OPINION, P6 NATION, P17 EDITORIAL Older telcos losing perception battle vis-a-vis RJio INTERNATIONAL, P4 A GULATI & P TERWAY IT’S A WIN ROAD TO BREXIT With bumper crop & strangulated markets, farmer margins much lower in Modi regime Kidambi Srikanth lifts Indonesia Open title, beats Japan’s Sakai May-led Britain to hold special two-year parliament session LUCKNOW, MONDAY, JUNE 19, 2017 VOLUME X NO. 244, 18 PAGES, `5.00 PUBLISHED FROM: AHMEDABAD, BENGALURU, CHANDIGARH, CHENNAI, HYDERABAD, KOCHI, KOLKATA, LUCKNOW, MUMBAI, NEW DELHI, PUNE IN THE SLOW LANE GST COUNCIL MEETING Two-year sunset clause for anti-profiteering Deal flow in roads ebbs as assets turn unviable With no framework to ease stress, few assets are expected to change hands Approves five sets of rules, defers decision on E-Way Bill rule, relaxes deadline for filing returns IN THE NEWS Govt portal MCA21 hit by WannaCry THE CORPORATE affairs ministry's key portal for making filings by companies — MCA21 — came under WannaCry ransomware attack last month, reports PTI. The attack was “presumably” the first on a central government portal and prompt measures were taken to contain the impact, according to an official document. WHILEATLEAST a hundred road projects entailing an investment of`25,000croreareontheblock, most of these may not be viable, say industry experts. Approximately half these ventures have been executed in the PPP(publicprivate partnership) mode. Intheabsenceofaframework Insurance: Claim rejected? Go to the ombudsman The Insurance Ombudsman can award compensation up to `30 lakh (including relevant expenses) for any dispute related to a life, health or general insurance policy ■ Personal Finance, P9 QuickPicks Bankers to meet from today to decide on large defaulters BANKERS ARE meeting from Monday to finalise their next course of action on six of the 12 bad loan accounts for an immediate referral to the NCLT after the RBI named the largest defaulters to face bankruptcy proceedings, reports PTI. The first set of six troubled accounts are Bhushan Steel (`44,478 crore), Essar Steel (`37,284 crore), Bhusan Power and Steel (`37,248 crore), Alok Industries (`22,075 crore), Amtek Auto (`14,074 crore) and Monnet Ispat (`12,115 crore). Together with six other accounts, these owe `2.5 lakh crore to the system — around 25% of gross bad loans. DoT sees steep revenue decline of over `17,000 crore in FY18 THE DEPARTMENT of telecom (DoT) expects the revenue it earns from the sector to decline by as much as 38% in the current fiscal on account “severe financial stress” and a “rapid decline in earnings” of the operators, reports fe Bureau in New Delhi. With hyper competition eating into revenues and margins, DoT has asked the finance ministry to revise its non-tax revenue target for the department steeply downwards to `29,524 crore for FY18 from the earlier estimated `47,304 crore. PAGE 2 Finance minister Arun Jaitley with revenue secretary Hasmukh Adhia (left) and MoS for finance Santosh Gangwar (right) at the 17th GST Council Meeting in New Delhi on Sunday seeks to penalise businesses that do not pass on the benefit of a reduced incidence to customers. Any firm found to be profiteering,will pay a penalty equivalent to the amount of benefits gained under GST but not passed on to customers. At a press conference,finance minister Arun Jaitley said he hoped the anti-profiteering rule would not be used. Explaininghowtheanti-profiteering clause would work, rev- ALL IN A DAY ■ State-run lottery tickets will attract a levy of 12% ■ Those run by private players will attract 28% ■ Tax on AC hotels raised to 28% on rooms costing over `7,500 per night ■ Ceiling on services provided by restaurants in 5-star hotels at 18% Continued on Page 2 SBI gains market share post-demonetisation SHRITAMA BOSE Mumbai, June 18 STATE BANKOFINDIA (SBI) has grown its market share in debit card spends over the last six months even as its nearest rivals have lost ground. The country’s biggest lender reported debit card transactions worth `11,720.73 crore in April, notching up a share of over31%, data from the Reserve Bank of India shows. In October, the share was a shade under 30%. In contrast, large private sectorlenders,HDFC Bank and ICICI Bank, saw their shares drop over the six-month period following the note ban in October. ICICI Bank’s market share at the end of April was 12.5% ,when it reported `4,671.62 crore in debit card spends, down from nearly 15% in October.For HDFC Bank, thefallwassharper—to12.8%in April from over 16% in October. Thelargestprivatebankbyassets sawdebitcardtransactionsworth `4,818.66 crore inApril. Some of the gain in share for SBIcanbeattributedtoapushfor digital transactions post-demonetisation.InOctober,beforehighvalue currency notes were withdrawn by the government, SBI anditsassociateshadtogetherreported `6,572.96 crore worth of transactions and commanded a share of just under30%. Continued on Page 2 CREDIT TO SBI Oct 1, 2016 Apr 2017 (` cr) Share (%) SBI Oct 1, 2016 29.96 31.27 Apr 2017 11,721 ICICI 6,573 14.88 12.46 HDFC 16.05 12.85 3,265 SBI+associates Source: RBI 4,672 ICICI Bank 3,521 4,819 HDFC Bank Soon, more roads will lead to BKC Once the underground stationforthebullettraintoAhmedabad is built and the country’s biggest convention centre — across seven million sq ft — comes up in late 2018, traffic to BKCisexpectedtogoupfour-fold from current levels. MMRDA’s hoping to be able to complete the roads by end 2019. Much before that, Bombay’s first drive-in theatre would be screening regular shows and two large malls would be thrown open for business. Continued on Page 2 ILLUSTRATION: SHYAM EVEN AS BANDRA KURLA Complex is fast becoming the country’s most happening businesscum-leisure hub, the Mumbai Metropolitan Region Development Authority (MMRDA) is rolling out a `1,000-crore road project to ensure cars moving in and out of the area aren’t caught up in traffic jams. UPS Madan, commissioner,MMRDA,says the ideaistohavethreeelevatedroads and two flyovers connecting BKC to different parts of Mumbai. One elevated roadwill stretch from Dharavi to the BandraWorli Sea Link cutting through the mangrove forest; in addition,two flyovers of two lanes each will run from the sea link into the complex. With the foundation stonefortheInternationalFinancial Services Centre (IFSC) to be laid in September, time is running out for MMRDA. PTI enue secretary Hasmukh Adhia said the GST implementation committee,abodycomprisingofficersfromstatesandcentralgovernment,wouldpassonanycomplaints that it receives to the Director General of Safegaurd. “The DG of Safeguard will then takeaboutthreemonthstoinvestigate the complaint and send its findings to the anti-profiteering authority,”Adhia explained. NETWORKING ROUHAN SHARMA Mumbai, June 18 Trichy Tollway Jadcherla Expressways 128 Western MP Infrastructure & Toll Roads BSCPL Godhra Tollways 44.3 31 48.3 Jodhpur Pali Expressway Shillong Expressway Deal value, $ million Gujarat Road and Infrastructure 16 39.6 SMS Shivnath Infrastructure 21 Andhra Pradesh Expressway Source: Companies and Equirus Securities that facilitates the resolution of disputes, and helps ease stress, fewassets are expected to change handsinthenearterm.Currently, RERA registrations ● DEBIT CARD SPENDS Special Feature FEW AND FAR BETWEEN SHUBHRA TANDON Mumbai, June 18 SUMIT JHA Mumbai, June 18 THE GST COUNCIL on Sunday made the dreaded anti-profiteering clause more palatable specifying a sunset clause of two years even as it relaxed the deadline for filing returns under the goods and services tax (GST) till September. The Council also approved five sets of rules but deferred a decision on the E-Way Bill rule. The GST — a uniform levy across the country — will be rolled out at midnight on June 30, ahead of which the council will meet again. Jammu and Kashmirand Kerala areyet to approve the State GST law. The GST Council tweaked rates for luxury hotels giving relief to states relying on tourism. State-run lottery tickets will attract a levy of 12% while those run byprivate playerswill attract a higher GST of 28%. Rates for hybrid vehicles were not discussed at the meeting, the 17th Council meeting. The anti-profiteering clause WWW.FINANCIALEXPRESS.COM FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE there are very few revenue-generating projects on the block. Continued on Page 2 FE BUREAU It’s slow going in Mumbai Half way through the 3-month registration window for ongoing projects under Maharashtra RERA, only 16 Mumbai projects have been registered so far. This number is significantly low compared to the estimated number of ongoing projects of around 800 12.5 Number of projects registered/ approved under Maharashtra RERA 10.0 7.5 5.0 2.5 0.0 Mumbai suburban Pune Others Mumbai city Thane Source: Maharashtra RERA Website
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