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heavy price for 21-year litigation NEW DELHI, Apr 8: The Delhi High Court has directed the Industrial Finance Corporation of India ......more NEW DELHI, Apr 8: The annual inflation rate plunged sharply by over one per cent to 5.43 per cent....more Ammonia plant MUMBAI, Apr 8: The ammonia plant of Rashtriya Chemicals and Fertilisers (RCF) developed.....more
Reconsider decision RAIPUR, Apr 8: Chhattisgarh Chief Minister Ajit Jogi has urged the Centre to reconsider its decision .....more |
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Default in PF
payments, EPF authorities to plug loopholes NEW DELHI, Apr 8: The Employees Provident Fund authorities have initiated a number of steps to plug loopholes in the system after a recent detection in audit that money was not being credited to individual accounts of subscribers for almost three years........more Super fighter ISLAMABAD, Apr 8: Pakistan’s bid to acquire Super-7 fighter planes in technological collaboration with China has suffered a setback after Russia backed out to provide the required engines for the state-of-the art aircraft........more India asks EU to refund BERLIN, Apr 7: India has pressed the European Union (EU) to immediately refund an estimated Rs 400 crore collected by it as anti-dumping duties on imports of bed linen from India in the wake of the World Trade Organisation (WTO) declaring these punitive duties as illegal. Ambassador S Narayanan also demanded at the recent Dispute Settlement Body (DSB) meeting of the Geneva-based WTO that the 15-million EU bloc.....more |
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IFCI pays a heavy price for 21-year litigation NEW DELHI, Apr 8: The Delhi High Court has directed the Industrial Finance Corporation of India (IFCI) to handover the factory and assets of allied international products limited, a manufacturer of automobile components and aircraft spares, through a receiver appointed by the court. Justice K Ramamoorthy also asked the IFCI, which had taken over the company in 1978, to cancel all loan transactions, including hypothecation and mortgage deeds besides handing over relevant documents to the Moradabad-based company. Passing strong strictures in a 55-page judgement, the court said the IFCI is not entitled to recover any amount from allied international and said that transaction of hypothecation and mortgage executed by the company in favour of IFCI will stand cancelled. It also allowed allied to file a separate claim for the recovery of Rs 7.2 crore towards compensation from the IFCI after a 21-year-long legal battle. "The IFCI did not appreciate its role in the establishment of a factory by a private person and the ego of an individual officer had taken a leading part in destroying completely an industry which would have played a very vital role in the economy." The IFCI had spent Rs 14 crore as litigation costs to recover Rs about one crore from the company. Allied international was listed at the Bombay Stock Exchange but Delhi and Calcutta declined to enlist the shares. On May 13, 1966 the Company Law Board (CLB) declared that the share allotment was in order and the company had not committed any default. The IFCI instituted a suit challenging the CLB’s decision and its tortuous legal tangle began. In February 1978, the financial institution took over complete management of allied’s factory spread over 83 acres at Anugrah Nagar of Moradabad district. The court said the IFCI’s posture ran counter to the whole scheme of Government policy which was for the benefit of local people."The seed was not properly nourished to grow. The result was that the company could not commence its activities. When the company called for public subscription, the IFCI thwarted its attempts to garner funds for the project." It emphasised that the IFCI had miserably failed to act in accordance with the Government’s objectives. "The IFCI committed a tortuous act of bringing to an end a very promising business. The officials did not care even to safeguard the plant and machineries." The court added that a diary of events show how the IFCI had been spending money without having any goal or objective. The institution apparently thinks its duty is over once the petition is instituted to this court and the company is closed. "If this kind of thing is encouraged, the citizens of this country cannot have any assistance from the instrumentalities set up by the government for benefit of overall economy of the country. This attitude is to be strongly deprecated." The court also directed Moradabad District Magistrate to handover the factory’s possession to an authorised representative of allied international. Besides, the Uttar Pradesh Electricity Board (UPEB) was directed to restore power connections. The court also directed the Industry, Commerce and Finance Ministries of the Central Government to render all assistance so that allied can start its business. (UNI) |
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NEW DELHI, Apr 8: The annual inflation rate plunged sharply by over one per cent to 5.43 per cent for the week ended March 24 despite a minute fall in the price of primary articles. The inflation rate based on Wholesale Price Index (WPI) for all commodities (base year: 1993-94 = 100) fell by 1.07 per cent from 6.50 per cent in the previous week and the index was 6.49 per cent a year ago. The WPI, unlike point-to-point inflation rate, rose by 0.1 per cent to 159.1 as against 158.9 a week ago. The index was 150.9 in the previous year. Final WPI for the week ended January 27 stood at 158.6 as compared to the provisional level of 158.1 during the period. The final inflation rate for the last week of January was higher at 8.56 per cent than the provisional mark of 8.21 per cent. Showing a reverse trend from the previous week, primary products became cheaper by 0.1 per cent and manufactured items became costlier by 0.3 per cent, while fuel products continued to stay firm at the previous week’s level. The index for primary articles’ group fell to 161.9 from 162 due to cheaper food articles. The index was 159.2 in the previous year. Food articles’ group index fell by 0.3 per cent to 168.3 as against 168.8 a week ago due to lower prices for bajra (six per cent), ragi (three per cent) and fish-inland, wheat, eggs and fruits and vegetables (one per cent each). Prices, however, rose in the case for urad (three per cent) and jowar, maize, gram, moong and poultry chicken and barley (one per cent each) The index for non-food articles’ group rose substantially by 0.6 per cent to 149.3 from 148.4 due to rise in the prices of raw wool (five per cent), sunflower (three per cent), groundnut seed and tobacco (two per cent each) and raw cotton, raw jute, gingelly seed, castor seed and fodder (one per cent each). While there was two per cent rise in the prices of copra duting the period, fuel, power, light and lubricants’ group index remained firm at the previous week’s level of 223.2 and the index was 193.4 a year ago. (PTI) |
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Ammonia plant of RCF develops serious leak MUMBAI, Apr 8: The ammonia plant of Rashtriya Chemicals and Fertilisers (RCF) developed a serious leak which spread as far as the CGS colony of Antop Hill to Parel village in Central Mumbai, Fire Brigade sources said. According to sources, the residents complained of dizziness and irritation due to foul odour of ammonia at around 0930 hrs this morning. No casualties have been reported, so far. Four fire engines and one ambulance was rushed to the spot. On investigations, the cause of the leakage was found to be from the RCF ammonia plant in Chembur. The gas had started leaking from 2100 hrs yesterday and so far 500 kg of ammonia has leaked. The plant was closed till 0200 hrs today. The valve of the plant was repaired by 1100 hrs. Situation is now under control, sources added. (UNI) |
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Reconsider decision about disinvestment of BALCO: Jogi RAIPUR, Apr 8: Chhattisgarh Chief Minister Ajit Jogi has urged the Centre to reconsider its decision about disinvestment of Bharat Aluminium Company (BALCO), saying that the controversy over the deal can be ended by getting it probed by a parliamentary committee. In his second letter to Union Disinvestment Minister Arun Shourie, Mr Jogi pointed out that such a probe would not have an adverse effect on the economic disinvestment process in the country. He said his Government was against only insignificant and non-transparent privatisation like that of BALCO. Expressing discontentment over the Centre’s attitude on the BALCO issue, he said decision to hand over an important PSU like BALCO to a private concern was taken without consensus. Quoting Mr Shourie’s letter stating that the disinvestment policy was framed in 1991 and the successive Governments just implemented it, Mr Jogi asked as to whether the policy also had the provision to keep the nation’s security system at stake. (UNI) |
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Default in PF payments, EPF authorities to plug loopholes NEW DELHI, Apr 8: The Employees Provident Fund authorities have initiated a number of steps to plug loopholes in the system after a recent detection in audit that money was not being credited to individual accounts of subscribers for almost three years. After detection of the fault in a computer-based audit of the EPF scheme, senior PF officials took steps to ensure that the backlog was cleared as early as possible. "The accounts have been updated to a large extent and in the next three to four months, we hope to clear the entire backlog," Central Provident Fund Commissioner Ajay Singh said. Singh told PTI that a decision had been taken to detect defaults from time to time so that it did not affect the 2.24 crore PF subscribers across the country. According to PF sources, after a computerised audit began in December 1999, it was discovered that no money had been credited to the accounts of 90 lakh employees from 1996-97. The accounts of the subscribers showed no contributions or interest accruals during the period. Singh explained that PF money was handled in two ways -it was individually credited to each subscriber and also invested "mostly" in Government securities. But the sources said that though the employees’ contribution and the interest thereon should have been credited to their accounts every month and to be followed up by issuance of annual statement slips it was not done and led to the backlog. Sources attributed the mistake to area inspectors of the EPF, whose job was to detect defaults and ensure compliance of the scheme. Promising that henceforth the defaults would be detected on a regular basis, Singh said "now we have decided to detect the default from time to time". It is understood that the concept of area inspectors has since been abolished and junior PF Commissioners have been deployed to rectify the system with the help of enforcement officers. (PTI) |
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Super fighter plane project suffers setback ISLAMABAD, Apr 8: Pakistan’s bid to acquire Super-7 fighter planes in technological collaboration with China has suffered a setback after Russia backed out to provide the required engines for the state-of-the art aircraft. Diplomatic sources here said the Russian decision not to supply the required engine could sound a death knell to the ambitious Sino-Pak project to build a futuristic aircraft as Beijing has no matching engine yet in its shelf to fit the fighter aircraft. Moscow had agreed to supply over 100 engines but later backed few months ago,not yet known whether the Russians have supplied any MiG-29 engines for experimental purposes, which could enable the chinese to develop an equivalent in the coming years. In terms of weapon systems and avionics, Super-7 was believed to be a match to the state of the art, Russian SU-30 aircraft being acquired by India. The story of the S-7 was virtual repeat of Russia’s promise to supply MiG-29 and SU-27 aircraft in 1992. Russia had later backed out under pressure from India, sources said. The intensity of the setback can be gauged from the importance the air force had attached to the project in its official book "The story of the Pakistan Air Force," released last year. The induction of the S-7, the book said was very important as Pakistan’s 350-odd fighter aircraft consisting of F-16, F-7, A-5, Mirrage, K-8 were poised for a phase out, it said. (PTI) |
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India asks EU to refund anti-dumping duties BERLIN, Apr 7: India has pressed the European Union (EU) to immediately refund an estimated Rs 400 crore collected by it as anti-dumping duties on imports of bed linen from India in the wake of the World Trade Organisation (WTO) declaring these punitive duties as illegal. Ambassador S Narayanan also demanded at the recent Dispute Settlement Body (DSB) meeting of the Geneva-based WTO that the 15-million EU bloc must revoke the anti-dumping duties and revocation of this punitive process can be done within a "short period of time," he said. Narayanan made these submissions after the EU Ambassador Troyan reported to the DSB that it was ready to discuss with India the "reasonable period of time" required to implement the WTO panel and appellate body’s rulings adopted by the DSB on March 12. The rulings went in India’s favour. The WTO had ruled that EU’s determination of injuries to the European textile industry and anti-dumping levies on the Indian bed linen exports in the past three years was "critically flawed" and "inconsistent" with GATT rules. It wanted the EU to modify its anti-dumping laws to bring them in line with free trade rules. Anti-dumping duties in various slabs ranging upto 24.3 per cent were being imposed by the EU on exports of cotton bed linen from India since 1997 adversely affecting the Indian industry. Troyan reiterated that EU was ready to comply with the WTO ruling "fully and promptly" and listed three steps that had to be taken to facilitate implementation of the ruling. They were review of the calculation of dumping margins, disclosure of these calculations to the interested parties and to pass a new resolution by the EU council of ministers amending the definitive anti-dumping duties. WTO’s ruling that the anti-dumping duties violated free trade rules was a major victory for Indian textile exporters. (PTI) |
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