Tuesday, 19 February 2019

GENERAL UPDATES 19.02.2019





CIC PULLS UP RBI FOR NON-DISCLOSURE OF DEMONETISATION RECORDS

The Central Information Commission has pulled up the Reserve Bank of India for perfunctory handling of an RTI application seeking records of its board meetings where the issue of demonetisation was deliberated, and issued a show-cause notice to its Central Public Information Officer. Activist Venkatesh Nayak had sought records of all meetings of the RBI Central Board of Directors along with the papers, presentations or other documents placed before it, which led to the decision of demonetisation announced by Prime Minister Narendra Modi on November 8, 2016. Not getting any information from the RBI, which cited an exemption clause to deny the records, Nayak approached the commission, the highest adjudicating body in matters pertaining to the Right to Information (RTI) Act. The petitioner told Information Commissioner Suresh Chandra that the information is not exempted under section 8 (1) (a) of the RTI Act as claimed by the CPIO. The section exempts from disclosure the information which would prejudicially affect the sovereignty and integrity of India, the security, strategic, scientific or economic interests of the State, relation with foreign State or lead to incitement of an offence. During the hearing, nearly 15 months after the RTI application was filed, the RBI's representative accepted that the information prima facie was wrongly denied He further explained that considering the requests of the citizens after the instant RTI application was filed by the appellant and several rulings of the courts as well as this commission, they are ready and willing to provide the minutes of the meetings, Chandra noted. The commission takes a serious view of the perfunctory handling of RTI application and absence of CPIO, during hearing and he is advised to attend the next date of hearing to explain as to why penalty should not be imposed on him, Chandra said. He also said the CPIO should submit his written submissions and arguments before the next date of hearing.
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RBI TO PAY RS 28,000 CRORE AS INTERIM DIVIDEND TO GOVERNMENT

The central board of the Reserve Bank of India on Monday decided to pay Rs 28,000 crore as an interim dividend to the government. This is the second successive year when an interim dividend has been provided. This takes the government's total surplus to Rs 68,000 crore. The central bank has already paid Rs 40,000 crore as interim dividend to the government. For the government, the RBI's interim dividend to be paid during the current fiscal is very crucial. In the last fiscal, the RBI had paid an interim dividend of Rs 10,000 crore to the Centre.
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RBI MAY NUDGE BANK CHIEFS TO CUT INTEREST RATES IN THURSDAY’S MEET

The Reserve Bank of India (RBI) may prod commercial banks in a scheduled meeting on Thursday to cut interest rates after its unexpected 25 basis points policy rate cut on 7 February. Shaktikanta Das said transmission of rates is very important after the central bank announces a rate cut. I am having an interaction CEOs and MDs of various banks, both public and private sector, that is now scheduled to be held on 21 February. We will discuss that issue with the banks. And see what needs to be done, he added. When asked about high real interest rates, Jaitley evaded the question. The RBI knows the real situation. Let’s leave their jurisdiction to them, he said. India’s retail inflation slowed to a 19-month low in January at 2.05%, opening more space for the central bank to cut interest rates. The Monetary Policy Committee (MPC) of the RBI on 7 February changed its stance from calibrated tightening to neutral and cut the policy rate by 25 basis points on the back of benign headline retail inflation and slowing global growth. Das said while credit growth to the commercial sector as a whole has shown some improvement, it is not broadbased. It is not flowing into various sectors as it should be, he added.
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INDIA NEEDS FEWER AND MEGA BANKS: ARUN JAITLEY

Arun Jaitley on Monday said India needs fewer and mega banks to achieve economies of scale in the sector. After the amalgamation of five associates and Bharatiya Mahila Bank with SBI in 2017, the government earlier this year approved the merger of Dena Bank and Vijaya Bank with Bank of Baroda. With the experience in the past really has been of SBI merger, now it is second one which is taking place, Jaitley said. India needs fewer and mega banks which are strong because in every sense, from borrowing rates to optimum utilisation, the economies of scale as far as banking sector is concerned are of great help, he said. The amalgamation, the first-ever three-way consolidation of banks in India, would be effective from April 1, 2019. After the merger, the number of public sector banks will come down to 18.
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CIC APPOINTMENT NEEDN'T BE CONFINED TO BUREAUCRATS, SAYS SUPREME COURT

The Supreme Court on Friday said that the appointment of the Central Information Commissioner (CIC) and information commissioners at the central and state levels need not be confined to bureaucrats and should be completed within six months The directions issued by a bench comprising justices A.K. Sikri and S. Abdul Nazeer are expected to ensure transparency in the process. The move is significant because the landmark Right To Information (RTI) Act was put into effect after years of a citizens’ movement for a tough transparency law. A long-standing demand by several transparency activists has been that the appointment to the information commissions should be more diverse particularly with respect to the non-bureaucratic appointments to the top posts. The Central Information Commission and the state information commissions (SICs) oversee the implementation of the RTI Act, including hearing appeals. The process should start two months before vacancies come up and if the process for pending vacancies has already started, it should be completed in two or three months, the Supreme Court held. The apex court said that the process of shortlisting and appointing candidates for information commissioners should be made public on the website to ensure transparency. The top court observed that talent and experience from varied fields should be considered while appointing the information commissioners and that the appointments should not be restricted to retired bureaucrats. The Supreme Court was responding to a public interest litigation by RTI activist Anjali Bhardwaj seeking directions for transparency in the process of appointments of CICs and information commissioners.
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AYUSHMAN BHARAT: HOW WORLD’S LARGEST HEALTHCARE SCHEME FARED IN FIRST 150 DAYS

Over 12 lakh people have been treated in less than 150 days since the launch of Ayushman Bharat scheme. In addition, more than 1.7 crore beneficiary e-cards have been generated providing access to healthcare under the world’s largest healthcare scheme, according to Pradhan Mantri Jan Arogya Yojana (PM-JAY) dashboard. At present 14,856 hospitals have been empaneled under the scheme.
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CORRECTIVE ACTION WILL BE TAKEN TO PROTECT CITIZENS' PRIVACY, OWNERSHIP OF DATA, ASSURES SURESH PRABHU

The government will use artificial intelligence for good governance, and corrective action will be taken to protect citizens' privacy and ownership of data, Suresh Prabhu said Monday. The commerce and industry minister also said that India is transporting more data than the US and China put together He said top six companies in the world are using this data with value addition and monetisation. Corrective action will be taken to protect citizens' privacy and ownership of data India is strengthening its legal system and regulatory framework to deal with this world of digital data, he said here at an open meet on artificial intelligence (AI). The minister also said that AI is 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 that for the use of AI for the common good, Prabhu added. As per estimates, the number of internet users in India has crossed over 500 million.
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GOVERNMENT'S DISINVESTMENT PROCEEDS TOUCH RS 53,558 CRORE IN CURRENT FISCAL

The government's disinvestment proceeds have touched Rs 53,558 crore so far in the current fiscal, as against the full year budget target of Rs 80,000 crore. Last week, as much as Rs 10,000 crore came in from Bharat-22 ETF and, another Rs 5,379 crore from the sale of Specified Undertaking of Unit Trust of India (SUUTI) stake in Axis Bank. The government has sold as much as 3 per cent stake in Axis Bank held via SUUTI through an offer for sale (OFS) and raised about Rs 5,300 crore. Besides, the additional offering or Bharat-22 Exchange Traded Fund (ETF) garnered about Rs 10,000 crore to the exchequer. The issue got bids worth Rs 49,528 crore, with foreign investors pouring in Rs 38,000 crore and retail buyers Rs 2,000 crore. Share buyback by Indian Oil corporation (IOC) fetched Rs 2,647 crore to the disinvestment kitty, while BHEL, NHPC and Cochin Shipyard garnered Rs 992 crore, Rs 398 crore and Rs 137 crore, respectively. NLC share buyback garnered Rs 990 crore, while NALCO and KIOCL got Rs 260 crore and Rs 205 crore, respectively. Besides, strategic disinvestment of HSCC fetched Rs 285 crore.vOFS of Coal India earned Rs 5,218 crore while sale of units of CPSE ETF garnered Rs 17,000 crore. Besides, sale of Bharat-22 ETF has fetched Rs 8,325 crore in June 2018. The intial public offer (IPO) of PSUs RITES, IRCON, MIDHANI and Garden Reach Shipbuilders, fetched over Rs 1,700 crore.
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ODISHA GOVT ASKS BANKS TO EXPEDITE SANCTIONING AND DISBURSEMENT OF LOANS TO MSMES BY FEB END

The Odisha Government has asked the state commercial banks to speed up the sanctioning and disbursement of assistances against the eligible pending loan applications of Micro Small and Medium Enterprise (MSME) units by the end of February 2019. With regard to this, LN Gupta issued an instruction to the bankers at a sub-committee meeting of the State Level Bankers’ Committee (SLBC) on MSME. It was also revealed that Prime Minister Employment Guarantee Program (PMEGP) assistance of Rs 51.88 crore has been disbursed during the FY 2018-19 till February 15, 2019 for promotion of 2,079 MSME units. Besides, the Khadi and Village Industries Commission (KVIC) Director informed that those applicants, who have repaid the first loan under the PMEGP and are ready to provide 10 per cent contribution, can avail the second loan for expansion and up-gradation of their projects up to Rs 1 crore. The maximum subsidy on the second loan would be Rs 15 lakh.
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‘MAKE IN INDIA’ HAS NOT EASED MANUFACTURING WOES

When the Bharatiya Janata Party (BJP) swept into power in 2014, one of its first acts was to launch the ‘Make in India’ initiative with the ambitious vow of converting India into a global manufacturing hub. Specifically, the government set targets to increase growth in the manufacturing sector to 12-14% per annum, pull up the share of manufacturing in gross domestic product (GDP) to 25% by 2022 (from 16%) and create 100 million jobs in manufacturing. Five years on and these targets seem like distant dreams. A central focus of Make in India has been to attract more investment. Yet, data from the project-tracking database of the Centre for Monitoring Indian Economy (CMIE) shows that growth in new investment projects has plunged since 2015. The overall value of investment in National Democratic Alliance -II (NDA-II) has been less than both United Progressive Alliance-I (UPA-I) and UPA-II. As a share of investments, manufacturing investments have the same share as they did earlier at less than a third of overall investments. Data on industrial growth from the Annual Survey of Industries (ASI) shows that there has been a deceleration in industrial growth in the first half of the NDA-II regime (from 2014-15 till 2016-17). In this period, industrial job growth has been anaemic and wage growth has been falling, ASI data shows. One area where this government has fared relatively better has been in attracting foreign direct investment (FDI) to the country. In 2017, FDI equity inflows reached a peak of 2.8 trillion according to CMIE. However, despite this increase in FDI inflows, FDI in the manufacturing sector remained sluggish under NDA-II (based on a broad classification of sector-wise FDI inflows into manufacturing and non- manufacturing sectors). Under the current regime, FDI in manufacturing constituted 28% of total FDI, significantly below the average level of 44% during UPA-II. Make in India has also not succeeded in turning around India’s position in global trade. Growth in exports, after a decline in 2015 and 2016, recovered in 2017, but, as a previous Plain Facts column pointed out, the recovery in India’s merchandise exports only reflects a larger trend across South-east Asia. Despite the bump, India’s exports constituted only 1.7% of global manufacturing exports as of 2017, only slightly higher than what it was in 2014 (1.6%). Among all economies for which World Trade Organization (WTO) provides data, India stood 16th in 2014, and moved up one rank to 15th in 2017. In contrast, China’s share in manufacturing exports saw an exponential rise in the 2000s and the country has remained a manufacturing giant, contributing to 17.48% of world manufacturing exports. Other leading countries in manufacturing exports are Germany (10.4%), US (9.3%) and Japan (5%). So, despite significant publicity, after four years of its launch, NDA’s flagship manufacturing programme does not seem to have succeeded in making India a major manufacturing hub. Perhaps in recognition of the limited impact of the scheme, the government has merely postponed its target of increasing the share of manufacturing in GDP to 25% by three years (to 2025).
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FLIPKART BETS ON ALPHA-BETA TANGO TO SYNC WITH FDI NORMS

Flipkart is creating a layer of B2B (business-to-business) entities that will act as intermediaries between its wholesale arm and prominent sellers on its platform to comply with foreign investment rules for ecommerce marketplaces, people familiar with the development said. Flipkart, which Walmart acquired for $16 billion in May, has appointed eight-nine such independent entities, code-named alpha sellers, which will buy goods from Flipkart India, the wholesale arm of the Flipkart Group, according to the people. The alpha sellers will supply merchandise to beta sellers, which will offer them on the Flipkart marketplace. The introduction of the intermediary alpha sellers will help Flipkart meet a cap of 25% on vendors purchasing goods from entities related to marketplace operators, the people said. Inventory of a vendor will be deemed to be controlled by ecommerce marketplace entity if more than 25% of purchases of such a vendor are from the marketplace entity or its group companies, the government said in a note on December 26, prescribing norms that came into effect on February 1. Previously, some preferred sellers of Flipkart including Super-ComNet, OmniTech Retail and RetailNet used to purchase products directly from Flipkart’s wholesale unit and sell them to consumers on the online marketplace. Flipkart wholesale will invoice to alpha and then alpha sells it to beta, said a person familiar with the plans. Flipkart said it is in compliance with the latest FDI rules. At Flipkart marketplace, we are delighted to be serving as a platform for connecting lakhs of sellers and customers and committed to ensure sellers on our marketplace continue to access the consumers across the country efficiently and in a cost-effective way, a Flipkart spokesperson said.
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UNION HOME MINISTER TO LAUNCH VARIOUS WOMEN SAFETY INITIATIVES

Rajnath Singh will launch various initiatives for women safety These initiatives will include launch of Emergency Response Support System in 16 states/UTs and Mumbai city, Investigation Tracking System for Sexual Offences (ITSSO) and Safe City Implementation Monitoring Portal. To provide effective deterrence against the offence of rape, the Government has enacted the Criminal Law (Amendment) Act, 2018 And for effective implementation of the Act the measures to strengthen investigation and prosecution machinery and to instil a sense of security amongst women, Government is launching these initiatives.

Emergency Response Support System (ERSS)
The Union Home Minister will launch the Emergency Response Support System (ERSS). The ERSS is a pan-India single number (112) based response system for persons in distress. A citizen may use the following methods to access the emergency services

·       Dial 112 from phone
·       Press power button on smart phone 3 time quickly to activate panic call to ERC.
·       In case of feature phone, long press of 5 or 9 key on the phone will activate the panic call.
·       Log onto ERSS website for the State and lodge emergency
·       Email SOS alert to State ERC
·       Use 112 India Mobile App, which is available free on Google Playstore and Apple store.

Under this system, all the states have to set up a dedicated Emergency Response Centre (ERC). It will have a team of trained Call-takers and Dispatchers to handle emergency requests relating to assistance from Police, Fire & Rescue, Health and other emergency services. Police can view all events after an Emergency call is made at the ERC. The ERCs are connected to District Command Centres (DCC) and the Emergency Response Vehicles, and assistance/response to victims are facilitated through them. ERSS is designed to be a common protocol managed by each State/UT. ERSS also provides a 112 India mobile App for making distress calls by any person. For Women and children, 112 India App provides a special SHOUT feature which alerts registered volunteers in the vicinity of victim for immediate assistance. The Central Government is funding Rs. 321.69 crore to the States/UTs for ERSS as part of Nirbhaya scheme project. The service has already been launched in Himachal Pradesh and Nagaland.

Investigation Tracking System for Sexual Offences (ITSSO)

Rajnath Singh will also launch the Investigation Tracking System for Sexual Offences (ITSSO) on the occasion. The ITSSO is meant for Law Enforcement Agencies in the country. The Investigation Tracking System for Sexual Offences (ITSSO) is an online module available to law enforcement agencies at all levels - National, State, District and Police Station that allows State to undertake real-time monitoring and management for completion of investigation in rape cases in 2 months. It leverages the existing CCTNS data base, which covers nearly 15000 police stations in the country. ITSSO would greatly strengthen States ability for analytics and prognosis for timely investigation and prosecution in rape cases.

·       The Criminal Law Amendment in April 2018 prescribes stringent penal provisions including death penalty for rape of a girl below the age of 12 years. For swift administration of justice in such cases, the Act also inter-alia mandates completion of investigation and trials within 2 months. To enhance women safety in the country, Government has formulated a multi-pronged action plan and initiated a series of measures. ITSSO is one of such measures developed by MHA towards Smart Policing.

Safe City Implementation Monitoring (SCIM) portal
In order to instil sense of security in women in metro cities, Government has identified eight cities for implementation of Safe City projects in first phase at a cost of Rs. 2,919 crore. The projects are funded under Nirbhaya Fund scheme. The projects have been prepared jointly by Municipal bodies and City Police and reflect integrated action for safety of womn. Safe City projects involves creation of on-ground assets, resources & behaviour change programs for safety of women. The projects will supplement existing assets and meet citizen demands for safe eco-system for women in these cities. Important features of the Safe City projects include:

·       Identification of crime Hot-spots in each city.
·       Saturating such Hot-spots with increased CCTV surveillance.
·       Automated Number Plate Reading (ANPR) and drone-based surveillance also being deployed in few cities as per requirement.
·       Setting up women police out-posts for facilitating ease of access by any aggrieved woman to report incidence or seek assistance.
·       Patrols by Women police in vulnerable areas.
·       Setting up Women Help Desks in Police Stations with facility for trained Counsellors.
·       Augmentation of existing women support centers like Asha Jyoti Kendra or Bharosa centers etc.
·       Implementing Safety measures in buses, including Cameras.
·       Improving Street Lighting in identified Hot Spot areas.
·       Setting up Toilets for women.
·       Undertaking social awareness programmes on women safety and gender sensitivity.

All the above measures would be coordinated through an Integrated Smart Control Room in the city. In order to facilitate States to monitor and manage the Safe City projects and avoid duplication on ground, an online Safe City Implementation Monitoring (SCIM) portal has been developed by MHA. SCIM will facilitate online tracking of deployment of assets and infrastructure created under the Safe City projects. SCIM facilitates an evidence based online monitoring system. Details on assets and infrastructure are captured along with latitude and longitude using GPS for greater transparency. SCIM also creates a digital repository of assets, infrastructure and social outreach programs, as well as best practices achieved in each City.
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UNION HOME MINISTER INAUGURATES CYBER CRIME UNIT OF DELHI POLICE AND NATIONAL CYBER FORENSIC LAB

Rajnath Singh has said cyber crimes pose a challenge to traditional policing and called upon the Police personnel to hone their skills to tackle the threats posed from the cyber world. Inaugurating the Cyber Prevention, Awareness & Detection Centre (CyPAD) of Delhi Police and National Cyber Forensic Lab, MHA, he pointed out that cyber crime has emerged as a big challenge and said, If we have to build public trust in a Digital World, then we will have to bear Zero Tolerance towards Cyber Crime. The Home Minister said in this era of internet and computers, there exists an aspect of cyber crime whether it is cyber cheating or fraud, women harassment or terror recruitment which needs to be strongly addressed. Internet is a platform not only aiding the evolution of social media, but also crucial to online banking, shopping and remotely operated systems in industry. We have to develop institutional mechanisms for undertaking timely assessment to challenges in cyber space and securing it for the common man, he said. Shri Rajnath Singh said MHA has initiated several steps in the last more than four years to deal with cyber crimes. This includes setting up of an Inter-Ministerial Committee on Phone Frauds. Under the Cyber Crime Prevention against Women and Children (CCPWC) scheme, the online cybercrime reporting portal cybercrime.gov.in has been operationalized. Training programmes have been designed for law enforcement agencies, public prosecutors and judges. For effectively tackling challenges to cyber space, we need an institutional mechanism at the national level involving the private sector also and coordination at the national and international levels, he added. MHA has constituted an Expert Group for a detailed study and initiated creation of the Cyber Crime Coordination Centre which will deal with cyber forensics, cyber investigation, cyber research and innovation, threat analytics and cyber training, said Shri Rajnath Singh. The setting up of the Indian Cyber Crime Coordination Centre (i-4C) is a step towards its implementation. Under the i-4C, the National Cyber Forensics Lab has been inaugurated, he added.
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PFRDA HOPES TO REACH 2.72 CRORE SUBSCRIBERS UNDER APY, NPS BY MAR-END: HEMANT CONTRACTOR

Pension fund regulator PFRDA has reached a subscriber base of 2.65 crore in its flagship National Pension System (NPS) and Atal Pension Yojana (APY) schemes and hopes to cover nearly 2.72 crore subscribers by the end of the current financial year. In a break-up, PFRDA said there are nearly 1.45 crore subscribers under APY and the remaining 1.20 crore have NPS accounts. The number of subscribers has now touched 2.65 crore and we have just crossed the Rs 3-lakh crore asset under management. Last year (fiscal), the corpus grew almost 40-45 per cent. This year also, so far, it has been good. Typically, February and March are the busiest months for us. So, we expect to touch similar levels this year as well, said Hemant G Contractor. The Pradhan Mantri Shram Yogi Mandhan (PMSYM) scheme provides for an assured monthly pension of Rs 3,000 with a contribution of Rs 100 per month for workers in the unorganised sector after the retirement age (60 years). This new government scheme is like APY. The only difference being is that it is only a Rs 3,000 pension scheme. In this scheme, the govt co-contributes up to 50 per cent of the total corpus which is not the case with APY, Contractor said on the sidelines of a PFRDA conference on NPS. APY, mainly targeting the unorganised sector employees, offers five slabs of pension from Rs 1,000-5,000 per month upon retirement. Employees in the age bracket of 18-40 years can sign up for an APY account.
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MANMOHAN SINGH’S JOBLESS GROWTH CHARGE IS FACTUALLY WRONG

BJP MP Rajeev Chandrasekhar on Monday said former Prime Minister Manmohan Singh’s charge of jobless growth is factually wrong as the NDA government had so far spent Rs 10 lakh crore on the infrastructure sector, which has been creating downstream jobs as confirmed by EPFO data. He said Singh was perhaps referring to the leaked draft survey conducted by National Sample Survey Office (NSSO) to buttress his claims on high jobless growth rate. Indian economy is in a far stronger and better place today than it was in 2014 when Singh demitted office, Chandrasekhar added. Singh, said jobless growth has slipped into job-loss growth, which, together with rural indebtedness and urban chaos, has made the growing number of aspirational youths restless. Let us be clear-our economy is in a far stronger and better place today than it was in 2014 when Dr Singh demitted office. The damaged economy he left behind has been rebuilt slowly and surely and we are on a path of sustainably high growth, he said. The NSSO survey did not capture all the important measures that the budget 2018 did to revitalise the MSMEs and informal sector, Chandrasekhar said. There is no real job data in government historically because of the dominance of informal and unorganised sector in overall jobs, he added.
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SUPREME COURT ADMITS RELIANCE INFRA PETITION ON AIRPORT METRO ARBITRATION

The Supreme Court has admitted Anil Ambani promoted Reliance Infrastructure's (RInfra) special leave petition challenging a Delhi High Court order which set aside an arbitral award for the Airport Metro project, the company said in its statement. The Hon’ble Supreme Court has entertained the Special Leave Petition (SLP) filed by Reliance Infrastructure's special purpose vehicle Delhi Airport Metro Express Pvt Ltd (DAMEPL) challenging the judgement of Hon’ble Division Bench of Delhi High Court, which set aside the over Rs 5,800 crore arbitral award won by DAMEPL against DMRC, Reliance Infra said in its statement on Monday. The Supreme Court has also directed DMRC to continue servicing the debt taken for the Airport metro express project. The Hon’ble Supreme Court has issued notice to DMRC in the SLP. A short notice was also issued to DMRC on DAMEPL's plea for interim relief, so that DMRC continues to service the debt of DAMEPL pending the disposal of SLP by the Hon’ble Supreme Court, Reliance Infra said in its statement. DAMEPL was formed to develop the Airport metro project, which the company later terminated its concession agreement for. DAEMPL later claimed the Rs 5800 crore arbitration award as termination compensation for the project. DAMEPL had filed the petition with the Supreme Court after a Division Bench of the Hon’ble Delhi High Court had set aside an order of the Single Judge Bench of Hon’ble Delhi High Court upholding the over Rs. 5,800 crore arbitral award in favour of DAMEPL against DMRC.
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DHFL YET TO DECIDE ON STAKE SALE

Dewan Housing Finance Corp Ltd (DHFL) is yet to take a decision on bringing in strategic investors, the Indian debt-laden housing finance company said on Monday after a report that it was in talks about selling stake. The home loan provider said it was keen to sell assets and some of its businesses to improve liquidity, however, it clarified that talks about the matter has not taken place as yet. Dewan's promoters are looking to sell a 10% stake through various ways, including an open offer. The company's Chief Executive Harshil Mehta had resigned last week. Kapil Wadhawan, chairman and managing director, has taken additional charge as CEO and will remain in the position until a strategic partner comes in, according to the report.
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STATES ALLOCATION: PANEL STICKS TO 2011 CENSUS

The 15th Finance Commission will not alter its approach on solely using the 2011 Census for population figures in its calculations for allocations to States N.K. Singh said. However, he added that other measures would be included that would ensure that States that have performed well by controlling population growth would not be penalised The final decision is that, as far as we are concerned, the Commission is a recipient of the Terms of Reference (ToR), Mr. Singh said. It is not the creator of the Terms. Having received the Presidential Order, we are obligated by the Constitution to act on the basis of the Presidential Order. It is very clear that wherever population has to be used as a criterion, that population should be what is in the Census of 2011. The ToR also do say [we are] to look at incentives for States that have achieved success in terms of replacement rates and better demographic management, Mr. Singh added. So we will be looking at that. The intention of the Commission is to try and see that in no way is efficiency and performance penalised, so we will try to see what kind of a balance we are able to come up with. The panel will be visiting Telangana on Monday, which would take the total number of States so far visited to 19. After Telangana, the Commission is scheduled to visit Rajasthan. It is a race against time, Mr. Singh said. There is an order from the President that by November 1 our report is expected. We will try to conform to that deadline to the extent possible. The point is that flexibility is very limited in the sense that our report will be an overarching factor for the first regular Budget of the new government, that is, the Budget presented in 2020. He said that the recommendations of the Commission, especially to do with the quantum of devolution to the States, will have a bearing on not only the Central Budget but also those presented by the States for the year 2020-21. In general, State finances are in a weaker position than the Centre’s, but we need not be in a celebratory mood regarding the Centre’s finances either. he said. Perhaps for very good reasons, they have kicked the can on the fiscal deficit and debt targets down the road. The Chairman, however, said the Commission had not yet finalised whether it would be altering the previous Commission’s recommendation that 42% of the Centre’s tax revenue be shared with the States. The truth is we have not decided about the 42% devolution amount, Mr. Singh said. It has not been decided for many reasons, but the most important is that we are still waiting for the submissions of the Central government. It has to come very soon. Unless we get the Central government’s requirements and calculation, we can’t decide on it.
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SC TO CONSIDER PLEA FOR URGENT HEARING OF PIL AGAINST ART 370 GRANTING SPECIAL STATUS TO J-K

The Supreme Court on Monday said that it would look into the plea seeking urgent hearing of a PIL challenging the constitutional validity of Article 370 of the Constitution which grants special status to Jammu and Kashmir and limits Parliament's power to make laws for the state. A bench headed by Chief Justice Ranjan Gogoi took note of the submission of lawyer and BJP leader Ashwini Upadhyay that his plea was of extreme national importance and needed to be listed for urgent hearing. Give the mentioning memo to the Registrar. We will see it, the bench, which also comprised Justice Sanjiv Khanna, said. Upadhyay, in his plea which was filed in September last year, has contended that the special provision was temporary in nature at the time of framing of the Constitution and Article 370(3) lapsed with the dissolution of the Jammu and Kashmir Constituent Assembly on January 26, 1957. The plea also seeks a declaration from the apex court that the separate Constitution of Jammu and Kashmir was arbitrary and unconstitutional on various grounds including that it was against the supremacy of the Constitution of India and contrary to dictum of 'One Nation, One Constitution, One National Anthem and One National Flag'. The Constitution of Jammu and Kashmir is invalid mainly for the reason that the same has not yet got the assent of the President, which is mandatory as per provisions of the Constitution of India, the plea, which may come up for hearing next week, said. The petition, filed through advocate R D Upadhyay, claims that the maximum life span of Article 370 was only till the existence of the Constituent Assembly, that was January 26, 1950 when the national document was adopted. It claimed that the Article empowered the state legislature to frame any law without attracting a challenge on the grounds of violation of the right to equality of people from other states or any other right under the Constitution.
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HIGH COURT RESERVES VERDICT IN NATIONAL HERALD EVICTION CASE

The Delhi High Court on Monday reserved verdict on a plea by National Herald publisher AJL challenging a single judge direction to vacate the premises here, arguing that transfer of shares to YI, in which Congress Chief Rahul Gandhi and his mother Sonia Gandhi are shareholders, won't make them the building's owners. A bench of Chief Justice Rajendra Menon and Justice V K Rao reserved its decision after Associated Journals Ltd concluded its arguments. The court also asked AJL and the Centre's lawyers to file their written submissions in three days During the over an hour long hearing, AJL, represented by senior advocate Abhishek M Singhvi, reiterated the argument that transfer of the company's majority shares to Young India (YI) would not make Gandhis the owners of the Herald building here. Singhvi also contended that the Centre never raised the issue of lack of printing activity at the Herald building prior to June 2018, by when publishing of some of its online editions had already commenced.
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TIME TO TURN CAUTIOUS ON INDIA INC, DEBT LEVELS TO TRIPLE BY NEXT YEAR: S&P

Global Rating agency Standard and Poor's (S&P) on Tuesday warned that it's time to turn cautious on rated Indian corporates as their revenue growth is likely to slow down in the next 18-24 months Global risks such as stability of commodity prices as well as demand from the US and China will have a greater bearing on Indian companies rather than domestic demand in the next year or two, it cautioned. India's central government elections may pose additional risks for Indian corporates A change of administration may trigger expansionary government spending which may push up borrowing costs or even raise inflation, S&P said in a statement. However, the performance of companies rated by S&P should remain stable, given low costs, capacity expansion, and benign input prices, said S&P Global Ratings credit analyst Krishnakumar Somasundaram Vishwanathan in a report titled Indian Corporate 2019 Outlook--Time For Caution. With the exception of telecom, growth in other sectors in India has been accompanied by margin stability. This trend is expected to continue. The revenue environment for rated corporates is facing increasing global risks such as China's slowdown, trade war escalation, or a disorderly Brexit, the report said. The capital expenditure will be concentrated in few companies in fiscal years 2020 (ending March 31) and 2021 for either one-off capacity building or defending market positions against disruptive trends. A gradual taper down of capital expenditures for rated companies in aggregate is likely to turn discretionary cash flows positive for the first time in three years, it said. Over the decade from fiscal 2011 to fiscal 2020 (estimates), rated corporates will double their aggregate EBITDA but this will be accompanied by tripling of debt. We expect half a turn of deleveraging over the next two years, which means debt to EBITDA reducing by 0.5x. But some corporates in cyclical industries still have higher leverage than global peers, in addition to a reduced financial cushion in the event of a downturn, said S&P .
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MAHARASHTRA FARMERS SET FOR LONG MARCH 2.0 AS DEMANDS REMAIN UNFULFILLED

Less than a year after the Kisan long march from Nasik to Mumbai, farmers, tribals and landless labourers will once again be protesting on the same route Organised by the CPI(M)-affiliated All India Kisan Sabha (AIKS), the protest march will begin in Nasik on February 20 and conclude in Mumbai on February 27. According to the AIKS, the number of protestors – at 80,000 – is likely to be twice as much as last year. The march is going to be bigger than last year. The numbers are more and the days of the protest are also more, said Ajit Nawale, Maharashtra AIKS general secretary. The AIKS has alleged that the promises made by the Devendra Fadnavis-led Maharashtra government after last year’s protest have not been fulfilled. A year has passed, but the government has not executed its promises. There is dissent among the farmers, the AIKS said in a statement. The state government has announced a loan waiver package of Rs 34,000 crore in 2017, the government officially announced that it has been able to disburse only Rs 17,000 crore so far. We want the government to take immediate steps to fulfil the commitment made to the farmers, said Ashok Dhawale, AIKS president. The AIKS is demanding that loans be waived, minimum support prices be set at cost plus 50% and the implementation of the Forest Rights Act. In addition, the AIKS is also demanding that the government take urgent and immediate steps to deal with the grim drought situation in the state.
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TELANGANA CABINET EXPANDED WITH INDUCTION OF 10 MINISTERS

Telangana Chief Minister K. Chandrashekhar Rao on Tuesday expanded his cabinet with the induction of 10 new ministers. Governor E.S.L. Narasimhan administered the oath of office and secrecy to the ministers at a ceremony held at Raj Bhavan. Of the new ministers sworn in, five were in the previous cabinet while the rest are first-time ministers. The ministers who took oath are A. Indrakaran Reddy, Eatala Rajender, Koppula Eshwar, T. Srinivas Yadav, V. Prashanth Reddy, S. Niranjan Reddy, V. Srinivas Goud, E. Dayakar Rao, Malla Reddy and G. Jagadishwar Reddy.
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INDANE LEAKED MILLIONS OF AADHAAR NUMBERS: FRENCH SECURITY RESEARCHER

A French researcher has claimed that he found a major security lapse that allegedly exposed millions of Aadhaar numbers of dealers and distributors associated with Indane, an LPG brand owned by the Indian Oil Corporation (IOC). Baptiste Robert, who goes by the online handle Elliot Alderson and has exposed Aadhaar leaks in the past, wrote in a blog post on Medium late Monday that the Aadhaar data of nearly 6.7 million dealers and distributors of Indane, accessible only with a valid username and password, was left exposed Due to a lack of authentication in the local dealers portal, Indane is leaking the names, addresses and the Aadhaar numbers of their customers, said Alderson. Using a custom-built script to scrape the database, Alderson found customer data for nearly 11,000 dealers, including names and addresses of customers, before his IP was blocked by Indane. I wrote the python script. By running this script, it gives us 11062 valid dealer ids. After more than 1 day, my script tested 9,490 dealers and found that a total of 5,826,116 Indane customers are affected by this leak, he wrote. The French researchers found 5.8 million Indane customer records before his script was blocked. Unfortunately, Indane probably blocked my IP, so I didn't test the remaining 1,572 dealers. By doing some basic math we can estimate the final number of affected customers around 6,791,200, Alderson added.
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END CASTE DISCRIMINATION, IDENTIFY THOSE WHO PROMOTE IT FOR SELF-INTEREST: PM MODI

Prime Minister Narendra Modi on Tuesday invoked Sant Ravidas on his birth anniversary to urge people to end caste discrimination and identify those who promote it for self interest. Modi said caste discrimination is an impediment in achieving social harmony. Irrespective of caste, creed and other factors, all should get benefit of government schemes he said. Guruji (Sant Ravidas) had said that there should be no discrimination on the basis of caste. Till caste discrimination is there, people cannot connect with each other, social harmony is not possible and equality cannot be ensured, the prime minister said. Without taking any names, he asked people to identify those who, for their self-interest, create caste discrimination and promote it. Unfortunately, caste discrimination could not be removed till now. The New India will witness this change with help of the youth, he added.
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INDIA NEEDS MORE WOMEN PARLIAMENTARIANS

The 16th Lok Sabha ended its final session last week. Elections for the 17th Lok Sabha will probably be announced in early March and will span the months of April and May. The political buzz is all about vote shares, seats, coalitions and on who will be prime minister. There is no attention being paid to the number of women in Parliament. India ranks 153 out of 190 nations in the percentage of women in the lower house of world parliaments. According to a list compiled by the Inter-Parliamentary Union, Rwanda ranks first with 61% of its lower house representatives being women. As a region, Nordic countries are leaders with an average of about 40%. The UK and the US are relative laggards with 32% and 23%, respectively. The United States’ current tally, though still moderate, is bolstered by a very strong showing by women in the recent congressional elections. Even Pakistan with 20% participation from women is ahead of India. India had 65 women out of 545 members of Parliament (MPs) elected to the 16th Lok Sabha in May 2014, for a 12% representation. Only the 15th and 16th Lok Sabha changed a previously stagnant representation of under 9% recorded by Indian women MPs since Independence. First, the Indian system has electoral representation to the Lok Sabha based on population. Thus, Uttar Pradesh with a population of over 200 million people has 80 MPs, Bihar with a population of 100 million has 40 seats and Maharashtra with a population of 114 million has 48. Four of the north-eastern states—Nagaland, Mizoram, Meghalaya and Sikkim—have only one seat each. Uttar Pradesh shows a better than national average representation of 17.5% (14 MPs) by women, while Maharashtra has the national average of 12.5% (6 seats) and Bihar is much below the national average at 7.9% (3 seats). While we allocate total seats to states by population, the resultant women’s representation at 12% is far below the actual population of women. So, on grounds of fairness, this is an anomaly. A fully representative Parliament allows the different experiences of genders to craft priorities and shape the economic and social future of a democratic society. Second, there is documented evidence both at the international level and at the gram panchayat (village) level to suggest that a greater representation of women in elected office balances the process and prioritizations that elected bodies focus on. A wide range of international studies have focused on policy style, agenda and outcomes. In terms of policy styles, for instance, the inclusion of women adds behind the scenes discussion rather than direct confrontation on the floor of the House. In terms of agenda (as measured in Rwanda), a wider range of family issues get tackled. That said, for national parliaments there is no conclusive evidence yet that policy outcomes are different. In an influential paper, Esther Duflo and Raghabendra Chattopadhyay (NBER Working Paper 8615) show that in a randomised trial in West Bengal, women pradhans (heads of village panchayats) focus on infrastructure that is relevant to the needs of rural women, suggesting that at least at the local level outcomes can be different. India has had a long-serving woman prime minister and several women chief ministers and speakers of the House. Yet its record of women parliamentarians is woefully poor. For a balanced future for the country, it behoves us to debate and agree on how to change this.
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'SABKA VINAASH': YOGI ADITYANATH DESCRIBES SP, BSP, CONGRESS' MOTTO

Yogi Adityanath Monday said while the BJP's motto was Sabka Saath, Sabka Vikas, the opposition SP, BSP and the Congress in the state stood for Sabka Vinaash (destruction of everyone). SABKA stands for SP (Samajwadi Party), BSP (Bahujan Samaj Party) and Congress. Our Sabka slogan speaks about development of all. Their Sabka speaks about destruction of everyone. We stand for Sabka Saath, Sabka Vikaas. Yours is Sabka Saath, Sabka Vinaash, Adityanath said intervening the discussion. Taking a dig at the Congress, he said, Every citizen of this country is proud of our traditions If the Congress had tried to take pride in the country's traditions, it would not have come to its lowest tally in the state and the country. This situation has come as the Congress had insulted the culture and traditions of the country. When you want to garner votes, you show your janeu (sacred threads worn by Hindus). People have even started telling their 'Gotra' (sub-caste). And even the SP did not find the Congress suitable to include it in the SP-BSP alliance, the chief minister said, targeting the opposition Congress in the state.
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MODI FLAGS OFF WORLD'S FIRST DIESEL TO ELECTRIC CONVERTED LOCOMOTIVE

Prime Minister Narendra Modi on Tuesday flagged off the world's first diesel to electric converted locomotive. The Prime Minister is scheduled to spend around six hours in Varanasi, his parliamentary constituency, during which he will launch projects worth Rs 3,300 crore
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5.7 CRORE INDIANS DEPENDENT ON ALCOHOL, NEED TREATMENT: GOVERNMENT SURVEY

A comprehensive government survey that covers all states and Union Territories has revealed serious drug and alcohol abuse with an estimated 5.7 crore persons requiring treatment for alcohol dependency, 72 lakh individuals for cannabis use, 60 lakh for opioids and 11 lakh for sedatives. The numbers may well be higher, but the survey, which is based on a household survey of over 2 lakh households in 186 districts, presents a worrisome picture of drug and alcohol abuse that is taking a heavy toll on health and economic productivity of individuals. A respondent driven sampling survey of 70,293 people suffering from dependence on illicit drugs was also carried out. The number of individuals affected by cannabis abuse points to a growing problem with the drug easily available in cities and even rural areas. Seen as a gateway drug that leads to harder drugs like cocaine and heroin, cannabis carries the risk of mood and personality disorders. For the first time, data on women users has also been collected. Data shows while alcohol use is higher among men at 27.3% as compared to women at 1.6%, it is reported among women in almost all states. Also, 6.4% of women users are dependent on alcohol. More than half of the male population of Chhattisgarh, Tripura and Punjab are alcohol users. In absolute numbers, UP has the highest at 4.2 crore users, followed by 1.4 crore in West Bengal and 1.2 crore in MP. The survey found that of an estimated 16 crore alcohol consumers in the 10-75 years bracket, as many as 19% of them were dependent on alcohol. Besides alcohol and drug dependency, there are an estimated 4.6 lakh children and 18 lakh adults in need of help for dependence on inhalants and sedatives. Data collected between December 2017 to October 2018 also shows a severe lack of treatment facilities. Only one in 38 people with alcohol dependency reported getting any treatment while one in 180 reported getting in-patient treatment in a hospital. For drug users, the number was one out of 20. These findings are part of the Magnitude of Substance Abuse in India report prepared by the National Drug Dependence Treatment Centre of AIIMS for the the ministry of social justice and empowerment. The number of people needing help in UP stands at 28 lakh followed by Punjab at 5.7 lakh and Odisha at 4.9 lakh.
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'INTERNATIONAL VISION ZERO CONFERENCE’ TO PROMOTE OCCUPATIONAL SAFETY AND HEALTH INAUGURATED IN MUMBAI

Shri Heeralal Samariya, inaugurated the three days Conference on the VISION ZERO and its relevance to Occupational Safety and Health being held from 18th to 20th, February, 2019 in Mumbai. The concept of ‘Vision Zero’ is fast gaining international acceptance and is expected to leverage the efforts of the Government of India to raise the occupational safety and health standards in the country so as to improve the occupational safety and health situation. The concept of Vision Zero is based on four fundamental principles viz. life is non-negotiable, humans are fallible, tolerable limits are defined by human physical resistance, and people are entitled to safe transport and safe workplaces. The Vision is based on principles of Controlling Risks, Ensuring Safety and Health in Machines, Equipment and Workplaces and Skill Upgradation of Workforce.
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TEXTILES MINISTER LAYS FOUNDATION STONE OF HASTSHILP COMPLEX

Minster of Textiles in her address stated that the Bhawan will be named Deen Dayal Antarashtriya Hastshilp Bhawan and awardee artisans will be allocated space for marketing their products, on rotation basis, and preference will be given to Divyang artisans. Smriti Zubin Irani, also said that the Hastshilp Bhawan will have dormitory facilities for handicrafts artisans who will come from all across the country. There will be a separate research wing and research will be carried out on endangered crafts and new and emerging handicrafts products and markets. The construction of the Hastshilp Bhawan is being undertaken by NBCC at a cost of Rs.113.56 crores. The construction will be complete in 18 months.
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CENTRAL WAQF COUNCIL OBSERVED TWO-MINUTE SILENCE TO PAY TRIBUTES TO SECURITY FORCE PERSONNEL

Mukhtar Abbas Naqvi today said here that for the first time since the Independence, the Central Government has been providing 100 per cent financial help to utilise Waqf properties across the country for educational empowerment and job-oriented skill development of the needy sections of the society. Naqvi said that the Central Government has provided basic amenities to ensure educational empowerment and job-oriented skill development of Minorities, especially girls, in those backward areas of the country which were deprived of these facilities since the Independence. He said that the campaign to utilise Waqf properties across the country for socio-economic-educational empowerment and job-oriented skill development has been successful. There are around 5.77 lakh registered waqf properties across the country. During the last about 4-and-a-half years, under PMJVK, 28 Degree Colleges, 2197 School Buildings, 40,201 Additional Classrooms, 1213 Hostels, 191 Industrial Training Institutes (ITIs), 50 Polytechnics, 39,586 Anganwadi Centres, 405 Sadbhavna Mandaps, 89 Residential Schools, 527 Market sheds etc have been constructed by the Modi Government in the Minority concentrated areas. The Government has provided employment and employment opportunities to more than 6 lakh Minority youths through various job-oriented skill development schemes. During the last 2 years, more than 2 lakh artisans have been provided employment and employment opportunities through Hunar Haat.
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INDIAN DELEGATION TO SAUDI ARABIA PITCHES FOR TRADE COOPERATION

A high-level Indian delegation led by Niti Aayog CEO Amitabh Kant to Saudi Arabia has called for bilateral cooperation with the Gulf nation in sectors like energy, food processing, pharmaceuticals and infrastructure. The delegation visited Saudi Arabia for two days from February 16. It comes ahead of the visit of Saudi Arabia Crown Prince Mohammed bin Salman bin Abdulaziz Al Saud to India on February 19 and 20. Invest India Grid was launched in Saudi Arabia. Invest India is setting up a dedicated team for facilitating Saudi investments in India, the Niti Aayog said in a statement. Six working groups have identified 40 investment, trade and business opportunities with vast potential for expansion, it said.
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TWITTER RETAINS OLD MESSAGES EVEN AFTER THEY ARE DELETED: REPORT

Micro-blogging site Twitter has reportedly been retaining messages shared on its platform including deleted messages along with data shared and received from accounts that have been suspended or deactivated, the media reported. Security researcher Karan Saini found years-old messages in a file from a data archive obtained through the website from accounts that were no longer on Twitter, TechCrunch reported on Saturday. Previously, Twitter allowed users to delete messages from the chat itself with the unsend feature but now, users are only allowed to remove messages from their own account. We are looking into this further to ensure we have considered the entire scope of the issue, the report quoted a Twitter spokesperson as saying. As part of its privacy policies, Twitter notes that anyone wanting to leave the service can have their account deactivated and then deleted and after a 30-day grace period, the account, along with its data, disappears from the platform. But, in our tests, we could recover direct messages from years ago - including old messages that had since been lost to suspended or deleted accounts. By downloading your account's data, it is possible to download all of the data Twitter stores on you, the report said.
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GOOGLE SAY NO EVIDENCE ITS IMAGES SHOWED PAK FLAG FOR 'TOILET PAPER'

Google on Tuesday said that it has found no evidence that its Search algorithms were showing the Pakistani flag when looked for the best toilet paper in the world, the best China-made toilet paper or just toilet paper. While we continue to investigate the matter, we have not found any evidence that Google Images was ranking the Pakistani flag in response to this particular search, a company spokesperson said.
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EVEN TRUMP'S TARIFF THREATS CAN'T DRIVE EUROPE TO MAKE RUSSIA ITS PARTNER

As the US demands more from Europe and castigates it ever more stridently, it’s increasingly clear that Russia is missing a historic opportunity If President Vladimir Putin hadn’t made Russia an unreliable partner for its neighbours, he’d be poised to realize his fondest dream: of displacing the US as Europe’s security guarantor. US pressure on Europe has gone far beyond President Donald Trump’s tariff threats and military-spending harangues. US officials are demanding obedience in many other areas, too. This month alone, Gordon Sondland, Trump’s envoy to the European Union, said the EU really should be linking arms with the US to check China in every respect. Richard Grenell, the US ambassador to Germany, lashed out at the Nord Stream 2 pipeline project expanding Russian natural gas exports to Europe. Mike Pence, speaking in Warsaw on Feb. 14, deviated from the written text of his speech to strengthen his demand that European countries abandon the 2015 Iran nuclear deal as the US has done. At the Munich Security Conference on Feb. 16, Pence again exhorted Europeans to fall in with the US on Iran, on market access for Chinese companies such as Huawei and on Nord Stream 2. Despite European officials’ determination to preserve what’s left of the US-led liberal world order, the cracks in the transatlantic alliance are obvious They were one of the themes of the Munich conference, and they showed in the prolonged silence Pence faced when he conveyed greetings from Trump, expecting applause in response. And polls in key European countries show that once relatively pro-American voters no longer trust the US. This month’s DeutschlandTrend survey shows that only 24 percent of Germans consider the US a trustworthy partner; over 50 per cent did before Trump’s election. Europe needs a counterbalance to US influence Had it not grown so dependent, US officials would have had to scale back their demands and start talking to Europeans as equal partners. Ideally, the EU shouldn’t just be able to stand up for itself economically (to be able to stand up to US sanctions when that’s in the European interest) but also be capable of ensuring peace in its neighborhood — the Balkans, Middle East, North Africa and the former Soviet Union — and suppressing terrorist threats like the one from the Islamic State. Stronger ties with one of the other two major powers, China or Russia, would be another option. And if Russia were to try weakening Europe’s US dependence, it wouldn’t be starting from scratch. Ever since Mikhail Gorbachev’s years as leader of the Soviet Union, Russia has sought a new security architecture in Europe that would reduce the importance of the North Atlantic Treaty Organization and instead empower the Organization for Security and Cooperation in Europe, a large but amorphous grouping that includes Russia. Putin, for whom resistance to US hegemony has long been a foreign policy priority, shot himself in the foot twice, first by dismantling Russia’s institutions in Europe’s plain sight and then by attacking Ukraine after it moved toward closer ties with the EU. Of the two strategic miscalculations, the second may seem more critical: Starting a war not far from the EU’s borders is not the way to build alliances. But the swing toward authoritarianism was the source of all future errors. A democratic Russia wouldn’t have invaded Crimea or helped seal off eastern Ukraine from the rest of the country. And, in a way, regular leadership changes guarantee policy continuity better than authoritarian rule does; it’s easier for the Europeans to hope the U.S. will return to normal after Trump than to entertain the Russian alternative.




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Thanks & Regards,
CS Meetesh Shiroya

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