MINISTRY OF CORPORATE AFFAIRS (MCA)
MCA PROBING MG MOTOR INDIA AS SCRUTINY ON CHINESE FIRMS WIDENS
The Ministry of Corporate Affairs (MCA) is considering an expanded inquiry into MG Motor India’s financial records based on Registrar of Companies’ 2022 findings.
However, an MG Motor India spokesperson stated the company hasn’t received recent MCA queries. They provided all required information during the March Registrar of Companies (RoC) inquiry, with no further questions. Emphasizing legal compliance, the spokesperson highlighted MG Motor India’s reputation as a multinational organization. Read More
BID FOR TRANSPARENCY: INDIA’S CORPORATE AFFAIRS MINISTRY CALLS FOR REGULAR GENERAL MEETINGS OF COMPANIES
India’s Ministry of Corporate Affairs has emphasized the significance of frequent general meetings in response to a rise in company formations. These gatherings offer shareholders a forum to query managerial choices, playing a vital role in mitigating corporate fraud and financial vulnerabilities. Read More
UNVEILING TRANSPARENCY: LLPS TAKE CENTER STAGE WITH THE NOTIFIED LIMITED LIABILITY PARTNERSHIP (SIGNIFICANT BENEFICIAL OWNERS) RULES, 2023
The Ministry of Corporate Affairs has introduced the Limited Liability Partnership (Significant Beneficial Owners) Rules, 2023, effective from November 9, 2023. Applicable to all LLPs, these rules mandate the proactive identification of ‘significant beneficial owners,’ submission of declarations, maintenance of a register, and issuance of notices in line with Section 90 of the Companies Act, 2013. Read More
RESERVE BANK OF INDIA ( RBI)
BANKS’ BORROWING FROM MSF HIGHEST IN NOVEMBER AS LIQUIDITY TIGHTENS
Borrowings from the Reserve Bank of India’s (RBI) Marginal Standing Facility (MSF) by banks surged in November, indicating a strained liquidity environment in the banking system. As per the latest data from the RBI, lenders borrowed Rs 1.5 trillion on November 20, marking the highest amount borrowed this month. Read More
MONETARY POLICY COMMITTEE POSSIBLY UNDERESTIMATES Q2 ECONOMIC GROWTH
Reserve Bank of India (RBI) Governor Shaktikanta Das’ positive outlook on the second-quarter economic growth is widely echoed by most economists and experts. This optimism stands in contrast to the Monetary Policy Committee’s (MPC) projection of 6.5%. The national account figures, including Gross Domestic Product (GDP), for the quarter are set to be disclosed later. Read More
RBI IMPOSES MONETARY PENALTY ON THE PATLIPUTRA CENTRAL COOPERATIVE BANK LTD, BIHAR
The RBI has imposed a ₹1.50 lakh penalty on The Pataliputra Central Cooperative Bank Ltd, Bihar, dated November 13, 2023.
The penalty is for non- compliance with RBI directives on ‘The Depositor Education and Awareness Fund Scheme, 2014 – Section 26A of Banking Regulation Act, 1949 – Operational Guidelines’ and ‘Reserve Bank of India – (Know Your Customer (KYC)) Directions, 2016’.
MERGERS AND ACQUISITION
CHEMICALS MAJOR PCBL PLANS TO ACQUIRE PUNE- BASED AQUAPHARM CHEMICALS FOR ₹3,800 CRORE PCBL Ltd, a key player in carbon black and specialty chemicals, plans to acquire a 100% stake in Aquapharm Chemicals Pvt Ltd (ACPL) for
₹3,800 crore. Funding for the acquisition, subject to agreed adjustments, will be a combination of internal accruals and external fundraising, as per an exchange filing on Tuesday. Read More
AIA ENGINEERING ACQUIRES STAKE IN VEGA INDUSTRIES PERU, SHARES RISE
AIA Engineering Ltd.’s shares rose 0.75% as the company and its subsidiary, Vega Industries (Middle East) FZC, subscribed to 3,65,328 shares in Vega Industries Peru Ltd. The acquisition of a 100% stake in the Peru-based trading company was announced on August 1, 2023, with an indicative cash equivalent of approximately Rs 82.29 lakhs. Read More
MARUTI SUZUKI’S ACQUISITION OF SUZUKI MOTOR GUJARAT GETS OVERWHELMING APPROVAL FROM SHAREHOLDERS
Shareholders Overwhelmingly Back Maruti Suzuki’s ₹12,841.1 Crore Acquisition of Suzuki Motor Gujarat’s 100% Equity Share Capital. Nearly 99% of Minority Shareholders Support the Deal through E-Voting.
M&A ACTIVITY DIPS AMID GEOPOLITICAL CONCERNS, ONLY 5 MEGA DEALS THIS YEAR
A recent Boston Consulting Group report notes a downturn in Mergers and Acquisitions (M&A) during Q1 2023, attributed to factors like rising interest rates, geopolitical tensions, and recession fears.
Following robust activity in 2021-2022, dealmaking slowed in the latter half of 2022 and the early months of 2023.
TAX
EASE OF I-T REFUNDS, TAXPAYERS SAW REDUCED TIME, SIMPLIFIED PROCESS: SURVEY
The survey indicates that not only has the time for refunds decreased, but individual taxpayers have also experienced a streamlining of the refund process, with 90% of them receiving automatic refunds. Additionally, 75% of individual taxpayers did not incur additional taxes beyond the deducted tax at source (TDS). Read More
GST AMNESTY SCHEME PROVIDES RELIEF, APPEALS TO BE FILED BY JANUARY 31, 2024
Finance Ministry outlines appeal procedure for GST amnesty scheme, aiming to assist taxpayers who missed the earlier appeal deadline. A November 2 notification, based on recommendations, paved the way, and the GST Network has now implemented the amnesty mechanism. Read More
INCOME TAX DEPARTMENT INTRODUCES NEW ‘DISCARD ITR’ FACILITY ON ITS WEBSITE FROM AY24
The income tax portal has introduced a novel feature allowing users to “Discard ITR” for unverified original, belated, or revised Income Tax Returns (ITRs) beginning from the assessment year 2023-24. This initiative by the income tax department expands the opportunities for taxpayers to revise their income tax returns, a capability previously restricted to addressing omissions and errors. Read More
SECURITIES
EXCHANGE BOARD OF INDIA ( SEBI)
SEBI BOARD GIVES NOD TO SMALL & MEDIUM REITS, DEFERS DECISION ON DELISTING NORMS
SEBI board approves flexibility for SSEs and a framework for small and medium REITs. Decision on delisting regulations deferred due to limited data. SEBI also endorses reducing minimum issue size and application size for ZCZPs by NPOs on SSEs to enhance participation. Further consultations to follow, says SEBI chairperson.
KRONOX LAB SCIENCES INITIATES IPO JOURNEY, SUBMITS PAPERS TO SEBI
Vadodara-based Kronox Lab Sciences has filed its draft- red herring prospectus (DRHP) with SEBI for an IPO, aiming to raise Rs 150- 180 crore. The IPO comprises a fresh share sale of Rs 45 crore and an offer for sale (OFS) of up to 78,00,000 equity shares by promoters Joginder Singh Jaswal, Ketan Ramani, and Pritesh Ramani. Read More
SEBI PROPOSES 4- MONTH COOL-OFF PERIOD FOR TRADING PLANS
SEBI is planning significant revisions to trading plans, which have seen limited interest from Corporate India. In its consultation paper released on Friday, the regulatory body suggests shortening the minimum cool-off period between disclosing and implementing trading plans from six months to four. Additionally, the minimum coverage period may be reduced from twelve months to two.
ARBITRATION
ARBITRATION IN INDIA PLAGUED BY RAMPANT CORRUPTION: JUSTICE SANJIB BANERJEE Former Chief Justice of Madras and Meghalaya High Court, Sanjib Banerjee, stated that the arbitration scenario in India is marred by widespread corruption. He noted having observed significant abuse of arbitration laws during his tenure as a judge at the Calcutta High Court. Read More
SCRAPPING OF TATA NANO PROJECT IN SINGUR: ARBITRAL TRIBUNAL AWARDS ₹766 CRORE COMPENSATION TO TATA MOTORS
TThe Arbitral Tribunal has additionally granted Tata Motors ₹1 crore in costs for the arbitration proceedings, which is to be recovered from the West Bengal Industrial Development Corporation (WBIDC). Recently, the tribunal ruled in favor of Tata Motors, ordering the West Bengal government to pay ₹766 crores in compensation. Read More
ARBITRAL AWARD DISPUTE: HC ASKS SPICEJET MD AJAY SINGH TO APPEAR IN JANUARY
The Delhi High Court has summoned Ajay Singh, the Managing Director of SpiceJet, to appear in January concerning a dispute involving interest payments on an arbitral award exceeding Rs 570 crore in favor of media mogul Kalanithi Maran. SpiceJet and its MD are obligated to pay approximately Rs 4.40 crore to Kal Airways, the decree holder. Read More
DELHI HC DISMISSES AIR INDIA’S PETITIONS CHALLENGING TWO 2016 ARBITRAL AWARDS
The arbitration pertains to a protracted dispute that originated nearly 15 years ago between Indian Airlines, the predecessor of Air India, and its employees. The conflict revolves around matters of service conditions and wage revisions following the merger. Air India has since been privatized through its acquisition by the Tata Group. Read More
INFORMATION TECHNOLOGY ( IT)
PUNE CIVIC BODY PORTAL HACKED TO CHANGE CHILD’S NAME IN BIRTH CERTIFICATE, FIR LODGED An unidentified person allegedly breached the Pune Municipal Corporation’s birth and death registration portal, changing a child’s name on the birth certificate without parental consent. The child’s father filed an FIR at the Faraskhana police station, accusing the misuse of login credentials belonging to Dr.Sujata Mane, a PMC medical officer. Read More
HC SEEKS GOVTS’ STAND ON TECHNOLOGY UPGRADE FOR BETTER TRAFFIC MANAGEMENT
The Delhi High Court has requested responses from the Central and Delhi governments regarding a petition urging the enhancement of technology and infrastructure for monitoring traffic violations. The Chief Justice D N Patel and Justice Jyoti Singh bench issued notices on a public interest litigation filed by a lawyer and allowed authorities time to submit their replies. Read More
SUPREME COURT SIGNS MOU WITH IIT MADRAS FOR COLLABORATING ON USAGE OF ARTIFICIAL INTELLIGENCE & TECHNOLOGY
The Supreme Court has formalized a collaboration with IIT Madras through a memorandum of understanding. This partnership is geared towards leveraging Artificial Intelligence and emerging technologies for various applications, including the development of transcription tools, summarization of page transcripts, translation tools, and the creation of an exclusive streaming platform for court trials. Read More
INDIA ADDRESSES DEEPFAKE THREATS: CALLS FOR LEGAL ACTION AND TECH SOLUTIONS
The Indian government is tackling a recent deepfake incident by urging social media platforms to adhere to takedown regulations and emphasizing legal measures against digital impersonation. Robust prosecution of those responsible is deemed essential to address the problem. Read More
GAMING INCOME TAX PAYABLE ON WINNINGS FROM ONLINE, OFFLINE GAMES OF CHANCE
E-commerce platforms such as Amazon and CRED frequently organize no-cost gaming contests like spin- the-wheel and others. From an income tax perspective, these games are considered games of chance and are subject to a flat 30% tax rate
plus additional cess. However, certain factors need to be taken into account if an individual has earned prizes through participation in analogous offline or online games. Read More
ONLINE GAMBLING ACT | BAN WON’T APPLY TO POKER, RUMMY: MADRAS HIGH COURT
The All India Gaming Federation, Gameskraft, Games24x7, Junglee Rummy, and A23 were among the petitioners contending that the game is legally acceptable in physical form but is deemed illegal when played online. Read More
MINISTERS GROUP LIKELY TO DISCUSS E- GAMING ON DECEMBER 15
Although the Group of Ministers (GoM) has held a few informal discussions, the inaugural formal meeting is expected to establish the groundwork for regulating online gaming. The emphasis will be on devising effective taxation strategies for the sector and preventing any instances of unlawful gambling or betting, particularly from offshore entities. Read More
ONLINE GAMING COMPANIES GET RS 1 LAKH CR GST SHOW CAUSE NOTICES SO FAR
TIndian tax authorities have issued notices amounting to approximately 1 trillion rupees ($12.03 billion) to online gaming companies, as stated by a government official on Wednesday. The government has revised the GST law, compelling foreign online gaming firms to register in India starting from October 1. Read More
INTELLECTUAL PROPERTY RISE IN PATENT APPLICATIONS IN INDIA DEMONSTRATES RISING INNOVATIVE ZEAL OF YOUTHS: PM MODI
World Intellectual Property Organization report said patent applications by residents of India grew by
31.6 percent in 2022, extending an 11-year run of growth unmatched by any other country among the top 10 filers. China, US, Japan, South Korea, and Germany were the countries with the highest no. of patent filling in 2022. Read More
ARMY REGISTERS INTELLECTUAL PROPERTY RIGHTS OF NEW COMBAT UNIFORM
The exclusive intellectual property rights (IPR) of the design and camouflage pattern now rests solely with the Indian Army. The process for registration of the new camouflage pattern and design of improved combat uniform to establish ownership of the Indian Army has been completed by the Controller General of Patents, Designs and Trademark. Read More
HOW MSMES CAN BOOST FUNDING FROM IP VALUATION RULES
The MSMEs sector contributes around 33% of the country’s total GDP and is projected to contribute worth 1 trillion to India’s total exports by 2028. Many MSMEs are unaware of the significant opportunities that lie in valuing their IP assets to boost funding.The IPR policy also envisions the creation of a comprehensive legislative, administrative, and market framework which is conducive to the utilization of IP assets as collateral for various financial purposes.