Wednesday, 13 February 2019

TAXATION UPDATES 13.02.2019





SUSPICIOUS INCOME TAX REFUND CLAIMS UNDER I-T DEPT SCANNER

Suspicious income tax refund claims have gone up in last three years and scrutiny assessments have been initiated against taxpayers claiming high refunds inconsistent with the pattern of income and investments, Parliament was informed Tuesday. Shiv Pratap Shukla in a written reply to a question in Rajya Sabha said there has been an increase in detection of suspicious refund claims The number of suspicious refund claims selected for scrutiny stood at 20,874 in 2018-19, 11,059 in 2017-18 and 9,856 in 2016-17. Scrutiny assessments have been initiated against taxpayers claiming high refunds inconsistent with the pattern of income and investments. Wherever after scrutiny the claim of refund was found to be inadmissible, the same was denied and consequential action of penalty and prosecution was taken based on the merits of the case, he said. The total amount of I-T refunds during 2018-19 (up to February 2, 2019) stood at Rs 1.43 lakh crore, 2017-18 (Rs 1.51 lakh crore), 2016-17 (Rs 1.62 lakh crore) and 2015-16 (Rs 1.22 lakh crore). The minister said I-T Department has also incorporated certain risk parameters in its system which prevents refunds from being automatically cleared in cases where suspicious refund claims are made in tax returns, especially those which are filed from a single IP address or from a single locality or by a single intermediary. Such cases are then examined for possible selection in scrutiny or for electronic verification from the taxpayer. Swift action is taken by the Department against persons found to be involved in any malpractices related to refunds, Shukla said. In a separate reply, the minister said the number of Income Tax Returns (ITRs) filed in 2018-19 up to January 2019, is 6.36 crore, a rise of over 37 per cent over 4.63 crore ITRs filed during the corresponding period of 2017-18. About 25 crore SMSes and e-mails were sent to taxpayers in 2018-19 reminding them to submit their ITRs in time. In addition, advertisements were also placed in newspapers for timely submission of ITRs. A provision for levy of fees of up to Rs 10,000 for late filing of ITRs has also been introduced with effect from 2017-18 to discourage late filing of return, Shukla said. Besides, the field officers have been sensitised about the increasing trend of high-risk refunds and directed to take all necessary precautions and conduct necessary due diligence before admitting a claim of high refund, he said. The number of ITRs filed during 2016-17, 2017-18 and 2018-19 stood at 5.57 crore, 6.86 crore and 6.36 crore, respectively. Direct tax collections for 2016-17 were Rs 8.49 lakh crore which increased 18 per cent to Rs 10.02 lakh crore in 2017-18. Collections in 2018-19 (up to January 2019) are at Rs 7.89 lakh crore, 13.4 per cent higher than the collections during corresponding period of last year.
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GOVT TO EXPEDITE CAMPAIGN TO RID COUNTRY OF THE CORRUPT: MODI

Prime Minister Narendra Modi said on Tuesday his government will speed up the campaign to rid the country of the corrupt claiming that only such people had a problem with him while the honest trusted the 'chowkidar'. Modi sought people's support in the campaign Swachh Shakti 2019. In 2014, you gave your votes for an honest and transparent government. Middlemen and those who snatched the rights of the poor have been thrown out of all the systems, he said. Every honest person in the country trusts this 'chowkidar' (watchman) but those who are corrupt, have a problem with Modi, he said. Even in Haryana, you are witnessing how some people are worried because of probe by investigating agencies, he said without naming anyone. All the faces of this 'maha-milawat' are indulging in competition of threatening and abusing investigating agencies, court and Modi, he said. But you rest assured, this 'chowkidar' will neither be threatened or browbeaten with their threats and abuses, will neither stop nor bow down. Our 'safai' campaign to rid this country of the corrupt and the dirt is going to be further accelerated. For this campaign, your blessings should continue,he said.
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GOVT MAY EXEMPT DPIIT-CERTIFIED STARTUPS FROM ANGEL TAX

The government is considering giving complete exemption to startups from angel tax once they are certified by the Commerce and Industry Ministry, a move aimed at helping budding entrepreneurs official sources sa The consideration assumes significance as several startups have claimed to receive angel tax notices, impacting their businesses. Various startups have raised concerns on notices sent to them under the Section 56 of Income Tax Act to pay taxes on angel funds received by them. Officials of the department for promotion of industry and internal trade (DPIIT) and Central Board of Direct Taxes (CBDT) are holding series of meetings to address the angel tax issue, the sources said. One of the consideration being though about actively is to give complete exemption to startups from Section 56(2)(viib) of the Income Tax Act, once they are certified by the DPIIT, they added.This move may be gelled with capping the investment to a much higher level of angel funds so that a good number of startups do not face the taxmen. A notification in this regard is expected to be issued by the department and board soon.Giving relief to budding entrepreneurs last year, the government allowed startups to avail tax concession only if total investment, including funding from angel investors, does not exceed Rs 10 crore.
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TAXATION OF DIGITAL BUSINESSES

The Government has not held any consultation regarding taxation of digital businesses as such. However, to address the challenges posed by the enterprises who conduct their business through digital means and carry-out activities in the country remotely, the following measures have been taken: A new levy by the name of ‘Equalisation Levy’ was introduced vide Chapter VIII of the Finance Act, 2016. The introduction of the levy was based on the recommendations of a Committee, comprising of officers of the Income-tax Department and member of the general public, constituted by the Government to deliberate on the issue of taxation of the digital economy in the light of the report on Action Plan 1 of the OECD Base Erosion and Profit Shifting (BEPS) project and suggest possible measures. Presently, the levy is charged @ 6% of the amount of consideration for specified services received or receivable by a non-resident not having permanent establishment ('PE') in India, from a resident in India who carries out business or profession, or from a non-resident having permanent establishment in India, where the aggregate amount of such consideration exceeds one lakh rupees in a previous year. Section 9(1)(i) of the Income-tax Act, 1961 (‘the Income-tax Act’) was amended to bring in the concept of Significant Economic Presence for establishing business connection in the case of non-resident in India. Accordingly, significant economic presence shall mean– Any transaction in respect of any goods, services or property carried out by a non-resident in India including provision of download of data or software in India if the aggregate of payments arising from such transaction or transactions during the previous year exceeds the amount as may be prescribed; or Systematic and continuous soliciting of its business activities or engaging in interaction with such number of users as may be prescribed, in India through digital means. In order to prescribe the thresholds as mentioned above, suggestions/comments of stakeholders and the general public have been invited in order to prescribe the thresholds to establish significant economic presence of a non-resident in India. The comments and suggestions so received are under consideration. If digital businesses operated by non-residents are structured to artificially avoid establishment of a business connection or permanent establishment in India, including by way of claiming the activities carried out in India to be preparatory or auxiliary in nature, the GAAR provisions under the Income-tax Act may become applicable to the income of such digital businesses in India. Signing of the Multilateral Instrument is unlikely to address the broader tax challenges of digitalisation of economy owing to the redundancy of physical presence-based nexus. The imposition of Equalization Levy has led to increase in tax collection The collection under the Equalisation levy exceeded Rs. 550 crore for FY 2017-18. Further, the introduction of taxation based on significant economic presence is also expected to increase tax collection as it seeks to widen the tax base in India by establishing business connection and charging to tax income earned by digital businesses which operate out of jurisdictions with which India has not entered into a Double Taxation Avoidance Agreement (DTAA). However, in respect of digital businesses operating out of jurisdictions with which India has already entered into a DTAA, significant economic presence will only be effective after renegotiation of such DTAA which will be based on international consensus.
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CBDT, DPIIT NOTIFICATIONS UNLIKELY TO CLARIFY ON CONTENTIOUS SEC 68

Notifications from the Central Bureau of Direct Taxes (CBDT) and the Department for Promotion of Industry and Internal Trade (DPIIT) related to the contentious ‘angel tax’ issue are unlikely to provide any clarifications on Section 68 of the Income Tax (IT) Act. The anticipated notifications will not provide any sort of exemption to startups under Section 68 of the IT Act, and will only give a blanket exemption to the Department for Promotion of Industry and Internal Trade-registered startups from Section 56. The notifications from the two regulatory authorities tasked with looking into the issue that has dominated the discourse across India’s startup ecosystem, are expected to be published over the next 24-48 hours. According to the sources cited above, at most, there could be a note from the CBDT asking assessing officers to consider that they are dealing with registered startups that are exempt from Section 56. It is, however, unlikely to be a binding directive. Section 68 states if no explanation is given by the assessee, or the explanation given is not satisfactory in the opinion of the income tax department, in respect of any amount credited in the books of accounts of assessee, the amount is deemed to be an undisclosed income, which would form part of the total income chargeable under the Income Tax Act. This has proved to be a sore point for the country’s startupventures, many of which have not given a satisfactory explanation in the opinion of the IT department, thereby receiving notices under the section. The lack of clarification from DIPP and CBDT are likely to raise more questions from startup ecosystem, which has been vocal in its opposition to both Section 56 and 68, Startups to be given blanket exemption from Section 56(2)(viib) under the notification without providing any clarification with respect to notices to be issued under Section 68 will still leave an ambiguity in the startup space, considering powers of the IT department under sections 56 and 68 are independent of each other, said Atul Pandey.
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DRI SLAPS RS 620-CR CLAIM ON IBM FOR UNPAID DUTIES

The Directorate of Revenue Intelligence (DRI) has issued a notice to technology major IBM, asking it to pay Rs 620 crore in unpaid customs duties for equipment imported into the country, three people familiar with the development told. The agency has also issued two additional notices, two of the people said, which could take the total dues to Rs 900 crore. The over-200-page notice for Rs 620 crore details what the DRI terms as omissions by the American company. IBM has been told that it has not been paying customs duty on the operating software sold along with the hardware, as well as duty on the warranty for this equipment. It has also been charged with not paying customs duty on intra-company transfer of assets from different geographies to India, according to the sources cited above.
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INFORMATION COMMISSION HAS A HUGE BACKLOG OF CASES IN KARNATAKA

With about 19,000 applications before the Karnataka Information Commission (KIC) waiting to be disposed of, the effectiveness of Right to Information (RTI) is in question in the state. The latest data (as on January 18) shared by the KIC shows a majority of the pending applications (13,884) were filed in 2018. There were already 4,000 pending cases from before 2018. As many as 900 cases have been filed so far this year. Of the 19,289 pending appeals, about 12,000 are being heard, 4,000 have been allotted for hearing (hearing is yet to commence), while about 3,000 are yet to be allotted for hearing. Humungous as this sounds, the situation is said to be far better than 2-3 years ago when over 30,000 applications were pending before the commission. With eight information commissioners, including a chief information commissioner, handling 30-50 cases each per day, getting a case resolved is no easy task for RTI applicants.
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IPS OFFICER RINA MITRA APPOINTED PRINCIPAL ADVISER TO BENGAL GOVT

Rina Mitra, a 1983-batch IPS officer, who retired on January 31 as special secretary (internal security) in the Union home ministry, has been appointed as principal adviser (internal security) in the Mamata Banerjee government. Mitra, a Madhya Pradesh cadre officer and batch mate of CBI director Rishi Kumar Shukla, had lost out in the race for the post of CBI director recently A senior state home department official said, Mitra has been appointed as principal adviser (internal security) for the state. The government will soon issue a notification in this regard. A government order, dated February 12, also said, the terms and conditions of her service will be notified by a separate order. Confirming her new position in the state, Mitra told, It is like homecoming.
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GOVERNMENT APPROVES 54 KILLER DRONES FROM ISRAEL FOR INDIAN AIR FORCE

In a major boost for Indian Air Force's unmanned warfare capability, the Defence Ministry has approved 54 Israeli HAROP attack drones which can crash into high-value enemy military targets to destroy them completely. The Air Force already has an inventory of around 110 of these drones which have now been renamed as P-4. These are equipped with electro-optical sensors to loiter over high-value military targets such as surveillance bases and radar stations before exploding them. A proposal to acquire these 54 attack drones was approved by the Defence Ministry at a high-level meeting last week, defence sources told. Americans have been using the combat drones to carry out targeted assassinations of terrorist leaders in Afghanistan, Iraq and Pakistan but the relatively slow unmanned vehicles are not known to be very effective in warfare where the opposition also has a strong air force.
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REVIEW PLEA FILED IN SUPREME COURT ON FACULTY QUOTA

The Centre has filed a review petition in the Supreme Court on Tuesday to undo the Allahabad High Court order on faculty reservations in universities. The Allahabad High Court order of 2017 had made each university department the ‘unit’ for calculating reserved category posts instead of treating the whole university as a unit as has been the case so far. The apex court had, on January 22, upheld the 2017 HC order and dismissed the Centre’s special leave petition challenging it. The review petition is learnt to have cited latest data assessments from 20 central universities that showed the impact of the order on reserved categories. At the same time, general category representation could rise by 25%-40% if the HC mandated formula is followed.
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NDA'S DEAL 2.86% CHEAPER THAN UPA'S IN 2007: CAG REPORT ON RAFALE

Country's top auditor Comptroller and Auditor General (CAG) has said in its report that the Rafale fighter jet deal signed in 2016 was 2.86 per cent cheaper than the UPA's deal in 2007 The much-awaited CAG audit report on Capital Acquisitions in Indian Air Force was tabled in Rajya Sabha that include the government to government Rafale deal signed between India and France. Blunting opposition charges of overpricing, the 141-page CAG report has mentioned that the fly away price of the jet is same as agreed in the 2007 by the UPA government.
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MAJOR PORTS REGISTER POSITIVE GROWTH OF 3.11%

The major ports in India have recorded a growth of 3.11% and together handled 578.86 Million Tonnes of cargo during the period April to January, 2019 as against 561.39 Million Tonnes handled during the corresponding period of previous year. For the period from April’18- January 2019, Nine Ports Kolkata (incl. Haldia), Paradip, Visakhapatnam, Kamarajar, Chennai, Cochin, New Mangalore, JNPT and Deendayal have registered positive growth in traffic.

Cargo traffic handled at Major Ports
·       The highest growth was registered by Kamarajar Port (15.56%), followed by Kolkata [inc. Haldia] (9.86%), Cochin (8 %), JNPT (7.46%) and Paradip(6.4%)
·       Kamarajar Port growth was mainly due to increase in traffic of Container (21.7%), Other Misc. Cargo (41.23%), Other Liquids (11.63%),POL(9.14%) and Thermal & Steam Coal (5.18%).
·       In Kolkata Port, overall growth was 9.86%. Kolkata Dock System (KDS) registered traffic growth of 4.68%. Whereas Haldia Dock Complex (HDC) registered a growth of 12.11%.
·       During the period April’18 to January 2019, Deendayal (Kandla) Port handled the highest volume of traffic i.e. 94.55 Million tonnes (16.33% share), followed by Paradip with 89.98 Million Tonnes (15.54% share), JNPT with 58.6 Million Tonnes (10.12% share), Visakhapatnam with 54.73 Million Tonnes (9.45% share) and Kolkata (inc. Haldia) with 52.18 Millon Tonnes (9.01% share). Together, these ports handled around 60% of Major Port Traffic.
·       Commodity-wise percentage share of POL was maximum i.e. 33.35%, followed by Container (20.8%), Thermal & Steam Coal (14.95%), Other Misc. Cargo (10.51%), Coking & Other Coal (8.26%), Iron Ore & Pellets (5.71%), Other Liquid (4.20%), Finished Fertilizer (1.21%) and FRM (1.01%).
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MOST PARTIES HAVE REPOSED FAITH IN EVMS, SAYS CEC

Chief Election Commissioner Sunil Arora said Tuesday most parties have reposed their faith in Electronic Voting Machines but expressed regret that some sections made it part of a motivated slugfest. He noted that there was a difference between tampering and malfunctioning (of EVMs) and asserted that not a single case of tampering had been established so far. The CEC, however, remained non-committal on the demand raised by various parties for counting of VVPAT slips though he said a vigorous exercise would be launched to create awareness on the VVPATs. Most parties reposed their faith in voting through the EVM, though some asked for counting of more VVPAT slips. Some wanted more hands-on demonstrations of the machines to familiarise voters on how to use these machines for voting to instill more confidence, the CEC said. Arora said the group of experts from Indian Statistical Organisation and National Sample Survey Organisation would submit its report soon on the possibility of counting VVPATs.
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GOVERNMENT 'VINDICTIVE', HARASSING MY 75-YEAR-OLD MOTHER, ALLEGES ROBERT VADRA

Robert Vadra, who is being probed by the Enforcement Directorate in various cases, Tuesday alleged the Modi government was being vindictive and was harassing his 75-year-old mother as elections were approaching. Vadra, asked as to why the government took four years and eight months in calling him for questioning, a month before campaigning begins for the general elections. Do they think people in India do not view it as an election gimmick? he said in a Facebook post. Three deaths and all I did was to ask her to spend time with me in my office, so I can look after her and we both could grieve on our losses, while spending time together, he said. Vadra alleged that his mother was now being accused, maligned and called to be interrogated, for spending time in his office.
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SFIO TO INTERROGATE EIGHT ACCUSED IN YERAWADA JAIL

The special MPID court on Monday allowed a plea of the Serious Fraud Investigation Office (SFIO) to interrogate all the eight accused arrested in the DSK fraud case for two days from February 18 in the Yerawada central jail. The ministry of corporate affairs on January 18, 2018, had ordered the SFIO to investigate the DSK group of companies after an inspection report submitted by the Registrar of Companies (ROC), Pune, on September 28, 2017, had highlighted various fraudulent activities allegedly by developer D S Kulkarni alias DSK and his group of firms for making unlawful gains. The ministry’s western regional director in Mumbai had directed the ROC, Pune, to conduct the inspection after regulatory body Securities and Exchange Board of India (Sebi) had forwarded a complaint against the DSK group to the ministry. On Monday, lawyer Pradeep Yadav, appearing for the SFIO, moved an application on behalf of the investigating officer seeking the court’s permission to allow them to interrogate all the eight arrested accused in the jail. I am not authorized to speak about the details of the SFIO investigation. The court has allowed interrogation of the accused in jail on February 18 and 19, Yadav told.
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RELIANCE DEFENCE REJECTS RAHUL'S CHARGES, SAYS 'PROPOSED MOU' CITED BY HIM NOT ON RAFALE

Reliance Defence on Tuesday said the proposed MoU mentioned in a purported email cited by Congress president Rahul Gandhi in his fresh allegations on the Rafale deal was a reference to its cooperation with Airbus Helicopter and had no connection with the fighter jet contract Gandhi on Tuesday accused Prime Minister Narendra Modi of treason and violating the Official Secrets Act by acting as Anil Ambani's middleman in the Rafale jet contract, citing an email to claim the businessman was aware of the deal days before India and France signed it. Purported email being referred by the Congress Party is regarding the discussion between Airbus and Reliance Defence regarding Civil & Defence Helicopter Programs under 'Make in India', a Reliance Defence spokesperson said in a statement. Gandhi released to the media an email dated March 28, 2015 purportedly written by Airbus executive Nicolas Chamussy to three recipients with the subject line Ambani. He claimed the email showed Ambani visited then French defence minister Jean-Yves Le Drian's office and mentioned an MoU in preparation and the intention to sign during the PM visit (to France). The discussion on proposed MoU was clearly with reference to cooperation between Airbus Helicopter and Reliance. It had no connection whatsoever with Government to Government Agreement between France and India for 36 Rafale aircraft, the Reliance Defence spokesperson said. It is in public domain that Airbus Helicopter has partnered with Mahindra for the Military Helicopter Programme, the spokesperson added. Also, for the record, the MoU for Rafale aircraft was signed between France and India on January 25 2016 and not in April 2015. From the above, it is evident that the facts are being deliberately twisted and reality being ignored, the company said.
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JAITLEY SLAMS CONGRESS FOR PEDDLING LIES ON RAFALE TO SAVE SINKING DYNASTY

Arun Jaitley Tuesday accused the party of peddling lies on the Rafale deal to save a sinking dynasty and manufacturing a new falsehood every day. Jaitley, in a Facebook post, rejected allegations of conflict of interest of CAG Rajiv Mehrishi saying he never dealt with any file or paper relating to the fighter jet deal during his tenure in the Finance Ministry in 2014-15. How many more lies will be peddled to sustain a sinking dynast? India, certainly deserves better, Jaitley said. Stating that the contagion effect of falsehood is fairly large, Jaitley said the lies spread by the Congress have spread to other colleagues in the Mahajhootbandhan. In relation to the Rafale deal where thousands of crores of public money has been saved a new falsehood is manufactured on a daily basis. The latest is in relation to the present CAG and his participation in the decision making process of Rafale, Jaitley said. I say this without fear of contradiction that no file or paper relating to the Rafale transaction ever reached him nor was he in any way, directly or indirectly, associated with the decision making on defence purchases. Expenditure to be incurred on purchases by various departments of the Government needs the approval of Secretary (Expenditure), he said. Jaitley said the dynast knows that his 500 crore vs 1600 crore kindergarten argument was a fictional story. No one would ever buy it because facts don't support it. Even before the contents of CAG report are known, a 'Peshbandi' attack on the institution of the CAG is launched, Jaitley said. Without naming Gandhi, Jaitley said the dynast and his friends have in the past even attacked the Supreme Court when it rejected the writ petition on Rafale. The Rs 30,000 crore favour to a private company is non-existent. The use of sliced document by a newspaper is unprecedented in the history. The use of an incomplete document is certainly not in consonance with the spirit of free speech. The 'no integrity pact' argument is belied by the fact that even in earlier purchases through inter-governmental agreement with Russia and the United States, such pacts were not there. Now without a shred of evidence, a fictional conflict of interest of the CAG is invented, he said. Jaitley said truth is both precious and sacrosanct and in mature democracies those who deliberately rely on falsehood are banished from public life.
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ONLY THE CORRUPT HAVE PROBLEMS WITH CHOKIDAAR: PM MODI HITS BACK AT RAHUL GANDHI, SAYS HONEST HAVE FULL FAITH IN GOVT

Hitting out at the Congress party and the Grand Alliance of opposition parties, Modi said that the government under his leadership has eradicated the scourge of middlemen Middlemen and those who loot rights of poor have been eradicated from the system. Today, all honest people have faith in ‘chowkidaar’, Modi said. He added, Lekin jo bhrasht hain unko Modi se kasht hai (But those who are corrput have are in pain). The faces of ‘mahamilavat’ are in a competition among themselves to threaten court, CBI, and abuse Modi. The Prime Minister laid the foundation stones of five projects in Haryana that include three projects of the health and Ayush ministries alone.
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CHINA'S FILM INDUSTRY IS PARALYSED AND A $ 1.7-BN TAX DEMAND IS THE REASON

One day last July, Fan Bingbing, China’s highest-paid movie star, seemed to vanished from the face of the earth. Her disappearance occurred around the time the government opened an investigation into Chinese film industry tax practices Both her fans and film executives feared the worst. But in October Fan reappeared as mysteriously as she had vanished. She made a public apology to her fans and agreed to pay more than $100 million in back taxes. The 37-year-old Fan’s public humiliation unleashed a deep chill in an industry that until recently had been humming along. Every week brought fresh reports of stars and companies under scrutiny. Industry tycoons coughed up a stunning $1.7 billion in back taxes after the government urged them to engage in self-examination and self-correction. That, in turn, has prompted a flurry of TV and movie cancellations and even the liquidation of entire companies. Some of the biggest stars and directors are being looked at very closely, says Albert Lee, a former executive at Hong Kong-based Emperor Motion Pictures. That makes people very, very nervous.There have been faint attempts to push back at what many see as unfairly tarnishing an entire industry. In December, a group of prominent directors published a letter accusing the government of forcing law-abiding filmmakers to pay for the sins of a few. We express greatest anger toward some unfair public opinions that stigmatize the entire industry, the China Film Directors' Guild wrote. Between 2008 and 2018, the number of movies produced in China nearly doubled to around 1,000 while the number of movie screens climbed from 4,000 to more than 40,000. The domestic TV business, meanwhile, has surged thanks to billions of new investment from technology companies Alibaba, Tencent and Baidu.
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DID ANDHRA GOVT SANCTION RS 11 CR FOR NAIDU'S DELHI PROTEST? TDP DIFFERS

If the Andhra Pradesh Chief Minister N Chandrababu Naidu’s one-day long hunger strike in Delhi did indeed cause the state exchequer a whopping Rs 11 crore protests are becoming an expensive affair. The state government reportedly released an order on February 6 allocating Rs 11.12 crore as part of the protest expenditure. The state government booked two special trains with twenty coaches each to ferry those attending the protest. The government reportedly sanctioned Rs 1.2 crore for the same and released another Rs 10 crore for meeting the expenditure of the one-day protest in New Delhi. Around 1100 rooms were also booked for those attending the protest. Government of Andhra Pradesh has decided to hire two special trains with 20 compartments each from South Central Railways, Secunderabad, i.e., starting one (1) train from Ananthapuramu and another from Srikakulam to reach New Delhi by 10.02.2019 to transport interested Political parties, organisations, NGOs associations, etc.. to participate in one day Deeksha (Protest) at New Delhi on 11.02.2019 to be led by the chief minister, stated the government release. The government order stated that the money was to be spent on transportation of participants from different regions of Andhra Pradesh and payments of other bills.
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MADRAS HC JUNKS PLEA TO ALLOW PEOPLE TO TAKE OWN FOOD INTO THEATRES

The Madras high court on Monday dismissed a PIL seeking direction to cinema theatres to permit public to bring their own food and eatables to the movie halls A division bench of Justice S Manikumar and Justice Subramonium Prasad passed the dismissal order while noting that theatre is a private property and that there is no constitutional or any statutory rights recognised under law permitting public to carry their own food to theatres. The plea was moved by advocate S Tamizhventhan. He wanted the court to direct the chief secretary to consider his representation seeking to take steps to permit public to bring their own food to cinema halls. According to the petitioner, even the basic requirements such as water bottles, breads and biscuits, snacks, food for children are not permitted while there is no law prohibiting such items into theatres.
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INDIA SIGNS CONTRACT WITH U.S. FIRM FOR 72,400 ASSAULT RIFLES

After repeated attempts to equip the infantry soldier with a basic rifle, the Army on February 12 signed a contract with Sig Sauer of the U.S. for 72,400 SIG 716 assault rifles for the frontline soldier deployed in operational areas. A contract for procurement of 72,400 assault rifles through Fast Track Procurement (FTP) was signed with Sig Sauer of U.S. on February 12, the Defence Ministry said in a statement. Of the 72,400 rifles, 66.400 are for the Army, 2,000 for the Navy and 4,000 for the Indian Air Force. The broad parameters for the assault rifle are an effective range of 500m and weigh less than 3kg. The entire quantity would be delivered within 12 months from the date of signing the contract.
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WITH PAPER PLANES, CONGRESS MPS PROTEST OUTSIDE PARLIAMENT OVER RAFALE DEAL

Raising slogans against the Narendra Modi government, Congress lawmakers protested outside Parliament on Wednesday over the Rafale deal. Party president Rahul Gandhi led the demonstration in which Congress lawmakers were seen carrying paper planes and posters, alleging scam in the multi-crore fighter jet deal. UPA chairperson Sonia Gandhi and former Prime Minister Manmohan Singh were also present in the protest near the Gandhi statue in Parliament complex. Stepping up his attack on Modi over the Rafale issue, the Congress president cited a media report to claim that the prime minister's argument of better pricing and faster delivery of the jets to defend the deal has been demolished. His attack came after a report in The Hindu newspaper claimed that the Rafale deal was not on better terms than the UPA-era offer.
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133 MN NEW JOBS MAY EMERGE IN SHAKE UP BETWEEN HUMANS AND MACHINE:OECD

The OECD has estimated creation of over 133 million new jobs by 2022 in the shake-up between humans and machines. At the same time, 75 million jobs, however, may be displaced, it was revealed at the World Government Summit. The Economic Co-operation and Development (OECD) called on governments and institutions around the world to collaborate far more closely around the Fourth Industrial Revolution to harness opportunities of technological change to end poverty, curb inequalities, confront discrimination and ensure that people are not left behind. Globally, 200 million fewer women are online than men. Gurria said countries across the world are at different stages of the digital revolution and some people will be left behind.
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LIES OF 'MAHAJHOOTBANDHAN' STAND EXPOSED BY CAG REPORT ON RAFALE DEAL: ARUN JAITLEY

Union Minister Arun Jaitley Wednesday said the lies of the Congress and opposition parties stand exposed by the CAG report on Rafale, which reaffirms the dictum that truth shall prevail. The Comptroller and Auditor General (CAG) report on Rafale, tabled in the Rajya Sabha, said that the deal negotiated by the NDA in 2016 was 2.86 per cent cheaper than what was negotiated by the UPA in 2007. It cannot be that the Supreme Court is wrong, the CAG is wrong and only the dynast is right. Satyameva Jayate - the truth shall prevail. The CAG Report on Rafale reaffirms the dictum, Jaitley said in a series of tweet. He said, the CAG report outlines that 2016 deal terms were lower in terms of price, faster in terms of delivery, while ensuring better maintenance and lower escalation. The lies of 'Mahajhootbandhan' stand exposed by the CAG Report. How does democracy punish those who consistently lied to the nation?, he questioned in the tweet.
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CENTRE APPROVES JUST 19% DROUGHT RELIEF FUNDS FOR STATES

States that faced droughts in three years (2015-16 to 2017-18) were left to fend for themselves as the Centre approved a meagre assistance of 19 per cent against the help sought by them to tackle droughts. The State governments had asked for financial assistance of 1,23,605 crore during the three years under the National Disaster Response Fund (NDRF). However, the Centre provided just 23,190 crore. The data compiled by the Ministry of Agriculture and Farmers Welfare show that Tamil Nadu was the least favoured as it received just 4 per cent funds against the total demand. In 2016-17, the Tamil Nadu government had urged the Centre to sanction 39,565 crore from the NDRF. Out of 16,682 revenue villages in the State, 13,305 villages were identified as drought-affected. The ground assessment exercise carried out in 1,564 villages had revealed that in about 87 per cent of the area, the extent of the damage was more than 50 per cent indicating that the drought was ‘severe’ in a majority of the villages. However, the Centre released only 1,748.28 crore to the State. The State did not ask for any funds under NDRF during these three years after the Centres rebuff. Rajasthan and Andhra Pradesh demanded funds every year under NDRF. Rajasthan asked for 21,648 crore and received 2,387 crore or 11 per cent of the total funds sought. Andhra Pradesh sought assistance of 5,193 crore and received 1,065 crore (21 per cent). Among the States that received maximum funds, Uttarakhand topped the list. It received 76 per cent of the assistance sought. However, the State had asked for just 91,97 crore in three years. Uttar Pradesh and Maharashtra received 45- per cent and 38-per cent assistance respectively. Majority of the States had asked funds for tackling drought. But Rajasthan asked for assistance of 4,372 crore to tackle hailstorm in 2015-16, while Maharashtra asked for 3,373 crore to help farmers control pest attack.
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RAO, CBI LEGAL ADVISOR LEAVE COURTROOM AFTER SERVING SC'S DAY-LONG SENTENCE

M Nageswara Rao and the probe agency's legal advisor S Bhasuram left the courtroom after serving their day-long sentence for contempt. The apex court held them guilty of contempt for wilfully disobeying its order by transferring CBI Joint Director A K Sharma, who was probing the Bihar shelter home sexual assault cases, as additional director general of CRPF on January 17. A bench headed by Chief Justice Ranjan Gogoi did not allow the second attempt of Attorney General K K Venugopal at 3:40 pm that the contemnor officers be allowed to leave. Go to one corner of the court and sit down till the rising of this court, the court had said in the forenoon.
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SC REFERS TO 7-JUDGE BENCH ISSUE OF DETERMINING CORRECTNESS OF MINORITY STATUS TO AMU

The Supreme Court Tuesday referred to seven-judge bench the issue of determining the correctness of minority status granted to Aligarh Muslim University. A three-judge bench headed by Chief Justice Ranjan Gogoi referred the matter to the larger bench for defining the parameters for grant of minority status to educational institutions. The then UPA-led centre government had filed an appeal against the 2006 verdict of the Allahabad High Court holding that the varsity was not a minority institution. The varsity administration had also filed a separate plea against the high court verdict on the issue. The BJP government at the Centre had in 2016 told the apex court that it will withdraw the appeal filed by the erstwhile UPA government. It said a five-judge Constitution bench in 1968 in the Aziz Basha case had held that AMU was a central university and not a minority institution. After the 1968 verdict, the AMU (Amendment) Act, 1981 came into force.
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RAJASTHAN: PROPERTIES WORTH RS 100 CR ATTACHED BY INCOME TAX DEPARTMENT

The Benami Prohibition Unit (BPU) of the Income Tax Department Rajasthan has taken big action on Jaipur-Delhi Highway. The department has attached 66 anonymous properties worth Rs100 crore under the Benami Property Transaction Prohibition Act, 1988. In Kukas and Khoramina villages, Ramji Lal Meena and Ramdhan Meena had invested heavily in the land, but their financial condition was not good to buy these properties. This is the biggest action in the state till date. The documents obtained in the search conducted at the Jagatpura residence of the member of Investigation Branch of the Income Tax Department Ram Kripal Sisodiya proved that Sisodia was the real owner of these benami lands. Along with these attachments, the BPU of Rajasthan has attached 317 anonymous assets so far, whose total value is about Rs 1050 crore. In the investigation of the BPU, it was revealed that separate accounts were opened in the names of Ramjilal Meena and Ramdhan Meena in Kotak Mahindra Bank at Sardar Patel Marg and Punjab National Bank at Raja Park to buy these lands. A total of 29 lands are under Ramji Lal and 33 under Ramdhan’s name. It was also revealed in the report of BPU that a total of Rs20.63 crore was invested in the name of Ramjilal to buy these lands, out of which, Rs 16.27 crore was invested in cash. Similarly, in the name of Ramdhan, a total investment of Rs. 14.42 crore was invested, out of which, Rs. 6.46 crore was in cash.
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PRIME MINISTER SHOULD BE BOOKED UNDER OFFICIAL SECRETS ACT: RAHUL GANDHI

Rahul Gandhi on Tuesday said Prime Minister Narendra Modi should be booked under the Official Secrets Act for allegedly divulging confidential defence information relating to the Rafale fighter aircraft deal to industrialist Anil Ambani. Citing an e-mail, Mr. Gandhi said Mr. Ambani was already in talks with the French government and had told them about signing of a memorandum of understanding days before the Rafale deal was signed. This is breach of Official Secrets Act. The Prime Minister who was aware of the deal told Mr. Anil Ambani. The PM is acting as Anil Ambani's middleman. This nothing less than treason, he said.
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HC SEEKS CENTRE'S REPLY ON TATA SKY PLEA AGAINST SEIZURE OF STBS FOR NOT DECLARING MRP

The Delhi High Court Tuesday sought the Centre's response on a plea by direct broadcast satellite television provider Tata Sky challenging seizure of its set-top box (STB) packages for not declaring the maximum retail price on them. A bench of Chief Justice Rajendra Menon and Justice V K Rao issued notice to the Ministry of Consumer Affairs seeking its stand on the petition that has also challenged the constitutional validity of a rule which makes it mandatory to declare MRP on STB packages. The court directed the ministry to indicate its stand on the issue by March 1, the next date of hearing. Besides seeking the setting aside of the seizure report of January 17, the Tata Sky also requested the Rule 4 of the Legal Metrology Rules, which makes declaring of MRP on STB packages mandatory, be quashed. It also said that since the packages were not for sale, there was no need to indicate the MRP on them.
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CHANDRABABU NAIDU MARCHES TO RASHTRAPATI BHAVAN, DEMANDS SPECIAL STATUS FOR ANDHRA FROM PRESIDENT

N Chandrababu Naidu along with TDP MPs and MLAs met President Ramnath Kovind at Rashtrapati Bhavan on Tuesday and raised demand for special status for the state The delegation marched from Andhra Pradesh Bhavan to Rashtrapati Bhavan and presented a memorandum to the President with 18 demands, including the Bifurcation Act promises and special status to the state.
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PRIME MINISTER IS NOT CHOR BUT PURE, ONLY CURE TO ALL PROBLEMS: RAJNATH SINGH

Rajnath Singh on Tuesday said it is shameful that the president of a national party uses such words for a PM. Singh added that Modi is not chor but pure A president of a national party is making such allegations against our prime minister. I want to say that our prime minister is not chor but pure. And his becoming prime minister again is for sure, said Singhh. As the workers chanted ‘Modi Modi’, Singh asserted this is the only cure to all the problems of this country.
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DELHI COURT SENDS RAJEEV SAXENA TO JUDICIAL CUSTODY TILL FEB 18, ORDERS HIS MEDICAL CHECK-UP

A Delhi court Tuesday sent Rajeev Saxena, arrested in the Rs 3,600-crore AgustaWestland money laundering case, to judicial custody till February 18. Special Judge Arvind Kumar also directed Saxena's medical check up at AIIMS and sought a report by 2 pm tomorrow. Saxena, whose ED custody ended today had sought to talk to judge Kumar in private, without the presence of his lawyers, after which the court had initiated in-camera proceedings in the case.
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BJP SLAMS CHHATTISGARH GOVT FOR RENAMING FIVE SCHEMES

The newly-formed Congress government in Chhattisgarh has rechristened five schemes named after late Jan Sangh leader Pandit Deendayal Upadhyaya by the previous BJP-led dispensation. These schemes of the urban administration and development department have now been named after former prime ministers Indira Gandhi and Rajiv Gandhi and architect of the Indian Constitution Dr. B R Ambedkar. The opposition BJP, however, expressed unhappiness saying the step indicated political vindictiveness. The order to rename the schemes was issued on Monday night, a senior government official here told. As per the order, Pt Deendayal Upadhyaya Swavlamban Yojna has been renamed as Rajiv Gandhi Swavlamban Yojna while Pt Deendayal Upadhyaya Sarvasamaj Manglik Bhavan Yojna will now be known as Dr. B R Ambedkar Sarvasamaj Manglik Bhavan Yojna, the official said.
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JANUARY CEASEFIRE VIOLATIONS: INDIA RAISES THE MATTER WITH PAKISTAN

India has strongly raised the matter of ceasefire violation by Pakistan in the month of January. There were 216 ceasefires violation by Pakistan in the month of January 2019 in which two BSF personnel were injured and one martyred. 2018, on the other hand, saw 2140 ceasefire violation by Pakistan in which 14 BSF personnel were martyred and 53 injured. Hansraj Ahir said, Diplomatically, India has repeatedly emphasised, including at the highest level, the need for Pakistan to uphold the sanctity of the Line of Control (LC) and abide by the ceasefire commitments along the International Border and LC.
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CARLOS GHOSN PAYMENTS UNDER-REPORTED; NISSAN BOOKS ADDITIONAL $84 MILLION IN EXPENSES

Nissan Motor Co said it had booked around $84 million in charges related to under-reported compensation for ousted chairman Carlos Ghosn, and slashed its annual profit outlook on weaker global sales. Ghosn, arrested and detained in Tokyo since Nov. 19, has been indicted in Japan on charges of under-reporting his salary at Nissan over 2010-2018. He has denied the deferred pay was illegal or required disclosure. Nissan said on Tuesday that it had recognised around 9 billion yen ($84 million) in additional expenses linked to payments to Ghosn. The statement was part of Nissan’s quarterly results announcement, its first since Ghosn’s November arrest on allegations of financial misconduct. The scandal at Nissan comes at a time when the automaker, together with its domestic rivals including Toyota Motor Corp, is struggling with sluggish sales and falling profit in North America, a key market. Their margins have been squeezed as they resorted to steep discounts to drive up demand in a competitive U.S. market where sales have plateaued near record highs. The Japanese automaker cut its full-year profit forecast to 450 billion yen from 540 billion yen previously on persistent weakness in global sales.
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NO SOVEREIGN GUARANTEE WITH RUSSIA IN S-400 DEAL

India’s S-400 missile defence system deal with Russia doesn’t have a sovereign guarantee as the process of inter-government agreements with countries like Russia and the US are already streamlined, top IAF officers said on Tuesday. The statement comes at a time when a political controversy has erupted over a media report about Indian government having made concessions by allegedly dropping some key clauses relating to anti-corruption penalties and sovereign guarantee in the controversy-hit Rafale fighter jet deal with France. While opposition parties have raised questions about such clauses having been dropped, the ruling BJP and the government have rejected corruption allegations. Replying to a question here during a press interaction on the IAF’s fire power demonstration Vayu Shakti 2019 at Phokran ranges later this week, Air Marshal V R Chaudhari, Deputy Chief of the Air Staff, said, There is no sovereign guarantee in the S-400 deal with Russia The process of the government-to-government agreement with Russia and America are generally already streamlined, or should I say evolved. With other countries, it may not have evolved, as the government-to-government (agreement) may have been the first or just initiated, he said.




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Thanks & Regards,
CS Meetesh Shiroya    

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