Tuesday, 2 April 2019

TAXATION UPDATES 02.04.2019





135 STARTUPS GET ANGEL TAX EXEMPTION SO FAR FROM GOVERNMENT OUT OF 170 APPLICATIONS

Nine days after the Central Board Of Direct Taxes (CBDT) granted the exemption to around 120 startups from Section 56(2) viib of the Income-Tax Act, 1961 aka angel tax, another 15 startups have been sent exemption notification till Friday. So far 170 startups registered with the Department for Promotion of Industry and Internal Trade (DPIIT) have applied for the angel tax exemption through Form-2. 170 startups have submitted applications so far out of which the total number of exempted startups stand at 135 which have received exemption notification till Friday evening, from 120 on March 20, Sachin Taparia, told. With regard to your declaration dated 01/03/2019, furnished in Form 2 in pursuance of para 5 of the notification no. G.S.R.127 (E) dated 19th February 2019 of DPIIT, Ministry of Commerce and Industry read with notification no. S.O.1131 (E) dated 5th March 2019 of Central Board Of Direct Taxes CBDT), it is stated that the provisions of clause (viib) of sub section 2 of Section 56 of the Income-tax Act,1961 (‘Act’) shall not apply to (name of the applicant company) XYZ PAN XYZ DPIIT Recognition number XYZ on the amounts received as consideration for issue of shares subject to the fulfilment of conditions as specified in the notification no. G.S.R.127(E) dated 19th February 2019 of DPIIT and subsequent amendments if any, read the CBDT’s March 20 email sent to around 120 startups and seen by Financial Express Online. Pertaining to the issue related to a lack of seamless sharing of startups’ details received by DPIIT to CBDT, there is also an assurance of a digital information exchange. CBDT and DPIIT assured of their integration for digital information exchange where exempted startups will be identified in the CBDT system. This means that there will be no scrutiny notice generated against these startups in a share premium event. CBDT currently manually extract startup information shared in PDF form by DPIIT, said Taparia.
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AGRI EXPORTS: GOVT LAYS OUT PROCEDURE FOR CLAIMING BENEFITS UNDER TMA SCHEME

The commerce ministry has laid out a detailed procedure for claiming benefits under the Transport and Marketing Assistance (TMA) scheme, which aims at boosting agricultural exports In March, the government announced this scheme for providing financial assistance for transport and marketing of agriculture products to boost exports of such commodities to certain countries in Europe and North America. Under the TMA plan, the government will reimburse a certain portion of freight charges and provide assistance for marketing of agricultural produce. Procedure and Aayat Niryat Form to avail TMA for specified agricultural products are notified, the Directorate General of Foreign Trade (DGFT) has said in a notification. The scheme covers freight and marketing assistance for export by air as well as sea (both normal and refrigerated cargo). As per the procedure, application for claiming assistance can be filed online by a registered and eligible exporter having a valid RCMC (Registration Cum Membership Certificate), issued by export promotion councils or commodity boards. The application shall be filled up online on DGFT’s website along with the application fee. The application for claim on TMA will be made on quarterly basis. Online claims should be filed within a period of one year from the completion of quarter in which exports have been made, the notification said. The documents which are required to file the application includes shipping or airways bill, commercial invoice, on board bill of landing, and proof of landing. The assistance will be paid only to the exporter shipping the cargo and in whose name payment is realised through normal banking channels, it added. The DGFT also said the scheme is admissible for the export made through EDI (electronic data interchange) ports only. Presently, it will be available for exports effected from March 1 this year to March 2020.
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GST: TRADERS WITH TURNOVER OF RS 40 LAKH CAN DEREGISTER

Traders with a turnover limit of Rs 40 lakh per annum can get themselves de-registered from Goods and Service Tax (GST) as the new limit is in place from new financial year that began on Monday. Under new exemption limit, only traders with annual turnover of Rs 40 lakh or above needs to be registered. Axat Vyas said said traders who had registered previously as their turnover was over Rs 20 lakh can get themselves de-registered. However, traders with interstate sales or doing both trading and providing services will be subjected to previous exemption limit only. The exemption for service providers will be annual turnover of Rs 10 lakh. The new cap for composition scheme or the one for lump sum tax is Rs 1.5 crore of annual turnover, up from Rs one crore applicable till now. However, only those traders who have made application by March 31, 3019, will be eligible for the scheme. Traders with service component of Rs five lakh or 10 per cent of total turnover, whichever is less, will also be benefited.
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ARUN JAITLEY MEETS REVENUE OFFICERS AS INCOME TAX, GST MOP-UP FALLS SHORT OF YEARLY TARGET

Arun Jaitley held a high-level meeting with the heads of Central Board of Direct Taxes or CBDT and Central Board of Indirect Taxes and Customs (CBIC) to assess the revenue collection situation as both the direct and indirect tax revenue numbers fell short of their target for the financial year 2018-19, sources in the finance ministry told. The shortfall in revenue concerns the ministry as it would also impact its fiscal deficit target of 3.4% of the gross domestic product for 2018-19. The government will have to make up for the revenue gap by decreasing expenditure, higher disinvestment proceeds and other non-tax revenue collection. Notably, the government’s disinvestment mop-ups have exceeded the original target of Rs 80,000 crore with the overwhelming response from the second tranche of CPSE ETF in mid-March and proceeds from REC-PFC merger. However, the government seems to be confident about achieving the fiscal deficit target of 3.4% as Finance Secretary Subhash Chandra Garg had said that the government would stick to its fiscal deficit target for FY19 after the borrowing meet on Friday got over. Finance Minister Arun Jaitley also said.
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GOVT EXTENDS ANTI-DUMPING DUTY ON ALUMINUM ALLOY WHEELS

The government of India has extended anti-dumping duty on select four-wheeler aluminum alloy wheels from China, Korea RP, and Thailand for another five years to safeguard the interest of domestic manufacturers. A Directorate General of Trade Remedies (DGTR) notification dated March 29 announced imposing of duty in the range of USD 0.08 to USD 2.15 per kg on imports of aluminum alloy road wheels (ARWs) of diameters ranging from 12 inches to 24 inches, being imported from the above mentioned three countries. The authority recommends imposition of definitive anti-dumping duties on the import of the subject goods (ARW), originating in or exported from China PR, Korea RP and Thailand for a period of 5 years, the DGTR notification read. Total imports of ARW from these countries declined from 82.06 per cent during base year 2014-2015 to 61.65 per cent during period of investigation ( 1st April 2017 to 31st March 2018). This trend led to inking of the decision. However, contrary to the above trend, imports from other countries have shot up to more than double from 17.94 per cent to 38.35 per cent during period of investigation, the notification observed.
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SFIO ARRESTS FORMER IL&FS VICE-CHAIRMAN HARI SANKARAN

The Serious Fraud Investigation Office (SFIO) on Monday arrested Hari Sankaran, former managing director and vice-chairman of Infrastructure Leasing and Financial Services, in connection with ongoing investigations into defaults at IL&FS and its subsidiaries last year. Sankaran was produced in a special court in Mumbai, which remanded him to custody till 4 April. Sankaran abused his powers in granting loans to IL&FS subsidiaries which were not credit-worthy or were declared as non-performing assets (NPAs), the SFIO said in a statement released after his arrest. His fraudulent conduct has resulted in wrongful losses to the company and its creditors, the statement added. It may be worth noting that IL&FS Financial Services Ltd had borrowings of more than 17,000 crore from debt instruments and bank loans. Provident funds, pension funds, gratuity funds, mutual funds, public and private sector banks, are among those who have invested in these debt instruments, said SFIO in a press statement. According to its two interim reports to NCLT Mumbai, SFIO found that the practices followed by IL&FS flouted the prescribed banking and lending norms. SFIO has also found the auditors of IL&FS subsidiaries negligent in detecting financial discrepancies. The IL&FS group companies owe nearly 17,000 crore to banks, mutual funds and insurance companies, among others.
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ICAI SET UP AN ONLINE SUPPORT PANEL FOR BANK BRANCH AUDIT QUERIES FROM APRIL 1ST, 2019

With a view to support chartered accountants for fast resolution of queries, the Auditing and Assurance Standards Board (AASB) of ICAI has set up an Online support for the members from April 1st, 2019 till April 15th, 2019 for the bank branch audits for the year ended 31st March 2019. The queries can be sent at bankauditfaq@icai.in. As per announcement made in this regard, it has been pointed out that the members often, face issues/ queries while conducting Bank Branch Audits. These issues could include determination of NPA status, implications of complicated data found in a branch audit, unavailability of any relevant RBI circular, implications of the requirements of RBI circular, nature and adequacy of documentation, possible wordings of the audit report on some important matters in bank branch audit, reporting on Long Form Audit Reports, Ghosh and Jilani Committee recommendations, special purpose reports and certificates, etc. The queries so received will be distributed amongst the members of the panel on random basis and they would reply to the same. Members have been advised to:

·       Be brief but provide full information and facts.
·       Not to mention the name of the Bank or Branch or the name of the Borrower or depositor to avoid problem of violation of client confidentiality requirements under the ICAI Code of Ethics.
·       Avoid rejoinders.
·       Not to send the same query twice.
·       Draft the report on your own.
·       Use own judgment.

However, it has been specifically stated that the views expressed by the experts would be their personal views and not necessarily the views of the Auditing and Assurance Standards Board (AASB) or the Institute of Chartered Accountants of India (ICAI). AASB, ICAI or the members of the Panel, do not accept any responsibility for actions taken by the querists based on such advice
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THERE IS ECONOMIC EMERGENCY IN INDIA: RAHUL

Rahul Gandhi on Tuesday accused Prime Minister Narendra Modi of wrecking the economy and said there was an economic emergency in the country. Blaming demonetization and the Goods and Services Tax (GST) for what he said was an economic mess, Gandhi said after releasing the Congress manifesto here for the Lok Sabha polls that his party was determined to set right the situation. Among other things, Gandhi promised that a Congress government would allow entrepreneurs to start new ventures without permission for three years to give a boost to the economy. Farmers who are unable to return loans they take from banks will no more face criminal but only civil cases, he added. The Congress leader also pledged to increase government spending on education and health The BJP is spreading hatred. We want to unite the country, he said, and accused the Prime Minister of lying on issues such as providing 2 crore jobs to youths. To repeated questions, Gandhi said the narrative for the Lok Sabha election had already been set -- and it was all about economic issues and misery. Asked if the journalists were interacting with a future Prime Minister, he retorted: Ask the people this question.
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2,000-PAGE REPORT REVEALS AMRAPALI GROUP 'S CLOSER ASSOCIATION WITH MS DHONI

Last week, Indian cricket star Mahendra Singh Dhoni approached the apex court appealing against fraud-hit real estate developer Amrapali group claiming unpaid dues of Rs 40 crore for brand endorsements. However, a 2,000-page report submitted to the Supreme Court (SC) by forensic auditors examining the case may cast some suspicion on the ace cricketer and his wife, since the latter was one of the directors of one of the subsidiaries used to divert funds. The report, submitted by SC-appointed auditors Ravi Bhatia and Pawan Aggarwal, said the group set up more than 100 shell companies in the names of officials, which was used to divert funds worth Rs 3,000 crore. Incidentally, Mahendra Singh Dhoni’s wife was a director of one such shell company, with the group’s promoters also running a charitable hospital in the name of Dhoni. The auditor’s report summarized that the collapse of the Amrapali group was not due to a change in market conditions or investment decisions but because of the wilful criminal actions of the group’s proprietors. The cricketer and his wife were too close to the directors to be comfortable now. His wife was one of the directors of the company via which promoters siphoned money. It is difficult to distance them now, said a former employee of the company, who did not wish to names as the matter is pending in the court. The Supreme Court is hearing the case and will examine the details in the report on April 9.
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INTEL: RS 10,000 CRORE CASH ARRIVING IN TAMIL NADU

The seizure of Rs 11.5 crore in cash at a cement godown in Vellore district by the IT investigation wing on Monday appears to have confirmed the Election Commission's worst fears about the influence of money in the Lok Sabha polls in Tamil Nadu. Intelligence agencies have estimated that more than Rs 10,000 crore could be pumped in by various political parties into campaigning and for bribing voters in TN and Puducherry by April 18, the polling day. The poll panel has already designated all 40 LS seats in Tamil Nadu and Puducherry, along with 70 other seats across the country, as expenditure sensitive. So far, Rs 78.12 crore in cash has been seized in the state. During Monday's predawn raid, I-T sleuths found new currency bundles dumped in gunny bags and cardboard boxes at the godown in Vellore in northern Tamil Nadu. The godown is owned by a DMK functionary. Many bundles were in Rs 200 denomination. Some were neatly packed in envelopes with details of municipal and village wards written on them. I-T officials said they were meant to be distributed among voters.
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HC UPHOLDS ITAT ORDER IN BIRLA TELECOM UNIT CASE

The Bombay High Court has upheld an order of the income tax tribunal, which said that Aditya Birla Group’s telecom unit did not violate rules while receiving an investment of Rs 2,098.25 crore from a subsidiary of global private equity firm Providence Equity Partners. The high court said in its order last week that the transaction was genuine and could not be considered round tripping of funds, providing major relief for Aditya Birla Telecom, a unit of erstwhile Idea Cellular. The high court was hearing a petition filed by the Commissioner of Income Tax on a dispute that had its genesis about a decade ago. Aditya Birla Telecom received Rs 2,098.25 crore from Mauritius-based P5 Asia Holding Investment (P5AHIML), a subsidiary of Providence Equity Partners, in FY08. The amount included share premium of Rs 2,096.32 crore upon allotment of compulsory convertible preference shares to the subsidiary. However, the revenue department invoked Section 68 of the Income Tax Act and held that the company had merely routed its own money through a complex web of corporate structures. The department argued that the company had used only Rs 7.31 crore received from P5AHIML for its own operations and transferred the balance amount to Idea Cellular, the holding company, or to Idea Cellular Infrastructure Services Ltd., another group company, for the purpose of other investment. There was no reason why P5AHIML should have transferred such huge amount without any apparent return, the tax department argued. While upholding the Income Tax Appellate Tribunal’s order, the high court held that P5AHIML belongs to Providence Equity Partners, it was registered as a Foreign Venture Capital Investor with the Securities & Exchange Board of India and had taken the Foreign Investment Promotion Board’s approval for making the investment and hence could not be booked for round tripping. Merely because the investment was considerably large and as noted, several corporate structures were either created or came into play in routing the investment in the assesse through P5AHIML, would not be sufficient to brand the transaction as colourable device, the court observed in its order on March 26.
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NO GREEN LIGHT FOR IHH PENDING FORTIS INVESTIGATIONS ON LAPSES, SAY EXTERNAL AUDITORS

IHH Healthcare on Monday said that the company's external auditors, KPMG, have said that they cannot determine if there are any regulatory non-compliances and additional adjustments or disclosures which may be needed for the audit report, as a result of further findings from ongoing investigations at Fortis Healthcare. IHH Healthcare acquired Fortis Healthcare and its subsidiaries last November. Prior to the acquisition, an investigation report by an independent external legal firm was submitted to the former Fortis board, relating to systematic lapse and override of internal controls. Findings showed the placement of inter-corporate deposits and existence of possible related parties connected with former controlling shareholders of Fortis. KPMG said these may require appropriate reassessment by Fortis Group on the claims from, or transactions with, such parties. The Fortis Group had also started querying the management of the impacted entities regarding the matters investigated by the external legal firm. In addition, there are ongoing investigations by the Securities and Exchange Board of India (SEBI) and the Serious Fraud Investigation Office, Ministry of Corporate Affairs of India. Late last year, SEBI issued interim orders which said that certain transactions were structured by some entities which appeared fictitious and fraudulent in nature, resulting in diversion of funds by former controlling shareholders of Fortis. KPMG said in its independent auditors' report: Due to the ongoing process of the various inquiries/investigations, the external auditors of Fortis are unable to determine if there are any regulatory non-compliances and additional adjustments or disclosures which may be necessary as a result of further findings of the ongoing or future regulatory/internal investigations and the consequential impact, if any, on the consolidated financial statements of Fortis. Any consequential adjustments may be recorded either as adjustments to the assets acquired, and liabilities assumed in the acquisition which will have an impact on the provisional goodwill recognised by the group on acquisition of Fortis under the purchase price allocation exercise, or as post-acquisition adjustments to be recognised in the financial statements of the group in the period the adjustments are known. But besides these matters, KPMG qualified that the accompanying financial statements give a true and fair view of the financial position of the group and of the company and of their financial performance and their cash flows for the year.
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ROBERT VADRA GRANTED ANTICIPATORY BAIL BY DELHI COURT

A Delhi court on Monday granted anticipatory bail to Robert Vadra, brother-in-law of Congress president Rahul Gandhi, in a money laundering case. Special Judge Arvind Kumar granted the relief to Mr. Vadra on him furnishing a personal bond of 5 lakh and a surety of like amount. The court said Mr. Vadra would not leave the country without prior permission. It also imposed certain conditions on him. He shall not tamper with any evidence, influence any witness in the case, the court said.
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HOW WILL YOU TRACE THE 'UNDECLARED FOREIGNERS' IN ASSAM? SC ASKS ASSAM GOVT

The Supreme Court on Monday questioned the Assam government's efforts to trace over 70,000 illegal immigrants who have already mixed with the local population in the State A Ministry of Home Affairs affidavit filed in the Supreme Court shows 91,609 persons were declared by Foreigners Tribunals in Assam as illegal foreigners till March 2018. Of this, 72,486 are absconding. This is quite a large number, a worried Home Ministry told the apex court. A Bench of Chief Justice of India Ranjan Gogoi there may even be undeclared foreigners who have already succeeded in merging with the local population in the State. What is the number of these undeclared foreigners? the CJI’s question drew a blank from the Assam government. The Home Ministry explained that persons declared as ‘illegal foreigners’ by the tribunals either abscond immediately or are already untraceable. Presently, 829 persons declared ‘foreigners’ by the tribunals and 115 foreigners, who have completed their jail term, are lodged in the six jail-cum-detention centres in Assam. But where are those illegals who have neither been deported nor are lodged in the detention centres? Where are they? How will you track them? What have you done in the past five years? Chief Justice Gogoi went on to ask Solicitor General Tushar Mehta, representing Assam. Mr. Mehta initially requested the Bench to defer the case. The hearing saw the Supreme Court criticise the policy of pushing back illegal foreigners to Bangladesh without enquiring about their country of origin. You have been pushing them back without knowing their country of origin. Now, suddenly you have grown wise and are resorting to diplomatic channels, the CJI reacted. The hearing saw the court ask questions on a series of connected issues. What percentage of illegal migrants have you proceeded against? What are you doing to improve the conditions of those detained in the detention centres? How long will they remain? Chief Justice asked. The absence of the Assam Chief Secretary in court to personally answer these questions irked the Bench. Where is the Chief Secretary? the CJI asked Mr. Mehta, he was here the last time. Who exempted him from personal appearance this time? Does he get to decide that he need not come? The Chief Justice said the Government of Assam is playing around with the court. Your affidavits are an exercise in futility CJI remarked. We are doing our best, Mr. Mehta responded. If this is your best, then you permit us to pass our orders in full exercise of our constitutional powers, Chief Justice Gogoi retorted. Finally, the court drew a personal undertaking from Mr. Mehta that the Assam Chief Secretary would be present in court on April 8, the next date of hearing, and would only return to Assam after getting permission from the court.
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NO HC RELIEF FOR NIRAV MODI FIRM IN I-T DEPT'S PAINTING AUCTION

The Bombay High Court Monday refused to grant any relief to diamantaire Nirav Modi's company Camelot Enterprises which had challenged last week's auction by the Income Tax Department of some paintings and artwork belonging to the firm. The petitioner, Camelot Enterprises, a shell company in which Nirav Modi holds over 99 per cent shares, had approached the high court last week challenging the tax assessment report of the I-T Department, and the department's subsequent notice proposing the recovery proceedings through the said auction. A bench of Justices Akil Kureshi and Sarang Kotwal, however, rejected the petitioner's prayers for relief noting among other things, that on the issue of the assessment order, Camelot had directly approached high court instead of filing an appeal before the concerned Appellate Tribunal. The bench also noted that by not interfering with the auction that was held on March 26 this year, it was not putting the petitioner through an irreversible situation. The petitioner does not claim any particular attachment to any painting or artwork. It hasn't challenged their valuation, the bench said. Incase the petitioner succeeds before the Appellate Authority, the amount recovered by the department through the auction can be returned to it with interest, it said. The petitioner had also argued that the department had failed to serve, in a proper manner, notices, both for the assessment of dues and the auction. It said the department had served notices to two of its directors Ramesh Assar and Hemant Bhatt. While Assar had resigned from the company when the notices were received in September last year, Bhatt was in judicial custody at the time. Therefore, the service of such notices must be held invalid by the court, the petitioner argued. It further said of the 68 paintings put up for auction by the department, only 19 belonged to the company. Therefore, the department should not have sold what did not belong to Camelot or to Nirav Modi. Additional Solicitor General Anil Singh, who appeared for the I-T Department, however, argued that Camelot had merely made a statement denying ownership of all the paintings and artwork put up for auction. It had not provided any legal evidence to prove that it did not own all of the paintings and artwork, Singh said. Instead, searches and inquiries conducted by the department had led to the recovery of a total of 173 paintings and artwork belonging to the company. Such artwork had been stored in a warehouse in Wadala, and the department had initiated the auction of 68 of such paintings and artwork to recover its tax dues, following valid notice and procedure, Singh said.
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CONFISCATING PROPERTIES DRACONIAN, NOT HELP CREDITORS: VIJAY MALLYA TELLS BOMBAY HC

Fugitive businessman Vijay Mallya Monday told the Bombay High Court that confiscation of his properties under the newly-enacted Fugitive Economic Offenders Act (FEOA) was draconian and it will not help the creditors Mallya had last month approached the high court challenging a January 5 order of a special Prevention of Money Laundering Act (PMLA) court declaring him a fugitive economic offender under the FEO Act. As per provisions of the Act, once a person is declared a fugitive, his properties can be confiscated by the prosecuting agency, Enforcement Directorate (ED). Mallya's counsel Amit Desai on Monday told a division bench of Justices I A Mahanty and A M Badar that the ED confiscating the properties will not help the creditors. Confiscating is draconian. The need of the hour is to deal with the banks and creditors. Mallya does not want the properties to be returned to him. We are only saying that confiscation by the government is not going to solve the problems of the banks and creditors, Desai said. The ED, while opposing the petition, argued that the object of the Act was to ensure return of a person who is evading arrest in India. These proceedings are to ensure that these persons who commit fraud and leave the country are brought back. The moment Mallya returns to India, the provisions of this Act and the process initiated under it shall become null and void, ED said. The bench has posted the petition for further hearing on April 24. However, the next hearing on ED's application before the special court, seeking permission to start confiscation proceedings, is scheduled for April 8.
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ED ATTACHES DELHI AEROCITY HOTEL IN PMLA CASE AGAINST AVIATION LOBBYIST

The Enforcement Directorate Saturday attached hotel Holiday Inn, valued at Rs 120 crore located in the upscale Aerocity area in the national capital, in connection with a money laundering case against alleged aviation lobbyist Deepak Talwar. Talwar, who was deported from Dubai in January this year and arrested by the agency, beneficially owned a company, Wave Hospitality Private Limited, that, the ED alleged, used tainted money to construct the hotel, next to the Indira Gandhi International Airport. The multi-storeyed plush hotel boasts of some of the most expensive boarding and dining facilities in the Aerocity complex that was constructed few years ago for international and domestic air passengers coming to Delhi. The agency said a provisional order for attaching the property was issued by it under the Prevention of Money Laundering Act (PMLA). The ED is probing Talwar in a criminal case of money laundering.
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INCOME-TAX DEPARTMENT ATTACHES GEELANI'S DELHI HOUSE ON WILFUL TAX EVASION CHARGES

The Income-Tax Department has attached a house of hardline Kashmiri separatist Syed Ali Shah Geelani located in Delhi in connection with an over Rs 3.62 crore tax evasion case against him. The flat is located in south Delhi's Malviya Nagar area and the Tax Recovery Officer (TRO) of the department has sealed the house for allegedly failing to pay Rs 3,62,62,160 income tax for assessment years 1996-97 to 2001-02, as per an order accessed by PTI. The department has undertaken the action under section 222 of the I-T Act (assessee deemed in default of tax payment) and it has prohibited and restrained the Hurriyat Conference leader from transferring the asset. The TRO is an enforcement action taking arm of the tax department and it deals with cases of wilful defaulters. The authority is empowered to attach an asset and subsequently auction it to realise the tax dues.
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GOVERNMENT CAN FUND CASH DOLE-OUTS WITH BONDS OR HIGHER TAXES: REPORT

Higher taxes or bonds can help the next government deliver on universal basic income (UBI) promises, a foreign brokerage has said. The study comes amid a rash of UBI-like promises being made ahead of the general elections beginning April 11 through May 19, including the opposition Congress' promise of supplementing income of Rs 72,000 a year to every poor family or the ruling BJP's already introduced cash support to small farmers of Rs 6,000 a year. While the BJPs' scheme will cost around Rs 75,000 crore per annum to the national exchequer, the Congress plan can cost up to Rs 3.6 lakh in additional subsidy burden if the existing subsidies are not subsumed into the new scheme. Bank of America Merrill Lynch said any variant of the UBI will cost about 1.5-2 per cent of GDP and warned that such cash transfers can be inflationary. It said a 6.4 per cent increase in direct tax mop up can help offset the increase in the Center's fiscal deficit, adding such a hike will have to be done on both individual and corporate tax rates. As the bulk of it can come from direct taxpayers, without impacting investments, it said, arguing against a hike in central excise duties as such a move would end up hurting the poor more. The brokerage said it remains to be seen if the outlays of about Rs 2 lakh crore on food subsidies or the job guarantee scheme MNREGA are subsumed in the proposed cash payouts or not.
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DETENTION OF FOREIGNERS: SC DIRECTS ASSAM CHIEF SECRETARY TO APPEAR BEFORE IT ON APRIL 8

The Supreme Court Monday voiced unhappiness over the inaction in a case relating to detention of foreigners in Assam and directed the state Chief Secretary to appear before it on April 8. A bench headed by Chief Justice Ranjan Gogoi termed the affidavit filed by the Assam government as an exercise in futility and wanted to know as to how many persons, who have been declared foreigners by the tribunal, have amalgamated with the local population. What is the number of declared foreigners who have amalgamated with the local population. This is why we wanted your Chief Secretary to remain present, the bench also comprising Justices Deepak Gupta and Sanjiv Khanna said while expressing displeasure over the non-appearance of officials. The apex court then directed the chief secretary to appear before it and posted the PIL filed by activist Harsh Mander on the issue for April 8.
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INDIA LEVIES ANTI-DUMPING DUTY ON SOLAR CELL COMPONENT FROM FOUR NATIONS

India has imposed anti-dumping duty of up to USD 1,559 per tonne on imports of a certain type of sheet used in solar cell making from China, Malaysia, Saudi Arabia and Thailand for five years to safeguard domestic players against cheap shipments. In a notification, the Department of Revenue has said that after considering the recommendations of the commerce ministry's investigation arm DGTR, it is imposing the duty, which is in the range of USD 537 to USD 1,559 per tonne, on imports of Ethylene Vinyl Acetate sheet for solar module being exported by these four nations. The anti-dumping duty imposed shall be effective for a period of five years (unless revoked, superseded or amended earlier), it has said. Following a complaint by a domestic company, the directorate had initiated the probe in April last year. In its probe, it had concluded that imposition of the duty is required to offset dumping and injury caused by dumped imports from China, Malaysia, Saudi Arabia, and Thailand. The product is a polymer based component used in the manufacturing of solar PV (Photo Voltaic) modules. Imports of the sheets from these countries increased to 6,367 tonne during the period of investigation (October 2016 to September 2017) from 4,674 tonne in 2016-17. The imports stood at USD 1,025 tonnes in 2015-16 and USD 594 tonnes in 2014-15. Imports of components used in solar industry have increased as India launched an ambitious national solar policy named Jawaharlal Nehru National Solar Mission in January 2010. Under this, the country has a target of generating 20,000 megawatt (MW) of solar power by 2022. Several countries are interested in supplying solar equipment to tap into the growing sector in India.
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NO ESTIMATE ON NUMBER OF TERRORISTS KILLED IN BALAKOT, SAYS NIRMALA SITHARAMAN

Nirmala Sitharaman on Monday said the government has not given any estimate on the number of terrorists killed in Balakot airstrike but there were terrorists present for training at the time of the bombing by Indian Air Force in February. Balakot centre had terrorists for training. Several fidayeen trainers were called to train terrorist in the camp. These details are there in Pakistani media and social media. She said, Balakot airstrikes are historic. There was a terror attack and 40 soldiers were martyred. A CCS meeting took place and several other agencies were involved in carrying out the airstrikes. Different people were monitoring the airstrike. At 4 am, I received the message that our pilots were back safe. It was then that I felt relieved. Calling allegations of wrongdoings in Rafale deal a manufactured controversy, Sitharaman said, If the forces have best weapons, then their morale is high. So there is this talk about Rafale. Rafale is a manufactured controversy. Congress has never done a defence deal without dalals. Under Arun Jaitley, Manohar Parikkar and my tenure, there was no controversy. Under Modi (Prime Minister Narendra Modi) decisions are taken only on merit. She said Prime Minister Narendra Modi's government was not afraid of investigations in the Rafale deal but the Opposition which has promised probe into the matter will not return to power.
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HC STAYS CIC DIRECTION TO DISCLOSE JAG ADVICE IN ARMY CLASH CASE

The Delhi High Court on Monday put on hold a CIC order directing the Centre to disclose the pre-trial advice given by the Army's Judge Advocate General (JAG) branch in connection with a 2012 clash between 100-odd soldiers of Ladakh-based 226 Field Regiment and their superiors. A bench of Chief Justice Rajendra Menon and Justice A J Bhambhani also issued notice to the RTI applicant, who is one of the soldiers involved in the clash, and listed the matter for further hearing on August 13. The order came on the plea of the Ministry of Defence (MoD), represented by central government standing counsel Rahul Sharma and advocate C K Bhatt, which has challenged the January 2017 direction of the Central Information Commission's (CIC) to provide the information sought by the RTI applicant, Gunner Bikramjit Singh. The CIC order was initially challenged by MoD before a single judge who in May 2018 had dismissed the plea on the ground that it was filed after considerable delay. The division bench agreed to hear the appeal against the single judge's decision after Sharma and Bhatt told the court that documents had to be sent from Kargil and that is why there was a delay in challenging the CIC order. The petition has claimed that the CIC completely misinterpreted the Right to Information (RTI) law by directing MoD to provide certified copies of the JAG's pre-trial advice as the same was confidential and exempted from the purview of the Act. According to the MoD plea, the incident had taken place on May 11-12, 2012 at Leh in Jammu and Kashmir after the soldiers heard a rumour that one of them had died after being badly beaten up by three officers for allegedly molesting an officer's wife.
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INDONESIA WINS $469 MN ARBITRATION CASE AGAINST INDIAN METAL FIRM IMFA

Indonesia has won a $469 million arbitration case against India’s Metal Ferro and Alloys Ltd (IMFA) after nearly four years of court battles, the country's attorney general Muhammad Prasetyo told. An arbitration court in The Hague, Netherlands, ruled in favour of Indonesia in the case, according to a notification the government received last week, said Prasetyo. IMFA filed a claim to the court in 2015, alleging that overlapping mining permits issued by authorities have disrupted its operation in Kalimantan, the Indonesian side of Borneo island.
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GOVT SETS UP TRIBUNAL TO REVIEW BAN IMPOSED ON JAMAAT-E-ISLAMI, JKLF

The Centre has set up a tribunal headed by Justice Chander Shekhar of the Delhi High Court, to adjudicate if there exists sufficient cause to ban the Jamaat-e-Islami Jammu and Kashmir (JeI) and the Jammu and Kashmir Liberation Front-Yasin Malik (JKLF-Y) faction. The decision has been taken by the Home Ministry exercising the powers conferred under the Unlawful Activities (Prevention) Act, an official notification said. The JeI and the JKLF-Y were declared as unlawful associations on February 28 and March 22 respectively. Now, therefore, in exercise of the powers conferred by the sub-section (1) of section 5 of the Unlawful Activities (Prevention) Act, 1967 (37 of 1967), the Central Government hereby constitutes an Unlawful Activities (Prevention) Tribunal consisting of Mr. Justice Chander Shekhar, High Court of Delhi, for the purpose of adjudicating whether or not there is sufficient cause of declaring the Jamaat-e-Islami-Jammu and Kashmir and Jammu and Kashmir Liberation Front-Yasin Malik faction, as unlawful association, the notification said. While declaring the Jamaat-e-Islami Jammu and Kashmir an outlawed organisation for five years, the central government had said that it was in close touch with militant outfits and was expected to escalate secessionist movement in the state. The Centre also said it was of the opinion that the Jamaat was in close touch with militant outfits and was supporting extremism and militancy in Jammu and Kashmir and elsewhere. It said the outfit claimed secession of a part of the Indian territory from the union and was supporting terrorist and separatist groups fighting for this purpose. The Centre had said that the outfit was responsible for a series of violent acts and was in the forefront of separatist activities in the militancy-hit state since 1988.
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INDIAN RADARS DETECT LARGE UAV, 4 PAK F-16S CLOSE TO BORDER: SOURCES

Indian radars early Monday detected a large UAV and package of four Pakistani F-16 close to the Indian border in Khemkaran sector in Punjab. The Indian Air Force scrambled Su-30MKI and Mirage jets in response following which the Pakistani jets retreated further into their territory, the sources added. The incident took place at 3am.
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INCOME TAX SLEUTHS SEIZE CASH HOARD FROM PREMISES LINKED TO DMK CADRE

Income-tax officials said they seized unaccounted cash in premises linked to DMK treasurer Durai Murugan, a development that comes days ahead of parliamentary polls and bypolls to 18 assembly seats in the state. The officials said they found the hoard of cash in cartons and gunny bags after they searched a DMK functionary’s cement warehouse. The search is ongoing. We will be in a position to give an estimate of the cash found only after the searches are concluded, a senior official of the income-tax department said on the condition of anonymity. The official said the cash found at the warehouse was moved from a location closely linked to Murugan. The department had conducted searches two days earlier at Murugan’s Vellore residence, colleges run by the Durai Murugan Educational Trust and an associate’s farmhouse. The operations led to the seizure of 10 lakh, said the official. The DMK has fielded Kathir Anand, Durai’s son, from Vellore for the upcoming general elections. The party had filed a petition with the Madras High Court challenging the search operation undertaken by the I-T department. According to one of Anand’s counsels, the search operations held back Anand from campaigning on Monday. A petition has been filed challenging the search operation. It was also mentioned in court today (Monday), said the counsellor. The case is expected to be taken up by the court on Tuesday. DMK president MK Stalin hit out at the I-T department for its partisan attitude towards opposition parties and questioned why a recent search-and-seizure operation conducted in the premises of a contractor with the state government was not followed up. The Centre, after its failure to make an impact in Tamil Nadu politically, is trying to worm its way through the I-T department and the CBI, he said.
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SEVEN PAKISTAN POSTS DESTROYED AS INDIAN ARMY RETALIATES TO CEASEFIRE VIOLATIONS

Seven Pakistani posts across the LoC were destroyed as the Indian Army retaliated to cross border shelling by Pakistani troops who targeted border areas in Rajouri and Poonch districts, officials said Tuesday. There have been several casualties to Pakistani troops too, they said. As a precautionary measure, all schools along the borderline in Poonch and Rajouri districts have been closed by authorities in view of the Pakistani shelling. On Monday, a BSF inspector and a five-year-old girl were among three persons killed while 24 others were injured as Pakistani troops heavily shelled forward areas along the Line of Control in Poonch district, prompting the Indian Army to retaliate befittingly, said officials. There was heavy mortar shelling and firing along LOC in Poonch district and Nowshera sector of Rajouri district till Tuesday morning, officials said. There was also firing and shelling by Pakistan troops in Shahpur sub-sector in Poonch and Nowshera on Tuesday, they said. In the retaliation carried out by Indian troops, seven Pakistan posts across the LoC in Rakhchikri and Rawalakote forward areas of Pakistan Occupied Kashmir (PoK) were destroyed they said adding there have been several causalities on the Pakistan side.
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HARDIK PATEL MOVES SC CHALLENGING GUJARAT HC ORDER REJECTING TO STAY HIS CONVICTION IN RIOT CASE

Hardik Patel Monday moved the Supreme Court challenging the Gujarat High Court order rejecting his plea to stay his conviction in the 2015 Vispur rioting case. His petition is likely to be mentioned Tuesday for urgent hearing and his lawyers would seek stay of the March 29 order of the High Court which is coming in the way of his contesting the Lok Sabha election. Patel, 25, had started preparations to contest from Jamnagar on a Congress ticket after joining the party on March 12 and the last date for filing of nominations is April 4. The Sessions Court at Visnagar in Mehsana district sentenced Patel to two years' imprisonment last July for rioting and arson in Visnagar town in 2015 during the Patidar quota stir which he led. The high court in August 2018 suspended the sentence but not the conviction. Under the Election Law -- Representation of the People Act and a related Supreme Court ruling -- a convict facing a jail term of two years or more cannot stand for election unless the conviction is stayed. In the high court, the state government had submitted that there were 17 FIRs including two sedition complaints against Patel who is known for making inflammatory speeches. The high court had declined the contention of Patel's lawyers that if the conviction was not stayed, it will cause irreparable damage as he intended to contest the Lok Sabha election.
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A-SAT MISSILE TEST CREATED 400 PIECES OF DEBRIS, PUT ISS AT RISK: NASA

The NASA on Tuesday termed as a terrible thing India's shooting down of one of its satellites that has created about 400 pieces of orbital debris, endangering the International Space Station (ISS). NASA Administrator Jim Bridenstine said about 60 pieces have been tracked so far and out of which 24 are going above the apogee of the ISS. That is a terrible, terrible thing to create an event that sends debris and an apogee that goes above the international space station. That kind of activity is not compatible with the future of human spaceflight that we need to see have happen, he said. The ASAT test by India last week has resulted in about 400 pieces of orbital debris, he added. Some 60 pieces of orbital debris have been tracked so far, 24 out of which poses risk to the International Space Station, he said. He said the NASA is learning more and more every hour that goes by about this orbital debris field that has been created from the anti-satellite test. The risk from small debris as a result of the ASAT test to the ISS went up 44 per cent over a period of 10 days. So, the good thing is it's low enough in earth orbit that over time this will all dissipate, he told his NASA colleagues. He said a lot of debris from the 2007 direct ascent anti-satellite test by China is still in the space. And we're still dealing with it. We are still, we as a nation are responsible for doing space situational awareness and space traffic management, conjunction analysis for the entire world, Bridenstine said.
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RAJASTHAN GOVERNOR VIOLATED MODEL CODE OF CONDUCT CALLING FOR MODI WIN: REPORT

The Election Commission of India (ECI) has found Rajasthan Governor Kalyan Singh's alleged remark calling for Prime Minister Narendra Modi's win as violation of Model Code of Conduct (MCC), poll body sources said on Tuesday. The poll panel is likely to write to President Ram Nath Kovind to bring the matter to his notice. However, the ECI will take a final call at a meeting to be held, the sources added. On March 25, Singh allegedly said that as a party worker he genuinely wanted the Bharatiya Janata Party (BJP) to win the ensuing Lok Sabha elections, which are going to be held in seven phases from April 11 to May 19. We want that once again Narendra Modi should become the Prime Minister. It is important for the nation and society that Narendra Modi should become the Prime Minister again, he had told reporters in Aligarh.
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MAYAWATI JUSTIFIES CONSTRUCTION OF STATUES IN UP, TELLS SC THEY REPRESENT WILL OF PEOPLE

Mayawati Tuesday defended in the Supreme Court the construction of life-size statues of herself in Uttar Pradesh, saying they represent the will of the people. The former Uttar Pradesh chief minister, in an affidavit filed in the apex court, said the memorials and statues of herself and other leaders are intended to promote values and ideals of various sants, gurus, social reformers and leaders among the public and not intended to promote the symbol of BSP or to glorify her. Mayawati said in her affidavit that her statues came into being as the will of the state legislature to represent the will of the people. She said funds for construction of the memorial and installation of statues were sanctioned through budgetary allocations after approval of the budget by the state legislature. Mayawati also sought the dismissal of a plea, which alleged that pubic funds were misused in the construction of memorials and statues, saying it is politically motivated and a gross abuse of process of court of law.
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MODI GOVT ADDS MORE TO COAL OUTPUT IN 5 YEARS THAN UPA'S 10 YEARS

The Narendra Modi government has raised India's coal production by over 144 million tonne (mt) in the five years it has been in power, overshooting by 5% the 138mt added to the country's output in the 10 years of UPA rule between 2004 and 2014. Production by Coal India (CIL), the state-run miner accounting for nearly 90% of domestic supplies, stood at a little over 462mt when the Modi government took over in May 2014. Five years since then, production by the country's largest coal miner stands at 607mt in 2018-19, coal ministry data shows. In contrast, CIL's production stood at 324mt in 2004-05 when the UPA-1 government came to power and rose to 404mt by 2008-09, indicating an addition of 80mt in the five-year period. In the subsequent five years, the UPA-2 government added 79mt to take the total production to 607mt. Data shows coal offtake too largely keeping pace with production, indicating improved evacuation and transportation due to greater synergy between the coal and railway ministries. Quick decisions and clearances for mine expansions have also contributed to the sharp rise in production. There is a clear vision and direction from the leadership. The railway and coal ministries are working as a team with the power and other consumer ministries. Improved coordination with forest and environment ministry has ensured speedy clearances for mine expansion and evacuation projects, a coal ministry official said. But at the end, it is people who execute plans and can make or mar them. Here too, the ministry has taken care to motivate miners and executives by settling the wage issues and clearing gratuity payment, totalling several thousands of crores in employee welfare. The result of this coordinated approach is showing on the ground as none of the coal-fired power stations monitored by the Central Electricity Authority (CEA) is starving for fuel, though several still show stocks of less than a week. But still, it is a far cry from 2014 when 66% of the units were doddering due to critical coal inventories.
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RAHUL GANDHI TWEETS GIVE AWAY CONGRESS MANIFESTO?

Will the tweets from @RahulGandhi, the official account of the Congress President, define the scope of the partys manifesto likely to be released on April 2? If it will, expect to find only the details for Gandhi may have already outlined much of what the party has to announce to its prospective voters. Congress party has scheduled the release of the party's manifesto for the ensuing general elections around noon on Tuesday. However, the tweets from the party's president, especially since March 25, is a clear giveaway - Congress is likely to announce 'Mega Doles' this elections season. On Twitter, Gandhi declared March 25, the day he announced his much hyped 'Nyay Scheme', a historic day. He tweeted: Today is a historic day. It is on this day that the Congress party launched its final assault on poverty. 5 Crore of the poorest families in India, will receive Rs. 72,000 Per Year #NyayForIndia is our dream & our pledge. The time for change has come. Since March 25, Gandhi has largely restricted to tweeting about what the party has to offer if voted back to power. The Nyay Scheme, GST reforms, jobs etc are some of the issues on which he has tweeted and can be expected to figure prominently in the Congress manifesto for the 2019 general elections.
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IPHONE 7 NOW BEING MADE IN INDIA

Apple has started manufacturing the iPhone 7 model in India, in addition to iPhone SE and iPhone 6s, thus widening its 'Made in India' portfolio and signalling its intention of developing the country as a manufacturing hub. We are proud to be producing iPhone 7 in Bengaluru for our local customers, furthering our long-term commitment in India, said Apple. Taiwanese contract manufacturer Wistron, which makes iPhone SE and 6s models out of its plant on the outskirts of Bengaluru, has been making the iPhone 7 devices in India since the beginning of March. The cost of making iPhone 7 devices in India is cheaper than importing them due to the duty concessions any handset maker gets on local manufacturing, a move aimed at boosting the government’s Make in India initiative.
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DRUG PRICING REGULATOR NPPA OKAYS HIKE IN PRICES OF CARDIAC STENTS BY 4.2%

Drug price regulator NPPA has approved a hike in prices of cardiac stents by 4.2 per cent in-line with the wholesale price index (WPI) of the previous calendar year, according to an official statement. As per the new prices notified by the National Pharmaceutical Pricing Authority (NPPA), a bare metal stent (BMS) would now cost Rs 8,261, while the drug-eluting stent (DES) will cost Rs 30,080. After considering the WPI at 4.26 per cent for the year 2018 over 2017, it has been decided to revise the ceiling prices of coronary stents with effect from April 1, 2019, the NPPA said in a statement. Providing a major relief to lakhs of cardiac patients, the government had for the first time cut prices of life-saving coronary stents by up to 85 per cent in February 2017.
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CHINA TO DESTROY THREE LAKH MAPS THAT SHOW ARUNACHAL AS PART OF INDIA

Customs officials in China have ordered the destruction of three lakh more maps for not mentioning Arunachal Pradesh and Taiwan as part of its territory and decided to file a lawsuit against four persons for trying to export them to the Netherlands, according to a media report. Last month, officials in China have destroyed 30,000 world maps printed in the country for incorrectly showing the borders with India and depicting Taiwan as a separate country. China claims the north-eastern Indian state of Arunachal Pradesh as part of South Tibet. China routinely objects to Indian leaders visiting Arunachal Pradesh to highlight its stand. India says the State of Arunachal Pradesh is its integral and inalienable part and Indian leaders visit Arunachal Pradesh from time to time, as they visit other parts of the country. The two countries have so far held 21 rounds of talks to resolve the border dispute covering 3,488-km-long Line of Actual Control. China also claims the estranged island of Taiwan as its part. The Global Times reported on Tuesday that customs officers in South China's Guangdong Province will destroy more than three lakh world maps with boundary mistakes and file a lawsuit against four suspects for intending to export the maps to the Netherlands. The customs bureau at the port of Wenjindu in China's Guangdong Province recovered 264,983 incorrect world maps in English for export to the Netherlands on January 17, an employee surnamed Wang from the customs' press office told the Global Times. In total the company had printed 306,057 problematic maps, which will all be destroyed.
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WITH JUST 11 DAYS TO GO FOR BREXIT DEADLINE, UK REJECTS ALL DEAL OPTIONS

Concerns that the United Kingdom could crash out of the European Union without a deal have risen after the House of Commons once again rejected all options put before it in a second round of indicative votes. While the option of customs union membership was defeated by just 3 votes, the huge divisions within and across parties led the EU Parliament’s Chief Negotiator on Brexit Guy Verhofstadt to conclude that a hard Brexit seemed almost inevitable, warning that the UK had one more chance to break the deadlock of face the abyss. This comes just 11 days before the UK is set to crash out of the EU without a deal if no road forward is agreed. There had been hopes that a shorter list of options chosen from the eight that were put to MPs last week would help identify a route forward that MPs could rally around. Alongside the customs union option, MPs voted on one that is referred to as the so-called Common Market 2.0—similar to the arrangements in place for Norway and the EU—with the UK remaining in the European Free Trade Association and the European Economic Area. This lost by 261 to 282. They also voted on requiring any deal to be subject to a confirmatory public vote (280 to 292) and a final one that would seek to avoid a no-deal Brexit by first requiring the government to seek an extension and if one were not granted, then revoke Article 50 (191 to 292). The failure to find a route forward is likely to harden the government’s position that its deal is the only one possible. Significantly, while both the Common Market 2.0 and the Customs Union proposals were put forward by Conservative MPs, their backing in the indicative voting process came from Labour, with the vast majority of Conservatives voting against it. Therefore, were the government to push through with one of these it would mean relying on the votes of opposition MPs rather than their own ranks,which is thought to be highly unlikely. The default legal position is to leave the EU in 11 days time, concluded Brexit Secretary Stephen Barclay, adding that the cabinet would meet on Tuesday to consider how to proceed. Labour has called for all options to be considered by MPs in a debate on Wednesday.
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THYSSENKRUPP, TATA STEEL OFFER CONCESSIONS TO ALLAY EU ANTITRUST CONCERNS

Thyssenkrupp and Tata Steel have offered concessions to address EU antitrust concerns about their planned steel joint venture, the European Commission said on Tuesday. The EU competition regulator, which did not provide details of the concessions, extended its deadline for a decision on the deal to June 5 from May 13. It has previously voiced concerns about the deal's impact on steel for car parts, packaging such as food and aerosol cans and electrical steel for engineering products including transformers. Tata Steel may sell parts of its European packaging activities Tata Steel Europe which makes packaging steel for food, paint and aerosol cans, as part of this package of concessions, three people familiar with the matter told Reuters last month.
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UK LAWMAKERS WANT BIG FOUR ACCOUNTING FIRMS BROKEN UP AMID AUDIT FAILURES

Britain's Big Four accounting firms should be broken up to improve standards and transparency in book-keeping after audit failures at construction company Carillion and retailer BHS, British lawmakers said on Tuesday. Parliament's business committee urged Britain's Competition and Markets Authority (CMA) to force EY, KPMG, Deloitte and PwC to legally separate audit and consultancy services. The CMA published interim proposals last December to require a less draconian operational separation of auditing and more lucrative consultancy to avoid the former being cross-subsidised and prioritised by the latter. The CMA has yet to publish final recommendations. The report seeks to keep up reform momentum after past attempts to end the so-called Big Four's dominance of book-keeping made little headway. The cross-party report said that if the CMA opts for only operational separation, it should be reviewed after three years to see if it ends cross-subsidies and improved audit quality. If not, we recommend that the CMA then move to implement a full structural break-up of the Big Four into audit and non-audit businesses in the UK, the report said. Deloitte said a structural split would harm audit quality, and could materially damage Britain's competitive position as a leading capital market. The Big Four are global but the reforms could only apply in Britain. They check the books of nearly all large listed companies, employing thousands more partners than their nearest rivals like Grant Thornton and BDO.
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CHINA CLAIMS POSITIVE PROGRESS ABOUT LISTING OF MASOOD AZHAR AS GLOBAL TERRORIST BY UN

China on Monday claimed that positive progress has been made on designating Pakistan-based JeM chief Masood Azhar as a 'global terrorist' by the UN and accused the US of scuttling its efforts by taking the matter directly to the Security Council, setting a bad example. Two weeks after China put a hold on a French proposal to list Azhar under the 1267 Al Qaeda Sanctions Committee of the Council, the US on March 27 circulated a draft resolution to the powerful 15-nation Council to blacklist Azhar and subject him to a travel ban, an assets freeze and an arms embargo. China last week defended its repeated attempts to block the listing of the Jaish-e-Mohammad chief as a global terrorist and refuted the US allegation that Beijing's action amounted to protecting violent Islamic groups from sanctions. After the application for designation of Azhar was proposed (in the 1267 committee), China is in close communication and coordination with various parties and made positive progress. The US knows that very well, Geng Shuang told. Asked to clarify whether the progress he meant was to resolve the vexed issue of listing Azhar, Geng said, Yes. The US knows that very well. However, he did not elaborate.
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EASYJET SAYS BREXIT, ECONOMIC UNCERTAINTY HITS DEMAND

British no-frills airline EasyJet on Monday said that uncertainty surrounding Brexit and the economic outlook is hitting demand for air travel. The announcement came in a trading update to coincide with the start of the group's second half. For the second half we are seeing softness in both the UK and Europe, which we believe comes from macroeconomic uncertainty and many unanswered questions surrounding Brexit which are together driving weaker customer demand Johan Lundgren said in the update. EasyJet added that given the uncertainty, its outlook for the second half is now more cautious. For the first half, EasyJet said that group revenue was expected to have grown by more than seven percent to £2.34 billion ($3.01 billion, 2.72 billion euros). We have flown around 42 million customers with a significantly reduced number of cancellations and continued high levels of customer satisfaction. He added: We are operationally well prepared for Brexit. Now that the EU Parliament has passed its air connectivity legislation and together with the UK's confirmation that it will reciprocate, means that whatever happens, we'll be flying as usual. In order to continue to fly smoothly in Europe post Brexit, EasyJet has also set up three airline divisions split between Austria, Britain and Switzerland.




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