MUMBAI, WEDNESDAY, AUGUST 10, 2022 FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE VOL LXII NO. 188, 24 PAGES, `10.00 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 IBA CONCERNED ABOUT HARASSMENTS Banks seek shield against probes IN THE NEWS SoftBank’s loss to cast shadow on startup funding SOFTBANK’S MEDIOCRE JUNE quarter results, which saw the conglomerate markdown fair valuations of more than 280 of its portfolio companies, is expected to have a ripple effect on Indian fund managers and venture capitalists, report Salman S H & Tushar Goenka in Bengaluru. ■ PAGE 4 Air travellers’ data mandatory: CBIC THE CENTRAL BOARD of Indirect Taxes and Customs has made it mandatory for all airlines to transfer the passenger information they collect to the designated Customs authorities. ■ PAGE 2 Propose changes to Lokpal Act to make lenders’ prior nod mandatory for referring complaints to CBI BANIKINKAR PATTANAYAK New Delhi, August 9 BANKS HAVE APPROACHED the government to consider appropriate amendments to the Lokpal Act for introducing a requirement fortheanti-corruption authority to obtain approval of the bank concerned before referring a complaint,involving its staff,to the Central Bureau of Investigation (CBI),official and banking sources told FE. Under the extant norms, the Lokpal mayordera preliminaryprobebyits investigation arm after receiving a complaint or refer the case to an agency, including the CBI, if it finds a prima facie case. Lenders, under the aegis of the Indian Banks’Association (IBA),arepushingfortheinclu- SEEKING PROTECTION ■ Under the extant norms, the Lokpal may order a preliminary probe by its investigation arm after receiving a complaint or refer the case to an agency, including the CBI ■ Banks are seeking greater protection against arbitrary action by police or other bodies for honest business errors ■ IBA is seeking inclusion of sections like 17-A and 19 of the Prevention of Corruption Act Some senior public-sector bankers have been arrested in recent years, mainly by local police, prompting staff of state-run banks to seek further protection sion of provisions along the lines of Sections 17Aand 19 of the Prevention of Corruption Act (PCA) in the Lokpal Act as well,the sources said.The idea is to seek greater protection against arbitrary action by police or other authorities for honest business errors. According toSection17Aof the PCA, any police investigationondecisionstakenbypublic servants,while discharging their duties, will require prior approval from the competent authority.Similarly,Section19 of the PCA mandates previous sanction from the competent authority for prosecution of offences committed by them. “The IBAis in talkswith the department of financial services forchanges in the Lokpal Act,”said one of the sources. Continued on Page 2 No ban,but China phone makers face stiff riders New WhatsApp features to curb online stalking Export volumes,broad-basing of distributor network & domestic supply chain main components of action plan TUSHAR GOENKA Bengaluru, August 9 RISHI RAJ New Delhi, August 9 THE GOVERNMENT HAS drawn up a three-prongedstrategytocreateentrybarriers for Chinese manufacturers in the below `12,000 mobile phone segment to create room for Indian manufacturers. If the Chinese handset makers do not agree with the set of conditions the government wants them to comply with, handsets priced below `12,000 will be subjected to variousBureauofIndianStandardschecks in addition to security and safetyverification. This will be quite similar to Trusted Telecom Portal, which the government launched last year under the National SecurityCouncil Secretariat (NSCS)where telecom operators have to submit details about their equipment vendors. The first condition the government wants to lay down for Chinese manufacturers like Oppo,Vivo,Realme orXiaomi is to export handsets from India in similar volumes as they sell in the domestic market.Currently,whileChinesehandsetmakers have a share of around 75-76% in the domestic market,theydo not export from India.None of the Chinese manufacturers are part of the smartphone productionlinked incentive scheme. ThesecondconditiontheChinesefirms wouldhavetoagreetoisbroad-basingtheir distributor network, which is currently fully-owned by their own entities.Further, governmentsourcessaidthatthesedistributors are also shareholders of the handset Growing Chinese influence Market share (%) firms.Asaresultofthisarrangement,these firms are able to undercut the Indian manufacturersasdistributorsworkonzeromargins and are able to earn as shareholders with growing market share. The third condition,which the government plans to lay down for these firms is to create an Indian supply chain, which they haven't built in all these years.“The Chinese handset players simply import components from Chinaand assemble the phones here. WHATSAPP USERS CAN now check their messages without displaying if they are online.They can also exit a group without other members knowing about it.Only the group admin will get to know about the member'sexitinsuchcases.Whilethesetwo features will be rolled out this month itself, thethirdfeature,whichthepopularmessaging platform will be introducing once it's tested,istheusers’abilitytoblockthescreenshot option fortheviewonce messages sent bythem,theFacebook-ownedcompanysaid inastatementonTuesday. Under the first new feature,users will be abletoselectwhocanseethemwhentheyare online. Currently, evenifusershavedis- ALSO READ abled the blue ticks, which denotes that WHATSAPP’S themessagehasbeen UPI VOLUMES read,senders are able SLIDE IN JULY to see when the PAGE 9 receiver of the messageisonline. Similarly,the second feature of leaving thegroupsilentlywillenhanceprivacyascurrentlyall the members of the group are able to viewwho all have exited the group.With thenewfeaturerollingout,anymemberwho doesnotwanteveryoneinthegrouptoknow about the exit needs to activate this feature andonlythegroupadminwillcometoknow aboutit. The third feature,which is being tested andwillberolledoutlater,basicallygivesthe usersthefacilitytoleavenodigitalfootprint. Currentlyalso,it'sthereintheformofdisappearing message but the receiver can take a screenshotofthesameandkeepinrecords. Continued on Page 2 Continued on Page 2 75-76 Samsung 13-14 Indian manufacturers 8-9 Apple Chinese handset makers 1-1.15 Below `12,000-market ■ Contributes ■ Ofthis, Chinese makers have 31% 75-80% to the overall phone market share JD(U) BACK INTO MAHAGATHBANDHAN FOLD Nitish gives BJP a taste of Maha in Bihar; set for new innings as CM SANTOSH SINGH Patna, August 9 BARELY ONE AND a half months after it engineered a defection in the Shiv Sena to storm back to power in Maharashtra, the Bharatiya Janata Party has got a taste of its own medicine -- this time in Bihar. The party's main ally in the state -- chief minister Nitish Kumar's Janata Dal (United) -walked out of the ruling National Democratic Alliance and formed a Mahagathbandhan with the opposition parties that included his old friend-turned-foe-to-friendagain Lalu Prasad Yadav's Rashtriya Janata Dal. Five years ago, Nitish had resigned as chief minister and walked out of the Mahagathbandhan when RJD leader and deputy chief minister Tejashwi Yadav refused to JD(U) leader Nitish Kumar (centre) with RJD’s Tejashwi Yadav (right) and Tej Pratap in Patna on Tuesday PTI step down in the wake of an alleged corruption case. On Tuesday, hours after ending his alliance with the BJP, Nitish staked claim again for the CM’s post, with Tejashwi as his deputy. He is all set to form a new government with the support of the RJD, Congress,CPI,CPI (M-L) and HAM (S) and an Independent – they together make a team of 164 MLAs in a House of 243. The swearing in ceremony will take place at 2 pm on Wednesday, according to sources. Before Nitish submitted his resignation to Bihargovernor Phagu Chauhan in the afternoon, the JD (U) and RJD held separate meetings with their MLAs. The RJD reposed faith in Nitish’s leadership and did not put any pre-condition for extending him support to form a government. The Congress and CPI (M-L) had already offered their support to Nitish on Monday. Nitish met the governor again in the evening along withTejashwi,carrying signed lettersofsupportfromallallies to form the next government. Continued on Page 2 WWW.FINANCIALEXPRESS.COM READ TO LEAD
The Financial Express (FE) is a business paper that’s closest to the people who are in the business of business. From business policies to market trends to new developments, The Financial Express comes packed with incisive news on every relevant issue.