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PDICAI Knowledge Capsule - 30/04/2014

Wednesday, April 30, 2014
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Professional News
INCOME TAX
Income tax department lens on Rs 5 lakh crore share sales by India Inc
Maharashtra : More than 5,000 closely held companies will come under the glare of the income tax department for transferring funds through suspicious share-sale deals. According to information compiled by the tax office, about Rs 5 lakh crore changed hands in past six years as 26,000-odd unlisted firms belonging to large and mid-sized corporate houses transferred funds by issuing equity and preference shares at high premiums.
Swiss agrees to share info on tax evaders without their approval
Delhi : India’s long-time demand for the details of secret bank accounts of its taxpayers in Switzerland may be met soon. After Swiss authorities enact a new law in this regard by July, they will share such information, without the permission of account holders. This, however, will provide only partial relief to the Indian government, as Switzerland hasn’t yet relented to providing information on stolen data pertaining to HSBC Geneva.
COMPANY LAW
Startups wary of companies law; new rules may hit fundraising plans and appointment of directors
Karnataka : More red tape awaits Indian startups as regulators tighten processes required to raise new investment or add new directors on the board of new ventures. These strictures, which are a part of the new Companies Act 2013, are likely to delay investments, increase the cost of compliance and prove to be a hindrance in registering a new company said several experts who have studied the new regulations.
RBI
RBI signals it may not let rupee rise above 60 a dollar
Maharashtra : The Reserve Bank of India signalled that it will not let the rupee appreciate beyond 60 to the dollar as it shifts to consumer prices as a basis for calculating the real effective exchange rate or REER.The central bank has released a new measure for REER based on the consumer price index or CPI. REER is the inflation-adjusted value of the currency factoring in inflation differentials among trading partners.
RBI might not push bond index plan
Maharashtra : The Reserve Bank of India (RBI)’s earlier plan for including Indian bonds in a global bond index might have been put on the back burner due to strong foreign exchange reserves. According to the Street, the central bank might decide to again pursue the idea in a scenario where there is better domestic stability. For, such a step could lead to more volatile flows in the debt segment, a concern RBI is trying to mitigate.
Misc. Corporate Laws & Other Commercial Policies
Reliance Industries asks Oil Ministry to announce new gas price on May 13
Delhi : Reliance Industries has asked Oil Ministry to announce a new natural gas price immediately after polling ends on May 12, saying this was necessary to avoid irreparable loss to all parties, including the government. While a new formula for pricing of all domestically produced natural gas was notified on January 10 and published in Gazettee on January 17,
Finance & Money Markets
Government to United Bank of India: Focus on recovery of sticky loans
West Bengal : The government has told the United Bank of India to keep focusing on recovery of sticky loans for another few quarters to clean up its balance sheet which has been strained by bad assets and record losses. The government, which owns 88% stake in the bank, told this last week after it reviewed UBI's performance for the quarter to March, before the bank's board is set to meet on May 5 to consider the results.
Shares of FMCG companies may hit roadblock due to weak monsoon; El Nino may add to worries
Maharashtra : The shares of consumer goods companies have fallen out of investors' favour due to concerns over slowdown in consumption and lofty valuations. Now, analysts warn the Indian Meteorological Department's (IMD) warning of sub-normal monsoon may be the final nail in the coffin for these stocks.Rural India accounts for over half of consumer goods sector's revenues.
Commodities
Behind copper’s current surge…
Tamil Nadu : Copper prices are on the upswing on the back of the Chinese State Reserve Bureau buying 200,000 tonnes of the metal in the last couple of weeks.After having slipped to a four-year low of $6,321 a tonne on March 19, copper prices have bounced back, gaining over seven per cent since then. On Tuesday, copper for delivery in July was quoted at $6,745.50. In the domestic futures market, copper hasn’t seen that much of a surge, rising to Rs. 419.50 a kg from Rs. 403 during the same period.
Gold price dips back below $1,300/oz ahead of data onslaught
Delhi : The gold price dipped lower again on Tuesday morning, failing to garner support from the continuing crisis in Ukraine, with investors also content to remain on the sidelines ahead of an FOMC statement and US jobs data later this week Spot gold was last at $1,289.25/1,290 per ounce, down $6.50 on Monday’s close and not far from intraday lows close to $1,286.
INTERNATIONAL BUSINESS
Megadeals drive torrid pace for M&A activity, hits $1 trillion in four months
 The value of corporate takeovers announced in 2014 hit the $1 trillion mark Monday, reaching that level at the fastest pace in seven years. That threshold was crossed 54 days earlier than in 2013, after more than $300 billion in purchases were announced by companies from Eli Lilly and Co. to Valeant Pharmaceuticals International Inc. to Alibaba Group Holding Ltd.
Banking
Non-CTS cheques may face further clearance delay from May 1
Delhi : If your cheques are not CTS 2010 complaint, there can realisation delays, as they will be cleared at less frequent intervals.With banks continuing to accept old format cheques, customers who are not familiar with the CTS 2010 (Cheque Truncation System) cheques seem not to worry much about surrendering their old cheque books.From May 1, the frequency of clearing such instruments would be reduced from the present three sessions a week to two.
Reminders
 Tenders
Housing And Urban Development Corporation Limited 01/05/2014
Department Of Health Services - Lakshadweep  05/05/2014
Urban Administration And Development - Jabalpur - Madhya Pradesh 05/05/2014
Urban Administration And Development - Rewa - Madhya Pradesh 05/05/2014
Urban Administration And Development - Gwalior - Madhya Pradesh 05/05/2014
Urban Administration And Development 05/05/2014
Panchayat And Rural Development Department - Kolkata West Bengal 05/05/2014
Urban Administration And Development - Indore - Madhya Pradesh 05/05/2014
Urban Administration And Development - Sagar - Madhya Pradesh 05/05/2014
Army Public School 05/05/2014
Urban Administration And Development - Bhopal - Madhya Pradesh 05/05/2014
Urban Administration And Development - Ujjain - Madhya Pradesh 05/05/2014
Punjab Land Records Society 06/05/2014
National Institute Of Fashion Technology 06/05/2014
 
Notifications & Circulars
SEBI
CIR/IMD/FIIC/ 09/ 2014 (Maharashtra) 28/04/2014
Infrastructure facilities and submission of periodic reports
RBI
Notification No. RBI/2013-14/575 (Delhi) 28/04/2014
Usage of Transaction Type Code (TTC) in RTGS
Notification No. RBI/2013-14/576 (Delhi) 28/04/2014
Auction of Government of India Dated Securities
 
Economy
 India
India displaces Japan to become third-largest world economy in terms of PPP: World Bank
Ban on Alphonso mangoes: India to take up the issue with EU
Demand for accurate weather predictions heralds burgeoning business opportunity for private forecasting firms
Should govt staff pay be on par with pvt sector, asks pay panel
 
 International
UK economy grows by 0.8% in first quarter
Floridians’ confidence in economy stays fairly flat, UF survey shows
 
Markets Today
NSE
6,696.40

BSE
22,417.80

NASDAQ
4,103.54

     
USD
60.31
 
EURO
83.36
 
JPY(100)
58.79
 
GBP
101.42
 
 
Corporate Watch
Bharti Airtel Q4 net profit surges by 89% to Rs 962 crore, meets estimates
Delhi : Bharti Airtel's net profit for the fourth quarter jumped 89% from a year earlier, as India's No. 1 carrier's data revenue surged and voice business benefitted from easing competition, though its Africa operations continued to be a drag. Net profit rose to Rs 962 crore from Rs 509 crore a year earlier. Revenue for the quarter was up by 13.5% to Rs 22,219 crore.
Rajeev Suri to focus on networks, navigation and technologies after selling handset business to Microsoft
Delhi : After selling its iconic handset business to Microsoft for $7.5 billion, Nokia will focus on three core areas - networks, navigation and technologies — and is aiming to emerge as a leading network provider as it undertakes to change its DNA. In a letter to employees, which ET has exclusive access to and reported first on its news portal on Tuesday morning, new president and chief executive Rajeev Suri said the company, known to millions around the world as a handset maker, will now have to look at the three segments together and innovate in a way that can disrupt business and consumer space while creating new opportunities.
Madras High Court asks Nokia to pay Rs 2400 crore of tax
Tamil Nadu : The Madras High Court asked the Tamil Nadu sales tax department to reconsider its Rs 2,400 crore claim on Nokia India, but asked the mobile handset manufacturer to deposit 10% of the amount as deposit within eight weeks. 'Now, by virtue of this order, the first respondent (the Tamil Nadu tax authorities) is directed to reconsider the entire matter afresh,' wrote Justice B Rajendran in the order. 'At the same time, the revenue also has to be safeguarded to some extent.
Ability of Indian companies to generate profit declines
Maharashtra : In FY13, every rupee of investment yielded only Rs 1.06 worth of revenue for India Inc, down from Rs 1.20 in March 2008 at the height of the economic boom. The bad news doesn’t end only at the steady decline in revenue yield for companies, led by mainly those in construction and infra, realty, metals and mining, telecom and the power sector. The infrastructure and real estate boom proved too costly for Indian companies.
NBFC CORNER
A single window for auditors of non-banking finance companies
 
Announcements
Professional Development Committee is organising live Webcast on "Clarification of MEF issues & Recent Development/Initiative of Professional Development Committee" on 2nd May, 2014 at 2 P.M. onwards.
 
Tenders & Assignment
Uttar Pradesh Co-operative Bank Limited
Description :Concurrent Audit of the branches of Uttar Pradesh Cooperative Bank Limited.

Last Date : 09/05/2014

Address :H.O.2-MG Marg, Lucknow-226001
 
Govt Of India Ministry Of Corporate Affairs Office Of The Official Liquidator High Court Of Delhi
Description :Appointment on full time,on contractual basis as consultant Chartered Accountants in the office of the official liquidator,for the work of the companies in liquidation.

Last Date : 12/05/2014

Address :8th Floor,Lok Nayak Bhawan,Khan Market,New Delhi

Phone :011-24693315
 
Rajasthan Housing Board
Description :Proposals invited from Chartered accountant firms for Appointment of Tax advisor.

Last Date : 15/05/2014

Address :Rajasthan Housing Board
Jaipur Rajasthan
 
Indian Institute Of Management
Description :Engagement of Chartered Accountant firm.

Last Date : 17/05/2014

Address :Indian Institute Of Management,M.D.U. Campus Rohtak – 124001, (Haryana)

Phone :01262-228503
 
Department Of Health And Family Welfare - Chandigarh Punjab
Description :Selection Of Concurrent Auditors - Request For Proposal Hiring Services Of Chartered Accountant Firm For Concurrent Audit Of State Health Society (SHS) & 22 District Health Societies (DHSS) - (For The Financial Year 2014-15) Under National Health Mission (NHM)

Last Date : 19/05/2014

Address :Department Of Health And Family Welfare - Chandigarh Punjab,PRAYAS Building 5th Floor, Sector 38, Chandigarh.

Phone :0172-4012011-13
 
State Health Society Jaipur
Description :Selection of Concurrent auditors – Request for Proposal for Hiring services of Chartered accountants firm(s) for Concurrent audit of rajasthan state health society (RSHS) & district health societies/district rural health societies

Last Date : 26/05/2014

Address :jaipur-Rajasthan
 
Karnataka State Police Housing Corporation Limited
Description :Appointment of Internal Auditors to KSPHCL for the year 2014 – 15.

Last Date : 30/05/2014

Address :Karnataka State Police Housing Corporation Limited,No.59, Richmond Road, Bangalore 560 025

Phone :25584102

E-Mail :eeqc@ksphc.org
 
 
 
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