling 1.8 MT, which would be available within the next 2 years. The state farmers had already been paid about Rs 8,225 crore against the procurement. Ahead of the 2019 Lok Sabha elections, the ruling Bharatiya Janata Party (BJP) does not want to give any leeway to opposition to corner the government over agricultural issues, including farm distress or slow procurement. In 2016-17 and 2017-18 seasons, the government could achieve paddy procurement of only 3.5 MT and 4.3 MT respectively against the target of 5 MT. The procurement process was slower in the initial months, which had also attracted the ire of the chief minister. Later, the government relaxed online verification for procurement of up to 10 tonnes, which boosted the process. Procurement had started from October 1 in western UP and a few central UP districts. It continued until the end of January 2019. The process in eastern UP and the remaining central UP districts started from November 1 and will continue till the end of February 2019. This season, the state had hiked the paddy minimum support price (MSP) by Rs 180 to Rs 200 per quintal (100 kg). The price was revised from Rs 1,550 per quintal to Rs 1,750 per quintal for the common variety, the corresponding figure for Grade-A paddy was increased from Rs 1,590 per quintal to Rs 1,770 per quintal. For robust procurement of paddy, the state announced bonus of Rs 20 per quintal over MSP, up from the Rs 15 per quintal bonus last year. This year, UP paddy acreage is estimated at 6 million hectares (MH). The state is among the top food grains producers, including paddy, wheat, maize, apart from millets and coarse grains.
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PM-KISAN TO PROVIDE MULTIPLE BENEFITS TO FARMERS: CEA

Farm income support scheme PM-KISAN will provide multiple benefits to farmers including improving their credit worthiness, said K V Subramanian. The Pradhan Mantri Kisan Samman Nidhi Yojana (PM-KISAN) was announced in the Interim Budget 2019-20, under which Rs 6,000 will be given in three instalments to 12 crore small and marginal farmers holding cultivable land up to 2 hectare. Producer support in India is very low compared to the other countries and the scheme will help in supplementing that, he told. Across countries, producer support for farmers are quite high. The recent OECD study which talks about producers support in India is quite low. This section is the one which will be feeding 125 crore mouths and you have a population which is growing at less than 1 per cent and food production is growing at greater than 3 per cent, he said. Therefore, Subramanian said, there will be surpluses leading to fall in prices impacting income of farmers Moreover, he said, the reason farming is supported in a lot of countries is that the risk-return trade-off is bad in the sector. Therefore, this constituent required support. There is definitely a case for supporting in a way that does not create distortion, he said. The average income of farmers in 2015-16 was about Rs 30,000 and, hence, Rs 6,000 would be 20 per cent, Subramanian said. If you have assured cash flow, banker can collateralise that and lend to the farmer up to Rs 24,000 in a year.
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FARM SECTOR DOLES 'DISTURBING TREND', WILL IMPACT GROWTH: Y V REDDY

Former Reserve Bank of India Governor Y V Reddy Sunday termed the recent trend of rolling out doles for the farm sector including the Union Budget's basic income scheme, as a disturbing trend which will impact fiscal stability, growth and also Centre-state relations. He said such ideas can lead to irreversible fiscal deterioration and conflicts between the Centre and the states, and pitched for alternatives like having a agricultural distress fund contributed by both the states and Centre, rather than the ongoing measure of arbitrary scheme announcements. Of late there has been a disturbing competition to design schemes which are in the nature of simple transfers to farmers. This is being done by some state governments, by the Union government and major political parties, Reddy said. I believe cumulatively these have the potential to seriously undermine fiscal stability and growth of the country. We should, therefore, pause, think and proceed on a new path. Ideally, a national consensus is needed on such a new path with participation of the Union and states, he said. Reddy said the major concern with a scheme like the income support, which will cost the exchequer Rs 70,000 crore in FY20, is the recurring nature and pointed out that this will constrain the fiscal balances.
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PMO OKAYS MINISTRIES’ EV PROMOTION MEASURES

The Prime Minister’s Office (PMO) has given its go-ahead to at least a dozen measures proposed by a committee of secretaries to help achieve a 15% share of electric vehicles (EVs) in total vehicle sales in the next five years. The government will, however, not formulate a separate comprehensive policy on electric mobility, as was being discussed earlier, said officials.This will hasten rollout of respective decisions, a senior government official told. The approved proposals include recent decisions by ministries to provide incentives to manufacturers, buyers as well as electric mobility infrastructure creators. We are suggesting states consider exempting e-vehicles from such taxes, opting for a sunset period for exemptions or putting a cap on e-vehicles to be exempted from such taxes, the official said. The government is seized of the fact that India needs to adopt effective strategies to position itself as a key driver in the global mobility revolution and this can be done only by large-scale domestic manufacturing of electric vehicles, along with all their components including batteries.
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NOW, HYBRID VEHICLES TOO UNDER FAME II INCENTIVES UMBRELLA

Marking a reversal of its earlier stance, the government plans to incentivise hybrid vehicles along with electric vehicles to promote green mobility, curbing air pollution and oil imports. The heavy industry department has firmed up a proposal to extend incentives linked to battery size under phase II of the Faster Adoption and Manufacturing of hybrid and Electric Vehicles (FAME) India to promote electric mobility adoption across segments and vehicle technologies, said a senior government official in the know. A uniform incentive of Rs 10,000 per kilowatt hour (kWh) of battery pack capacity would be extended to all electric vehicles including plug-in hybrids (PHEVs) and strong hybrids, except for buses, as the cost of batteries is one of the main causes of difference in cost of hybrid/electric vehicles and internal combustion engine (ICE) vehicles, the official said. With this, it is estimated that the remaining extra cost of electric vehicles compared to equivalent ICE vehicles would be recovered in under three years by way of operational savings, the person told. The government had withdrawn subsidies on hybrid vehicles and subsequently placed them under the highest tax slab of 28% under GST in 2017. An additional cess of 15% is applicable on such vehicles, taking total levies to 43%. Electric vehicles were taxed much lower at12% to encourage carmakers to go all-electric by 2030. Electric two-wheelers with a speed of around 40-45 km per hour and a range of 60-70 km (the most popular ones bought by masses) use only one lithium battery of around 1kWh and get a subsidy of Rs 22,000, said a senior industry executive who did not wish to be identified. With the proposed reduction of subsidy in the FAME-II, these two-wheelers will become costlier by Rs 11,000 to Rs 15,000 as the subsidy will reduce to around Rs 11,000. Electric scooters operating at speeds of 60 kmph and upwards need two batteries for a similar range. These bikes would continue to get the same subsidy as in FAME I. Only high-end premium electric bikes with much larger batteries will get higher subsidy. Such bikes will have a top speed of 70 kmph or more and range of 70-80 km.
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VODA IDEA IN TALKS TO SELL MOBILE TOWER STAKE, ASSETS FOR RS 20,000 CRORE

Vodafone Idea is likely to mop up about Rs 20,000 crore from its proposed stake sale in mobile tower firm Indus Tower and monetisation of optical fibre assets, sources said. The country's largest telecom operator plans to use the funds for lowering its debt, which stood at Rs 1,23,660 crore at the end of 2018. Vodafone Idea has received combined valuation of around Rs 20,000 crore for mobile towers and optical fibre assets that it is planning to sell. Discussions have started around it, an industry source close to the development told PTI. The company had earlier announced its plan to sell 11.15 per cent stake held by the Aditya Birla Group in Indus Towers as well as 1.56 lakh kilometers of optical fibre assets. Indus stake is worth about Rs 50 billion (Rs 5,000 crore) today. We have 156,000 kms of fibre. We have not given any guidance on monetisable value, a Vodafone Idea spokesperson said. The company is also planning to raise Rs 25,000 crore through a rights issue to fund its capital expenditure and pare debt. The promoter shareholders -- Vodafone Group and Aditya Birla Group -- have reiterated to the board that they intend to contribute up to Rs 11,000 crore and Rs 7,250 crore, respectively, as part of the rights issue.
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RUN SPECIAL DRIVE IN DISTRICTS THAT RECORDED LOW VOTER TURNOUT: CEC SUNIL ARORA

Chief Election Commissioner (CEC) Sunil Arora has instructed Rajasthan election officials to run a special drive on voter awareness in the districts which recorded lower turn out in the 2014 Lok Sabha elections. Arora was chairing a meeting with senior officials of state election department at the secretariat on Friday. The department should run a voters awareness drive in the districts where the lower voter turn out was recorded in previous Lok Sabha elections. Also the drives should be aimed to increase participations of youth and women in the coming elections. Camps must be held in colleges to make youths aware about voting right and the amenities at the polling booths must be ensured for convenience of especially abled voters, Arora directed the officials. Rajasthan chief electoral officer Anand Kumar present in the meeting gave feedback to the CEC about the preparations of the LS elections due in April-May. Preparations for FLC (first level checking) of EVMs and VVPAT machines are in full swing and the training for poll officers will start soon. Also the department is continuously monitoring the preparations by having regular video conferencing with divisional commissioners and district collectors. As soon a the date of polls is announced other preparations will be done simultaneously, told Kumar to the CEC. After holding meeting with state election department officials he on Saturday would chair a meeting on law and order with DGP Kapil Garg and chief secretary DB Gupta. Transfer policy of poll duty officers, electoral offences, deployment of personnels at critical polling booths and other law and order issues are agenda of the proposed meeting. Sources add that the full commission of Election Commission of India (ECI) is expected to hold a meeting with senior officials on LS preparations again on March 12-13 after model code of conduct is put in force for the LS elections. This meeting will be crucial in giving final touch to the poll preparations. The state election department is all geared up to conduct parliamentary elections. The department in January held special camps for ratification of the electoral rolls, by adding eligible voters. A special drive was also launched to remove double and multi entries of the voters. The department is expected to release final draft of rolls on February 22.
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25% OF AHMEDABAD MUNICIPAL CORPORATION'S FUNDS REMAIN UNUTILISED

In the last 13 years, the Ahmedabad Municipal Corporation has failed to utilise 25 per cent of the budget grant From 2006-07 to 2018-19, the civic body announced Rs 58,995.04 crore as a budget grant of which they couldn't utilise Rs 14,366 crore. This shows that the civic body has failed in resource mobilisation over the years. When the budget was estimated but not utilised as per the announcement, means there was no fund. It is also true that the target of the tax collection was not collected as per their target, said Mahendra Jethmalani.
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KERALA GOVT BIDS FOR THIRUVANANTHAPURAM AIRPORT THROUGH KSIDC

Seeking to stave off the Centre’s plan to privatise Thiruvananthapuram airport under its watch, the Communist Party of India (Marxist)-led Left Democratic Front (LDF) government in Kerala has applied on the tender through its Kerala State Industrial Development Corporation Ltd (KSIDC). The Pinarayi Vijayan-led government has picked KSIDC to apply on the tender to get the benefit of the right of first refusal (RoFR) granted to state-owned entities in government auctions. It will also help the government pass the eligibility criteria set by the Airports Authority of India (AAI) for bidders by using the financial and technical muscle of a broad range of state-owned entities under its control, Kerala government officials told. The state government has hired KPMG and Amarchand Mangaldas to help put in a bid for the airport in the state capital, the official said, asking not to be named. The state government is in the process of forming a special purpose vehicle (SPV) - ‘Trivandrum International Airport Ltd’- to comply with the tender conditions. The SPV will be initially fully-owned by state government entities. If successful in winning the tender, we will induct 1-2 strategic partners by diluting up to 49 per cent stake in the SPV, the official said. Due to the extremely short timeline in submitting a bid, we are yet to identify the strategic partners which, in any case, is a time-consuming process, the official added. The Kerala government initially told the Centre of its desire to take over and run the airport on nomination basis (without a tender). The Centre rejected this proposal and instead suggested that the state government could utilise the RoFR granted to state-owned agencies in government tenders, which allows them to match and take over the airport if its bid came within ten per cent of the price quoted by the highest bidder. Aside Thiruvananthapuram, the other airports lined up by the Centre for privatisation includes include those at Ahmedabad, Guwahati, Jaipur, Lucknow and Mangalore.
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CLARIFICATION

India’s first semi high speed train Vande Bharat express train successfully completed its inaugural run from Delhi to Varanasi on 15th Feb 2018. It is scheduled to start its commercial run from 17th Feb from Delhi. During the transportation back from Varanasi it was stopped at Chamraula station of National Capital Region, about 18 kms after crossing Tundla station. There was an issue of communication between the last basic unit of 4 coaches and the rest of the train probably due to some external hit. Thereafter, safety features in the train applied brakes The train was checked for faults and moved to Delhi. The train has been examined at New Delhi maintenance depot to rectify the defect in communication that occurred enroute. All other systems of the train have also been thoroughly examined. The train will be able to run as per schedule on 17th Feb. Indian Railways looks forward to welcoming passengers in this historic journey.
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NATION STANDS UNITED WITH PEACE-LOVING PEOPLE OF KASHMIR IN CONDEMNING CROSS BORDER TERRORISM AGAINST INDIA

The Nation is expressing its deep anguish against the cowardly terrorist attack on our security forces in Pulwama. We are fully geared to fight a decisive battle against the scourge of terrorism against our country and our government is committed to take this fight to its logical conclusion, said Narendra Singh Tomar while. Shri Tomar said that, the supreme sacrifice of our brave soldiers shall not go in vain. The Government has given a free hand to the security forces to deal with the forces promoting terrorism against India. Government of India, from the very beginning, has followed a policy of zero tolerance against terrorism and this cowardly terrorist attack displays a sense of frustration in the terrorists due to this policy only, the Minister added. The Government is standing strong with the bereaved family members of these Jawans and will not leave any stone unturned to help them. The Union Government has already requested all the State Governments to provide requisite aid to these families, the Minister informed. Tomar said that the Nation stands united with the peace-loving people of Kashmir in condemning the forces encouraging cross border terrorism against India. The Minister said that there are elements in the State of Jammu Kashmir who are determined to unsettle the peace and are hand-in-glove with the terrorist forces. Such people are enemies to the Kashmiri Youth and they do not want that peace sustains in the State. Shri Tomar quoted the Home Minister and said that the Government is committed to eliminate the evil of terrorism from Jammu & Kashmir and return peace and tranquility to the State. Shri Tomar also said that during the meeting all the political parties have, in one voice, condemned the terror attack and observed a two minute silence for the martyred soldiers. A resolution condemning this act of terrorism was also adopted during the meeting, the Minister informed.
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MEETING ADOPTS UNANIMOUS RESOLUTION CONDEMNING SUPPORT TO TERRORISM

Rajnath Singh chaired a meeting of floor leaders of political parties in both the houses of parliament, in the wake of Thursday’s Pulwama attack. The Union Home Minister briefed them about his visit to Srinagar and said that the morale of the Security Forces is high and they expressed resolve to continue the fight against terrorism till its logical conclusion. He said the Government has given a freehand to the Security Forces to deal with terrorists and their perpetrators. The Government has followed a policy of zero tolerance against terrorism from the beginning. Singh said a vast majority of people of Jammu and Kashmir are peace loving but there are certain elements in the state who are in league with the terrorist groups operating from across the border. The Union Home Minister said the sacrifices made by our Security Forces will not go in vain and the country is united in its fight against terrorism. The government is determined to root out terrorism from our soil, he added. Shri Rajnath Singh said this meeting has sent a message to the global community that the country, from Kashmir to Kanyakumari, speaks in one voice on matters of national interest.
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'NEW INDIA' WON'T SPARE THOSE WHO TARGET ITS SOLDIERS: PM MODI

Prime Minister Narendra Modi asserted Saturday that each drop of tear shed in the aftermath of the Pulwama terror attack would be avenged. Continuing his tough talk in the wake of the ghastly strike that claimed the lives of 40 CRPF jawans Thursday, Modi said this is a new India which will not tolerate those who provide guns and bombs to target security personnel He said anger over the horrific assault in Jammu and Kashmir is palpable in the country and all eyes are moist. Apart from the government, as citizens of the country, it is our responsibility to stand by the families of those who sacrificed everything for the country. This is the time for mourning and to show restrain and sensitivity, he said. I want to assure each family who lost their loved one that each drop of tear will be avenged (aasu ka pura pura jawab liya jayega), Modi declared.
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PULWAMA TERROR ATTACK: 'WE SUPPORT INDIA’S RIGHT TO SELF-DEFENSE', SAYS US

The US has supported India’s right to self defence against cross border terrorism, an Indian foreign ministry statement said Saturday, that gave details of a telephone conversation between US and Indian national security advisors overnight. The call was placed by the US side to express condolences and outrage, the statement said, in the wake of the Pulwama attack on Thursday. According to the Indian statement, US National Security Advisor John Bolton offered all assistance to India to bring the perpetrators and backers of the attack promptly to justice. The two vowed to work together to ensure that Pakistan cease to be a safe haven for JeM and terrorist groups that target India, the US and others in the region, the statement said. They resolved to hold Pakistan to account for its obligations under UN resolutions and to remove all obstacles to designating JeM leader Masood Azhar as a global terrorist under the UN Security Council Resolution 1267 Committee process, it added. Expressions of support have poured in from across the world in the aftermath of the Pulwama attack, seen as the worst in Kashmir in decades. All countries have condemned the attack as a terrorist incident with none calling for talks between India and Pakistan to resolve outstanding issues — seen as code words for the dispute over Jammu and Kashmir. Particularly strong were the statements from the US and France that placed blame on Pakistan.
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27 MORE HOTELS TO SHUT OVER FIRE SAFETY VIOLATIONS, NOC CANCELLED FOR TOTAL OF 57 IN 3 DAYS

Intensifying its drive against errant hotels, the Delhi government has cancelled fire safety certificates of 27 establishments for various violations in Karol Bagh area, where a massive fire at a hotel killed 17 people earlier this week. In the last three days, the fire department of government has cancelled no objection certificate (NOC) of 57 hotels, ordering their closure as part of its drive in the aftermath of the Karol Bagh fire incident. Another 27 hotels' NoC cancelled. In all, NoC of 57 hotels out of 80 inspected are cancelled. All of them will be closed (sic), Satyendar Jain tweeted on Saturday.
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ONLY LESS THAN HALF OF INDIA’S WOMEN KNOW WHAT THE INTERNET IS ALL ABOUT

Harmeen Mehta, said that one of the biggest challenges of the current world of technology is that all the internet's latest offerings like YouTube, Facebook, Ola and Uber are catering only the top 300 million people while the remaining one billion remain unserved. Mehta highlighted that while India’s mobile penetration is close to 88 per cent, the smartphone penetration is only under 40 per cent. Half of the country's population consists of women and within that only less than half of them even know what the internet is all about, Mehta said. She added that only one-third of the women even know that smartphones can be used for other purposes besides making calls. Can we really leap forward into the future without taking this 50 per cent population with us ? Mehta asked. She also added that the latest disruptions like big data, artificial intelligence (AI), internet of things (IoT) and blockchain will help technology companies to tap the largely ‘impenetrable’ population. AI-based technologies like 'vernacular voice bots' can break the literacy barrier and bring non-English speaking people into its fold, Mehta added. Adrian Terron, said that 'consumers' are currently driving all the technological changes and transformation and Indian consumers in particular, is very different because they know their place in the world. Terron listed out premiumisation, digitisation, silvers (people above 60 years), purpose and after-sales service as five megatrends that are shaping consumer behaviour. He also added that people above 60 years of age are more loyal to their brands than the younger generation. With India's elderly population at 300 million, this gives big opportunities for businesses, Terron said.
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HOUSE PANEL MAY SUMMON FACEBOOK AND WHATSAPP

The parliamentary standing committee on information technology is expected to summon Facebook and WhatsApp as part of its discussions over safeguarding citizen rights on social media, people with direct knowledge of the matter said. They are likely to be called in March, as the panel first wants to complete its postponed meeting with Twitter, they said. The panel has asked Twitter’s top global executives to appear before it on February 25, after the microblogging site’s chief executive skipped an earlier meeting called by it. Summons are yet to be sent to Facebook and WhatsApp, they said. Before that, it intends to focus extensively on Twitter. Questions to be put to Facebook and WhatsApp would be slightly different from those prepared for Twitter, a senior member of the panel told. Although the queries to be put will be on similar lines, keeping in view the audiences the two (Facebook and WhatsApp) cater to are different from those of Twitter, and so is their reach, the questions will be tweaked accordingly, said another member of the panel, also asking not to be named. Besides issues such as bias and rights of citizens, the panel will underscore the need for data privacy in its likely discussions with Facebook and WhatsApp, the people said. The panel has prepared a set of questions to be put to Twitter, the second panel member said. The fundamentals of understanding the company (Twitter) will have to be addressed first before recommending anything, the panel needs to understand the semantics, that is, whether it is a technology company or a media house, its place of registration and what measures of control can be effected, he said.
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UK LAWMAKERS SLAM FACEBOOK, RECOMMEND STIFFER REGULATION

British lawmakers issued a scathing report Monday that accused Facebook of intentionally violating privacy and anti-competition laws in the UK, and called for greater oversight of social media companies. The report on fake news and disinformation on social media sites followed an 18-month investigation. The parliamentary committee that prepared the report says social media sites should have to follow a mandatory code of ethics overseen by an independent regulator to better control harmful or illegal content. The report called out Facebook in particular, saying that the site's structure seems to be designed to conceal knowledge of and responsibility for specific decisions. It is evident that Facebook intentionally and knowingly violated both data privacy and anti-competition laws, the report states. It also accuses CEO Mark Zuckerberg of showing contempt for the U.K. Parliament by declining numerous invitations to appear before the committee. The report by the Parliament's media committee echoes and expands upon an interim report with similar findings issued by the committee in July . And in December , a trove of documents released by the committee offered evidence that the social network had used its enormous trove of user data as a competitive weapon, often in ways designed to keep its users in the dark.
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SUPPLY, DISTRIBUTION COULD NOT MATCH FAST GROWTH AT PATANJALI: ACHARYA BALKRISHNA

Patanjali Ayurved chief executive Acharya Balkrishna has said the firm’s sales have slowed down because its supply chain and distribution network could not keep pace with its growth in addition to internal restructuring. We were growing very fast but servicing the trade channels, infrastructure and the goods and services tax (GST) rollout impacted us, Balkrishna said. To expand the business to the next level of growth, we needed a little time to work on supply chain and distribution, he told. We are strengthening our distribution network now and most of the work is done, and results will be visible in the coming year, Balkrishna said. The Baba Ramdev-led company has also restructured its businesses, with key categories such as biscuits and noodles not being included under Patanjali Ayurved, and instead being classified under different group companies, he said. Patanjali’s revenues for the year ended March 2018 dropped 10% to Rs 8,135 crore from Rs 9,030 crore in FY17 after five years of impressive growth, according to data from research platform Tofler. Its net profit fell by over a half at Rs 529 crore in FY18 against Rs 1,190 crore a year earlier, according to a report by CARE Ratings.
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IOC GETS ENVIRONMENTAL NOD FOR TELANGANA STORAGE AND DISTRIBUTION TERMINAL

The Expert Appraisal Committee under the Environment Ministry has given green signal to Indian Oil Corporation Ltd for setting up a grass root petroleum storage and distribution terminal in Telangana. According to the minutes of the meeting held recently, the proposal involves setting up petroleum storage and distribution terminal comprising 28 tanks with combined capacity of nearly 165 million litres with an investment outlay of Rs 570 crore at Malkapur village, Yadadri district. The EAC, after deliberations, recommended the project for grant of environmental clearance, subject to the terms and conditions as under, the EAC said. At least 2 per cent of the total project cost shall be allocated for Corporate Environment Responsibility (CER) and item-wise details along with time bound action plan shall be prepared and submitted to the Ministrys Regional Office, it said as one of the conditions for EC. The total area available for the project is over three lakh sqm, of which greenbelt will be developed in an area of over one lakh sqm covering 33 per cent of the total project area. The estimated project cost is Rs 570 crore. Total capital cost earmarked towards environmental pollution control measures is Rs 35 crore and the recurring cost (operation and maintenance) will be about Rs 3.06 crore per annum. Total employment opportunity will be for 35 people directly and 460 people indirectly, the minutes said.
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RAHUL GANDHI INSULTED INDIA'S INTELLIGENCE AND HARDWORKING RAILWAY ENGINEERS: PIYUSH GOYAL

Hitting back at Rahul Gandhi over his dig at the Make in India programme after Vande Bharat train experienced trouble during its initial run, Piyush Goyal said the Congress president has insulted India's intelligence and hardwork by mocking the initiative After the semi-high speed train ran into trouble early Saturday, Gandhi tweeted, Modi ji, I think Make in India needs a serious rethink. Most people feel it has failed. I assure you we in the Congress are thinking very deeply about how it will be done. In a quick response, Goyal tweeted, Such a shame that you choose to attack the hard work and ingenuity of Indian engineers, technicians and labourers. It is this mindset which needs a reset. 'Make In India' is a success and a part of crores of Indian lives. Your family had 6 decades to think, wasn't that enough? In a Facebook post Sunday, Goyal further said Gandhi has insulted India's intelligence and the hardworking engineers of railways who have put in backbreaking effort to build the country's first indigenous semi-high speed train, the Vande Bharat Express. Somebody who was unable to explain why Engineers Day is celebrated, he insulted the hardworking engineers of railways who have put in backbreaking effort to build India's first indigenous semi-high speed train, the Vande Bharat Express. Rather than encouraging them, he has taunted them, he said.
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AS PATIENTS CHALLENGE PATENT, J&J COMMITS TO TACKLING DRUG-RESISTANT TB

Johnson & Johnson has tripled its commitment on tuberculosis drug Bedaquiline by offering 90,000 doseages to its global donation programme that ends in March, Paul Stoffels, Chief Scientific Officer, said. Stoffels’ statement reiterating J&J’s commitment to tackling TB in India comes less than a week after two TB patients filed a patent challenge on a salt form of Bedaquiline at the Mumbai Patent Office to prevent J&J from pursuing a secondary claim on the drug. While the patent is being contested on grounds of not being novel or innovative, health advocacy representatives explain that a patent on the salt would extend J&J’s monopoly on the drug from 2023 (when the compound patent expires) to 2027. And this would further delay generic drugmakers from being able to make less expensive versions of the drug, they say. J&J, however, refutes this. Generic producers will be able to make versions of the drug’s active pharmaceutical ingredient, post 2023, it clarifies. Responding to this developing situation, Stoffels said that ensuring access to bedaquiline in India was a top priority for J&J, given the country’s high burden of mutli-drug resistant TB (at more than a quarter of the world’s cases). We’ve worked to expand access to bedaquiline, and we are collaborating with partners to build health systems capacity and ensure appropriate use of our antibiotic to protect its efficacy for the future.
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COGNIZANT CASE: EXECUTIVES CAN BE TRIED IN INDIA

Cognizant Technology has settled bribery charges with the US authorities, but the company and the government officials of Tamil Nadu and Maharashtra, who took the bribe remain, liable for wrongdoing under Indian law, say legal experts and anti-corruption activists. Last Friday, Cognizant announced that it had struck a deal with the US Securities Exchange Commission (SEC) and Department of Justice (DoJ) to cough up a penalty of $28 million (over Rs 200 crore) for paying bribes of $3.6 million (Rs 26 crore) to Indian officials via third parties. This was for construction-related permits and operating licenses for its campuses in Chennai and Pune. Irrespective of resolution in US courts, the issue qualifies for a probe in India as it falls under the purview of the Prevention of Corruption Act, the Indian Penal Code and the Companies Act, lawyers told. If what is narrated in the order passed by the US commission is true, then an FIR has to be registered by the CBI suo motu under the Prevention of Corruption Act, and the case has to be investigated, said P Wilson, senior advocate and former additional solicitor general of India. He said the order made it evident that state officials were involved. Former Tamil Nadu DGP SK Dogra said that even without a complaint, the US court's ruling is sufficient for the Directorate of Vigilance and Anti-Corruption (DVAC) to initiate a preliminary inquiry against state government officials. The DVAC would then have to send a report to the state government, based on which further action can be taken, he said.
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DELHI'S AIR QUALITY IMPROVES TO 'POOR' CATEGORY AFTER RAIN, SAYS CPCB DATA

The air quality in the national capital improved on Friday and was recorded in the poor category due to rain in various parts of the city that washed out suspended particulate matter (PM), authorities said. According to data provided by the Central Pollution Control Board (CPCB), the overall air quality index (AQI) of Delhi was at 249. The CPCB said 26 areas in the national capital recorded 'poor' air quality, while only in one area it was 'severe'. Authorities said the overall air quality is likely to improve to 'moderate' by Saturday.




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