The shift in monetary policy stance to target inflation is “credit positive” for India’s sovereign rating as it will help keep price rise pressures under check, Moody’s Investors Service said today.
The government, in consultation with the Reserve Bank, has notified the 5-year inflation target at 4 per cent, with an upper and lower tolerance limit of 2 per cent.
Moody s Investors Service Senior VP Marie Diron said the inflation target is a credit positive re-affirmation of the commitment to keeping inflation at moderate levels.
“The changes to the monetary policy regime of the last two years mark a step towards greater policy transparency and predictability, both of which should help in policy transmission and hence monetary policy effectiveness,” she said.
Diron said an explicit inflation target can help anchor inflation expectations and hence actual inflation at moderate levels.
“At a time when large increases in wages are implemented in the public sector, moderate inflation expectations could help prevent spillovers to wage and price settings in other, sectors,” she added.
The government has already notified the 2.57-time hike in basic salary of one crore government employees and pensioners as per the 7th Pay Commission recommendations. The pay hike has been made effective from January 1, 2016.
Also, the arrears arising from implementation of the 7th Pay Commission recommendations will be paid in their August salaries.
Based on the notified inflation target, the proposed interest rate setting panel or Monetary Policy Committee would take its monetary policy decisions going forward.
“Sustained moderate inflation would contribute to macroeconomic stability and help prevent a repetition of the short marked cycles of the past,” Diron said.
MPC will set interest rates by majority, with a casting vote for the central bank governor in the event of a tie.
Out of six members of MPC, three will be from RBI — the Governor, who will be the ex-officio Chairperson, a deputy governor and an executive director.
The other three members will be appointed by the central government on the recommendations of a search-cum-selection committee, which will be headed by the Cabinet Secretary.PTI
Enforcement Directorate has identified assets worth over Rs 6,000 crore which it plans to attach as part of its fresh action against liquor baron Vijay Mallya in connection with a money laundering probe against him and others in an alleged bank loan fraud case.
The agency is preparing to initiate the second round of attachments under the provisions of the Prevention of Money Laundering Act (PMLA) after the embattled businessman recently skipped appearance before a special PMLA court here under a proclamation order issued under sections of the Criminal Procedure Code (CrPC).
The agency, sources said, has identified some pledged shares, associated immovable and movable assets of Mallya and his family members that would be seized and frozen as part of its action plan to widen probe in the case.
“Similar action can be initiated against few others named in the case apart from Mallya,” they said.
They said the agency has already written to banks and other financial institutions to obtain details in this regard.
The agency, meanwhile, is also in the process of getting a ‘proclaimed person’ order issued from the special court which will be further sent to the Ministry of External Affairs (MEA) in order to execute the India-UK MLAT to bring Mallya back to India to join investigations.
ED, in June, had sought the proclamation notice to be issued against Mallya as it said he had “multiple” arrest warrants pending against him, including a non-bailable warrant (NBW) under the PMLA, and that the agency wants him to join the probe “in person”.
ED has already attached his properties worth about Rs 1,411 crore under PMLA in this case few months back.
The agency has been wanting Mallya to join investigations “in person” in its PMLA probe against him and others in the Rs 900 crore alleged loan fraud of IDBI bank and has virtually exhausted all legal remedies like seeking an Interpol arrest warrant and getting his passport revoked.
The business baron and others are alleged to have diverted a part of the loan to some of their offshore businesses.
ED had already sought to invoke the India-United Kingdom Mutual Legal Assistance Treaty (MLAT) to have Mallya extradited from Britain.
He had left India on March 2 this year using his diplomatic passport.The agency has registered a money laundering case against Mallya and others based on an FIR registered last year by the CBI.
A Delhi court had only yesterday issued a non-bailable warrant against him in a 2012 cheque bounce case, saying coercive steps were required to ensure Mallya’s appearance in the court.PTI
Rajya Sabha today witnessed a face-off between Opposition and government over dismissal of Congress dispensations in Arunachal Pradesh and Uttarakhand, bringing into close scrutiny the role of governors.
The main opposition party alleged “trampling” of democracy by the BJP-led government which hit back by reminding that Congress had “butchered” democracy by misusing Article 356 about 100 times.
Congress pressed for a statement by Prime Minister Narendra Modi on the issue, since he talks of “cooperative federalism”.
The clash took place as the House took up a discussion on ‘Developments in Uttarakhand and Arunachal Pradesh leading to change in governments there and the role of Governors in the respective States’.
What happened in the two states was a “brazen violation of Constitution” and “insult to democracy”, said Deputy Leader of Congress Anand Sharma while initiating the debate.
“What happened in Arunachal late last year followed by Uttarakhand in Janauary this year shocked the country and invited censure of the Supreme Court and High Court of Uttarakhand,” he said.
Questioning the role of Governors, the former minister said he or she is “not supposed to interfere in day-to-day functioning…take unilateral decisions… Constitution was not respected…It is insult to peoples mandate.”
Citing the developments in both the states, he said Governors do not meddle in politics or undermine elected governments but “brazen violation of constitution” occured in both the states.
He alleged that the Governors in both the states “willingly became tools to pursue nefarious agenda of the ruling party”.
Citing the Supreme Court orders on the dismissal of governments in these two states, Sharma asked why no action was taken against Uttarakhand Governor.
“Sack that Governor. Remove him. If he continues to hold the post you are insulting constitution,” Sharma said.
“What happened was shameful. The government conduct was outrageous… Prime Minister Narendra Modi speaks of constitutional federalism…At the same time ruling party president talks of Congress-mukt Bharat…that is the official position of the ruling party and its national executive…this is insult to democracy and misuse of authority to destabilise elected governments,” Sharma charged.
Urban Development Minister M Venkaiah Naidu intervened to say that it is “the Devil quoting the scriptures”.
This was objected to by the Congress after which Deputy Chairman P J Kurien said he will examine whether it fell under unparliamentary language.
Naidu said, “Issue is …does the Congress party have any moral right to raise this. It has misused Article 356 at least 90 to 100 times…Such party is giving sermons.PTI
The Lieutenant Governor (LG) of Delhi has wider discretionary power than the Governor of a state and he can act on his own judgement without seeking the aid and advice of the Council of Ministers, the Delhi High Court today said.
“(In) the LG of National Capital Territory of Delhi, the discretion provided is wider than the discretion that may be exercised by the Governor of a State under Article 163(1) in view of the expression except in so far as he is, by or under any law, required to act in his discretion employed in clause (4) of Article 239AA,” a bench of Chief Justice G Rohini and Justice Jayant Nath said.
Dealing with the executive powers of the LG, it held, “Power of the LG to act in his discretion is not confined to the Constitution merely. The LG while exercising such powers and discharging such functions which any law requires to be done in his discretion acts on his own judgment without seeking the aid and advice of the Council of Ministers.”
The court gave its ruling while dismissing the AAP government’s plea challenging the Centre’s notification giving absolute power to the LG in administration of Delhi.
Dealing with the discretionary powers of the Governor and LG under the Constitution, the bench said, “Discretion of the Governor of a State under Article 163(1) is confined only to the constitutional provisions, whereas under Article 239AA(4), the LG may act in his discretion with regard to all the matters in respect of which he is required to act in his discretion by or under any law.”
Referring to the recent five-judge Constitution bench judgement of the Supreme Court in Arunachal Pradesh case in which the duties and responsibilities of the Governor, under the Constitution have been interpreted, the high court said that the Governor can exercise some function which are to be done “only on the basis of the aid and advice rendered to him” under the provisions of the Constitution.PTI
It has been two years since Ileana D’Cruz was seen on the big screen but the actress is unfazed by it as she says she does not feel the need to do movies just to stay in the limelight.
Ileana was last seen in 2014 film “Happy Ending” opposite Saif Ali Khan. The 28-year-old actress is now gearing up for her latest release “Rustom” featuring Akshay Kumar in the lead role.
“The gap seems to have bothered everyone else, but me.
Honestly, there was one day when I thought about it. ‘It has been six months since I haven’t signed anything, is that bad?’ I talked to a few people about it but they were like just enjoy it,” Ileana told PTI.
“I can’t be like one of those people who go out of their way to be seen in a film, or be in the news. I can’t do that, don’t believe in that. I feel you get your films based on merit.”
“Rustom” also stars Esha Gupta. Directed by Tinu Suresh Desai, the film is reportedly based on the 1959 Nanavati case where naval officer Kavas Maneckshaw Nanavati was tried for the murder of his wife’s lover, Prem Ahuja.
Akshay, 48, plays a Naval officer in the film while Ileana will be seen as his wife. “Rustom” is scheduled to release on August 12.
Ileana may have featured in several films down South as well as Bollywood, but she says she does not like watching herself on-screen.
“I find awkward watching myself on screen. I don’t like watching myself on screen at all. I see the weird faces I make. I look at other actresses and wonder, ‘they look so pretty when they cry, are angry, happy’. But I look weird in every possible aspect.”
The actress says though she watches her own films, she is self-critical about herself.
“I have watched my films, but I hate to watch myself in the films. I constantly go ‘Oh My God what was I doing there, my face looks hilarious… I am self critical, that’s why critics don’t bother me. I am my worst critic.PTI
Delhi Chief Minister Arvind Kejriwal during his recent visits to Goa refused to stay in the state guest house, and only a meagre Rs 500 was spent by the government in the trips, the Legislative Assembly was told August 1.
“The Chief Minister of Delhi was provided vehicles and accommodation at the state guest house. He was received and seen off at the airport. However, he did not avail the accommodation at the state guest house,” State Protocol Minister Dilip Parulekar told the House.
“The state government had presented a flower bouquet amounting to Rs 500 on his first visit,” the minister said.
The question about the expenses on Kejriwal’s visits was tabled by Goa Vikas Party MLA Fransisco Miccky Pacheco.
Delhi Chief Minister had visited Goa twice on May 22 and June 28, during which he addressed a public meeting and also interacted with cross section of society.
AAP has already announced that they will fight on all the 40 seats for the upcoming Goa polls due before March 2017.
Opposition voiced concerns over the growing attacks on Dalits and minorities in Lok Sabha on Monday and demanded stern action against cow vigilante groups that have been targeting them.
Trinamool Congress leader Sudip Bandopadhyay — who raised the issue during Zero Hour — underlined the need for action against such acts.
Communist Party of India (Marxist)’s PK Biju asked Parliament to take note of the attacks as Dalit organsations in Gujarat continue to protest.
Youngsters join IS
Congress’s Rajeev Satav said Maharashtra Anti-terror Squad chief’s statement that 100 young men from the Marathwada region were in touch with the Islamic State was alarming.
He said this was all the more so as two youths from Parbhani, who had plans to set off explosions at Aurangabad and Nagpur, were arrested recently. — PTI
In a sudden move ahead of Assembly polls, Gujarat Chief Minister Anandiben Patel, who is in the midst of several challenges, today offered to resign, saying it was time for new leadership to take over since she is soon going to turn 75.
During Patel’s over two-year-old tenure, the BJP for the first time in the post-Narendra Modi era in Gujarat has faced multiple challenges including defeat in rural areas in the civic polls, a powerful agitation by Patel community for OBC quota and the ongoing Dalit unrest over the flogging incident after the skinning of a dead cow in Una.
BJP President Amit Shah said the party’s Parliamentary Board will decide on the replacement for Patel, who will turn 75 on November 21 and is the first woman chief minister of Gujarat. “She has requested the party to relieve her of her post. I will place the letter she has written to me before the Parliamentary Board and it will take a decision,” Shah told PTI in Delhi.
Patel took to Facebook to request the party leadership to relieve her of the post though speculation has been rife for quite some time that she is on the way out. Elections are due in later part of 2017.
An unwritten age bar of 75 has been set by Prime Minister Narendra Modi for the BJP leaders to hold positions in state and central governments. A minister in the BJP government since 1998, Patel succeeded Modi as Chief Minister on May 22, 2014.
“For the last some time there has been a tradition in the party that those who attain the age of 75, voluntarily retires from the post. I will attain the age of 75 in November,” Patel said in the Facebook post.
“Two months ago I had requested the party to relieve me from the post and today also through this letter, I request the party to relieve me of the post,” she said.
“I am asking the party to relieve me two months in advance as the new chief minister will require the time to work, when the state is going to face elections in 2017 and an important event like Vibrant Gujarat Summit to be held in January,” Patel said.
“It (the rule of 75) is a good thing and it will give a chance to young leaders to come up,” she added.PTI
Scotland Yard today warned that a terror attack in the UK is a case of “when” rather than “if” and the current threat level of “severe” in the country meant an attack was imminent.
“I feel and understand that fear, and as the police officer-in-charge of preventing such an attack I know you want me to reassure you. I am afraid I cannot do that entirely. Our threat level has been at ‘severe’ for two years. It remains there. It means an attack is highly likely – you could say it is a case of when, not if,” Sir Bernard Hogan-Howe, the chief of Metropolitan Police said.
The warning by Britain’s top police chief came as ‘The Sunday Times’ quoted a senior intelligence source as saying that at least four active terror plots in Britain are being investigated by police and security services.
“There’s four or five cases where there is a sense of a plot, where they are planning and plotting and intending to commit an act of terrorism rather than just being extremists,” the source told the newspaper.
Last week Ben Wallace, the UK’s new security minister, held talks with retail bosses and operators of sporting venues to review security at stadiums and shopping centres.
“In light of events in Germany and France, the government is keen to ensure that shopping centres and sports stadiums where there are large crowds are getting the support they require,” said Wallace.
Another intelligence source said that Islamic State (ISIS) terrorists were increasingly going after “softer targets”, as well as seeking to recruit people with mental health problems.
“Unbalanced people, mentally ill people, people with particularly violent or anti-societal or sociopathic tendencies are being recruited as foot soldiers; and then that is playing itself out in the most innocent and unassuming targets, such as the street crowds on Bastille Day in Nice,” the source said.
A current review by the UK’s National Police Chiefs’ Council (NPCC) is expected to redeploy firearms officers from rural areas of the UK to major cities deemed to be at greater threat of terrorism.
The review, which started in March when Theresa May was home secretary and is now being overseen by her successor Amber Rudd, is expected to report in October.PTI
Fifteen people were detained and the main accused identified, as police launched a massive manhunt for the bandits who brutally gangraped a woman and her teenager daughter after dragging them out of their car at Bulandshahr bypass on Delhi-Kanpur National Highway.
The incident which occurred on Friday night when the family from Noida was from travelling on NH-91 sparked outrage in the country with opposition parties today attacking the Akhilesh Yadav government, alleging that “goonda raj” was at its peak in Uttar Pradesh and governance had collapsed.
Facing flak, Chief Minister Akhilesh Yadav gave “24 hours time” to SSP Bulandshar to crack the case while directing disciplinary action against policemen of the area.
He also directed Principal Secretary, Home, Debashish Panda and DGP Javeed Ahmad to monitor the case, an official spokesman said, adding the CM has asked officials to initiate “stern action against the guilty so that no one could dare to do such an act in future”.
SSP Bulandshahr Vaibhav Krishna said that 15 Special Task Force teams have been pressed into action and were carrying out searches in Bulandshahr, Meerut and other districts and also states to nab the accused.
“15 suspects have been detained. Main accused has been identified. He belongs to nomadic tribe involved in criminal activities. Special teams have been formed to crack the case,” he said.
The suspects are being interrogated in connection with the incident that took place on Friday night when the family was travelling from Noida to Shahjahanpur by car. A group of bandits waylaid the family, dragged the woman her 13-year-old girl daughter to a nearby field and raped them while the men were tied with ropes.
They also looted cash, jewellery and mobile phones.
One of the family members, who later managed to escape, reported the matter to police.
SHO Ramsen of Kotwali Dehat was relieved from charge of the case and taken off active duty after police reported his negligence in the matter, the SSP said.
Taking cognisance of the case, the National Commission for Women said it has sent a member to meet the victims and officials in Uttar Pradesh but added that it finds little cooperation from the state administration in such cases.
BSP, BJP and Congress targeted the Samajwadi Party government in the poll-bound state and demanded that it step down.
Hitting out at the Akhilesh Yadav government, Union Minister Mahesh Sharma said, “When will this end? It shows that the state government has collapsed on every front. They cannot save the honour of a daughter. It is shameful and they should step down”.
BSP leader Sudhindra Bhadoria questioned the law and order situation in the state. “It is shameful that the UP government did not act fast enough to protect the dignity of women and common citizens.
“The complete lawlessness in UP proves the point that ‘goona raj’ under Akhilesh Yadav has reached its peak.
Mothers, daughters… nobody is safe in UP,” he said.PTI
Recent Comments