business

Why DLF Scmaster Promoters are Banned from Accessing Capital Markets ?

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In a 43-page order, SEBI has ruled that DLF had failed to disclose key information on some subsidiaries at the time of its IPO in 2007 (source: SEBI circular dated 10 Oct 2014). The ruling relates to complaints by Kimsuk Krishna Sinha regarding DLF’s IPO filed in 2007. Mr Sinha had also filed a First Information Report (FIR) against DLF’s subsidiary, Sudipti Estates. According to SEBI’s ruling, at the time of the IPO, DLF had tried to avoid reporting its association to Sudipti Estates. Following this, SEBI issued an order prohibiting DLF and six personnel from accessing the securities market for three years.

Impact on issuance of DLF REITs and CMBS
This order prohibits the company from issuing and listing REITs and CMBS. DLF has significant gross debt amounting to INR230bn and of late

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NaMo Government for Slow & Sustainable Reforms

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The Narendra Modi led Central Government of India has inherited an empty Ex-Chequer from the Most Corrupt Government led by Congress. Amidst this Governance Chaos, Narendra Modi has assumed power and cleaning the 10 year old mess, We are not perturbed by the government’s low-key approach to fiscal, financial, governance and investment reforms. It may have different priorities and timelines for reforms versus the market’s expectations.

The government’s policy announcements and actions will benefit India in the medium term. Fiscal reforms are broadly on track even though there is no grand announcement. In the case of investment, the government’s focus is on improving the investment climate through greater transparency

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Politics of Minimum Support Price & Inflation in India

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Minimum Support Prices (MSPs) of Agricultural commodities (summer crop) has been raised by a weighted average1 of 2.1% y-o-y, from 5.6% in FY14 and 24% in FY13. This is in line with the Commission for Agricultural Costs and Prices (CACP)’s recommendations. Specifically, the key MSP changes are as follows – a 4% rise for rice, 1.6% for coarse cereals, 1-2% for pulses and 0-2% for oilseeds.

A lower rise in MSP, if implemented, would be a medium-term positive for lowering the inflationary impulses in the economy, as MSPs

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Reliance Jio Infocomm Employs 10,000 People, Launch in 2015

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At the 40th Annual General Meeting of Reliance Industries Ltd, the promoter company of Reliance Jio Infocomm, Mr. Mukesh Ambani revealed that Reliance Jio Infocomm has 10,000 full time employees working alongside nearly 30,000 professionals from our partners and vendors from all parts of the world. In addition, there are over 100,000 people working across the country in creating the digital infrastructure backbone for this network. They are passionate about building the largest broadband network that the world has ever seen.

Reliance Jio Limited field trials with

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Labour reforms on the horizon under Narendra Modi ?

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The Republic of India’s labour laws have been often cited as “archaic” or regressive, and as one of the reasons for India’s employment problems. According to media reports, the Rajasthan state government (BJP ruled) has proposed to bring about changes to the labour laws which apply in Rajasthan. It has proposed to amend the Contract Labour Act, the Factories Act, and the Industrial Disputes Act to make them less stringent.

Contract Labour Act Currently Applies to companies with more than 20 workers. Proposed to Apply to companies with more than 50 workers
Factories Act Currently Applies to

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FDI in Defence to Boost Manufacturing in India

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The Department of Industrial Policy and Promotion (DIPP) has prepared a draft cabinet note that proposes to allow upto 100% foreign direct investment (FDI) in defense to boost domestic manufacturing. The note proposes allowing 49% FDI in case of no technology transfer; 74% FDI in case of a technology transfer; and 100% FDI for transfer of state-of-art technology. Currently, only 26% FDI is allowed in defense manufacturing.

India’s defense establishment is a major

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