OPINION, P6 ECONOMY, P2 M GOVIND RAO Labour, farm reforms welcome, now govt must work on banks COMPANIES, P4 EDITORIAL EXTRADITION CASE DECEMBER TAKE-OFF Gold bonds need to mimic the physical gold market, address loss of value under the monetisation schemes UK started fresh secret proceedings against Mallya, Centre tells SC No-frills SpiceJet to start flights to London from Delhi, Mumbai NEW DELHI, TUESDAY, OCTOBER 6, 2020 FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE WWW.FINANCIALEXPRESS.COM READ TO LEAD VOL. XLVI NO. 187, 16 PAGES, `6.00 (PATNA `6.00, RAIPUR `7.00) P U B L I S H E D F R O M : A H M E D A B A D , B E N G A L U R U , C H A N D I G A R H , C H E N N A I , H Y D E R A B A D , K O C H I , K O L K ATA , L U C K N O W, M U M B A I , N E W D E L H I , P U N E SENSEX: 38,973.70 ▲ 276.65 NIFTY: 11,503.35 ▲ 86.40 NIKKEI 225: 23,312.14 ▲ 282.24 HANG SENG: 23,767.78 ▲ 308.73 `/$: 73.29 ▼ 0.15 `/€: 86.07 ▼ 0.25 BRENT: $40.88 ▲ $1.61 GOLD: `50,180 ▼ `69 KAMATH PANEL IN THE NEWS PM to talk to global investors on November 5 SC seeks Centre, RBI action report PRIME MINISTER NARENDRA Modi will hold an “exclusive” dialogue with global investors at a virtual Gobal Investor Roundtable on November 5, reports fe Bureau in New Delhi. India is stepping up efforts to lure multinational companies at a time when anti-China sentiments are growing globally. Says interest relief offered by Centre ‘not satisfactory’, hints it wants realtors, power companies helped too FE BUREAU New Delhi, October 5 Jet resolution: Two shortlisted bidders submit final plans THE SUPREME COURT asked the Centre and the Reserve Bank of India on Monday to place on record the actions taken on the KV Kamath committee’sreportondebtrestructuringandalsourgedtheduoto consider the relevant “issues raisedbytherealestateassociations and powerproducers”. The apex court observed that the Centre's offertowaive “interest on interest” on loans up to `2 crore for specified individual and MSME borrowers was “not satisfactory”. The affidavit“fails to dealwith several issues”,it said. The court’s move increased the chances that it might issue directions to the RBI to modify the special window instituted by it in August for lenders to recaststressedretailandcorporate loans. “The issue is not about placing report on record but about implementing the report...The Centre and the RBI should make certain orders so JETAIRWAYS’ LENDERS have started voting on the final resolution plans submitted by two shortlisted bidders, reports Ankur Mishra in Mumbai. The e-voting is expected to be completed this week. The CoC had met on October 3 to discuss the resolution plans. Voda gets merger nod for Indus and Bharti Infratel UK-BASED VODAFONE GROUP has said it has received nod from its lenders to proceed with the Indus Towers-Bharti Infratel merger, reports fe Bureau in New Delhi. Vodafone Idea holds an 11.15% stake in Indus Towers, which is worth around `4,000 crore. Special Features Now get same-day NAV on your NPS contribution NPS SIP PAY ` ` ` ` ` ` ` ` ON THE TABLE The new D-Remit (Direct Remittance) method is an improvement over the existing eNPS method where contributions are credited to an account on T+2 basis ■ Personal Finance, P9 Vedanta’s Q1 results hit by weak commodity prices The aluminium business offset weakness in zinc and O&G; all eyes now on delisting process whose outcome will be known on Oct 16; retain ‘Neutral’ with target price of `148 ■ Investor, P9 QuickPicks HDFC Bank’s advances grow 16%, deposits up 20% in Q2 HDFC BANK on Monday disclosed that its advances in the September quarter grew 16% and deposits grew at 20% y-o-y, reports fe Bureau in Mumbai. Similarly, the current account savings account (CASA) ratio of bank grew 270 bps y-o-y to 42%. In an exchange notification, the bank said advances grew 16% y-o-y to `10.37 lakh crore, compared to `8.97 lakh crore a year ago. The advances grew 3% q-o-q, compared to `10.03 lakh crore in the June quarter. PAGE 10 BBB recommends Janakiraman and Tewari for SBI MD posts THE BANKS Board Bureau (BBB) on Monday recommended Swaminthan Janakiraman and Ashwini Kumar Tewari for the managing director (MD) posts at State Bank of India, reports fe Bureau in Mumbai. The BBB has also recommended Prakash Chandra Kandpal and Alok Kumar Choudhary as reserve list candidates. While Janakiraman is currently a deputy MD at SBI, Tewari is SBI Cards MD. The final decision will be taken by the Appointment Committee of the Cabinet (ACC). Mukesh Ambani seeks data regulation framework EMPHASISING THAT in the coming decades, nations will compete on digital capital, RIL chairman Mukesh Ambani on Monday called for a sound data regulation framework, reports fe Bureau in New Delhi. “We now have all the crucial components in place to make India a premier digital society. Together, our economy and society will generate data at an explosive and exponential rate,” Ambani said at the RAISE 2020 virtual global summit. PAGE 4 TCS board to mull buyback tomorrow PRESS TRUST OF INDIA New Delhi, October 5 IN PEOPLE'S INTEREST ■ SCwants Centre, RBI to make people know about benefit extended Govt on Oct 3 agreed to waive compound interest on loans of individuals, MSMEs up to `2 crore for March-August It, however, argued against extending such reliefto all borrowers, saying move will render most banks unviable KVKamath panel last month identified 26 sectors for debt relief, suggested sector-specific reliefthresholds SGTushar Mehta says small borrowers covered under interest relief planwhile Kamath panel will cover large loan borrowers that people know what benefit is extended,” the top court said when the government argued that“there is nothing to hide”. Continued on Page 2 ● NEW BILLING SYSTEM Google defers Indian in-app fees after angry start-ups complain ADITYA KALRA & NIVEDITA BHATTACHARJEE New Delhi/Bengaluru, October 5 GOOGLE HAS EXTENDED its deadline for Indian app developers to comply with a new billing system for commission fees by six months, it said on Monday, days after local startups voiced anger about the charges.Googlewillnowenforce its global policy more strictly and charge a 30% commission fee for in-app purchases from Indian developers from March 31,2022,thecompanysaid,sayingitwas“beingmindfuloflocal needs and concerns”. Themovecomesaftermany start-ups in India banded together to consider ways to challengethecompanybylodging complaints with the government and courts over the original deadline for complianceofSeptember30nextyear. They were upset about the commission fee and also criticised several other Google Play Store policies for hurting their businesses.“We do not succeed unless our partners succeed,” Google said, adding that it will set up“listening sessions”with leading Indian start-ups to understand theirissues. Continued on Page 2 Finance minister Nirmala Sitharaman with minister of state for finance Anurag Thakur at the 42nd GST Council meeting via video conferencing, in New Delhi on Monday GST SHORTFALL Rift wide open, ten states unrelenting Centre climbs down, says all states to be compensated; both borrowing options to be cost-free for states FE BUREAU New Delhi, October 5 AN EIGHT-HOUR-LONG meeting of the Goods and Service Tax Council on Monday could not break the impasse over how to make good the states’GSTrevenueshortfallin FY21, with 10 states steadfastly dissenting and refusing to accept the Centre’s formula. The Centrewants the states to borrowas much as `1.1 lakh crore from the market under a special low-cost RBI window, sans any cost to them. The Council decided to continue discussion on the issue at its43rdmeetingonOctober12. As many as 21 states have `20,000 cr INDIA'S LARGEST IT services firm Tata Consultancy Services’boardwill meet laterthis week to consider a share buyback proposal.“...the board of directors will consider a proposal for buyback of equity shares of the company, at its meeting to be held on October 7,2020,”TataConsultancyServices (TCS) said in a regulatory filing on Sunday night. No other details of the buyback plan were disclosed. The board is also slated to consider its financial results for the September quarter and declarationofasecondinterim dividend to the equity shareholders at that meeting. In 2018, the Mumbai- `25,000 cr Mis-allocated I-GST to be transferred to deserving states in a week Shareholders' funds Borrowing under Option 1 enhanced to `1.1 lakh crore from `97,000 crore. Compensation cess extended beyond June 2022 acceded to the Centre’s plea to accept the aforementioned borrowing Option 1, which is also incentivised with fiscal forbearance,undertheFinance Commission. The Council, however, decided to extend the applicabilityof‘compensationcess’ on specified ‘luxury and demerit foods like cars, tobacco items 91,770 Cash & equivalents and aerated drinks beyond the current date of June 2022, for such period as maybe required to meet the revenue gap. This is to service the planned debt and also raise the supplementfundsrequiredfor bridging the states’ yawning revenue shortfall. TCS 16,000 TCS 16,000 Sep 6, 2018 May 18, 2017 Infosys Nov 30, 2017 13,000 Wipro 11,000 Wipro 10,500 Nov 29, 2017 Aug 14, 2019 Infosys Mar 20, 2019 8,260 Source: primedatabase.com based company had undertaken a share buyback programme worth up to `16,000 crore. The buyback, at `2,100 per equity share, had entailed up to 7.61 crore shares. Continued on Page 11 39,267 record high of `2,678.80 on the BSE.It zoomed 6.16% to `2,679 — its all-time high on the NSE. The company’s market valuation jumped to `10,03,012.43 crore in the afternoon trade on the BSE. TCS June 30, 2020 (` cr) Taxpayer with <`5-cr turnover to file GSTR-3B quarterly, instead of every month Acquired amount (` cr) M-cap surpasses `10-lakh-crore mark TCS ON MONDAY became the second Indian firm after RILto attain a marketvaluation of more than `10 lakh crore helped by a share price rally, reports PTI. The stock rose 6.18% to reach its Cess collected in FY21 disbursed to states on Monday Top buybacks (Intra-day on BSE, `) Oct 5 2,706.85 2,750 Current Mcap 10,15,714 2,700 2,650 2,600 2,550 2,610 Previous close: 2,522.75 Open Close COVID Trump’s doctor gives confusing accounts of President’s infection Continued on Page 2 NOBEL PRIZE Trio wins award in medicine for Hepatitis C virus discovery Americans Harvey J Alter and Charles M Rice, and British scientist Michael Houghton were awarded the Nobel Price for Medicine or Physiology on Monday for the discovery of the Hepatitis C virus. The World Health Organization estimates there are over 70 million cases of hepatitis worldwide and 400,000 deaths each year. The prize carried particular significance this year due to the coronavirus pandemic, which has highlighted the importance that medical research has for societies and economies around the world. MICHAEL HOUGHTON University ofAlberta US President Donald Trump on Sunday unexpectedly left the hospital to greet supporters, waving to them from his motorcade in a bid to demonstrate strength CHARLES M RICE Rockefeller University HARVEY J ALTER National Institutes of Health ● WHO STATEMENT ‘One in 10 worldwide may have Covid’ REUTERS Geneva, October 5 ROUGHLY ONE IN 10 people may have been infected with the coronavirus, leaving the vast majority of the world’s population vulnerable to the Covid-19 disease it causes,the WHO said on Monday. Mike Ryan, the WHO’s top emergency expert, told the agency’s executive board that outbreaksweresurginginparts ofsoutheastAsiaandthatcases and deaths were on the rise in partsofEuropeandtheeastern Mediterranean region. “Our current best estimates tell us about 10% of the global population may have been infected bythis virus,”Ryan said. Detailed report on Page 8 JOSH WINGROVE & ROBERT LANGRETH October 5 DONALD TRUMP’S PHYSICIANadmittedtogivingamisleading statement about the president receiving oxygen, the latest in a series of contradictory and confusing accounts about Trump’s coronavirus infection. WhiteHousephysicianSean ConleytoldreportersonSunday that Trump had received supplemental oxygen on Friday, after saying the previous day that the president hadn’t been treated with oxygen on Friday. He said he gave the misleading information initially to“reflect the upbeat attitude” of Trump and his doctors. Sunday’s briefing also included a series of inconsistent or misleading responses that appeared intended to serve Trump’s desire to reassureAmericans,butinsteadleft thecountrywithanincomplete snapshot of his health.Even as their statements left doubt about the president’s condition, the doctors on Sunday insisted that Trump is doing wellandcouldbedischargedas soon as Monday. They also announced he was on a new drug, while remaining evasive about whether he received supplemental oxygen on Saturday and declining to detail any damage to his lungs. Continued on Page 11 STREAMING NOW! Netflix releases three Bad Boy Billionaires episodes amid legal tussle ADITYA KALRA & ABHIRUP ROY Mumbai, October 5 NETFLIX HAS PARTIALLY releaseditsmuch-awaitedseries on four Indian tycoons facing fraud allegations after a state court lifted an injunction over the weekend, a lawyer representingNetflixsaidonMonday. The Bad Boy Billionaires: Indiadocumentaryseriesabout liquortycoonVijayMallya,Subrata Royof the Sahara group,IT executive Ramalinga Raju and jeweller Nirav Modi was set for release last month.Netflix suspended the show’s release after anorderfromtheArariadistrict court in Biharwhere the Sahara group argued it would damage Roy’s reputation. Late on Saturday, the court lifted the injunction, said Amit Shrivastava,alawyerforNetflix. Hedeclinedtocommentfurther anditwasnotimmediatelyclear why the court overturned its previousorder.Theofficialorder isyet tobe released. Netflix did not respond to a request for comment. A spokesman for Sahara also did not respond. Royis currentlyon bail,having been ordered by a court to repay billions of dollars to investorsinaschemewhichwas found to be illegal. Roy denied wrongdoing in the case and his counsel has said he already has repaid investors. Some Netflix shows in India havefacedcourtchallengesand police complaints forobscenity or for hurting religious sentiments.Theongoinglegalspatis among the most high-profile ones Netflix has faced in India, one of its keygrowth markets. Thestreamingcompanyhad argued that halting the show’s release“freezesfreespeech”and hurts the company financially, Reuters has reported. On Monday, Netflix made three of the fourepisodes in the series available on its app for viewers in India. The episode New Delhi focusing on Raju was unavailable.Raju,whowas accused of a $1-billion accounting fraud overadecadeago,hasobtaineda separate injunction on its telecastfromacourtinsouthIndia. The case would be heard later on Monday,AVenkatesh,a lawyerforRaju,toldReuters. The other two tycoons — Modi and Mallya — are facing extradition attempts and are currently in the UK. Both have deniedwrongdoing. — REUTERS
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