New Delhi: The government proposes to allot an identification number, which would be quoted on every income-tax (I-T) related communication, from July one next year, reports PTI.
"The government proposes to allot the Document Identification Number (DIN)...an income tax authority is required to allot a computer generated DIN on or after 1 July, 2011, before issue of every notice, order, letter or any correspondence to any other income tax authority or assessee," minister of state for finance S S Palanimanickam informed the Lok Sabha in a written reply.
It also provides that every document, letter, correspondence received by an income tax authority or on behalf of such an authority should be accepted only after allotting and quoting of a computer-generated DIN.
Counterfeiting and piracy is generally perceived as a victimless crime with ‘fakes’ simply constituting a cheap alternative purchase. CII wants to change this perception
The Confederation of Indian Industry (CII) has called upon the common man to stop the menace of counterfeiting and piracy. Speaking at the '4th International Conference on Counterfeiting and Piracy', many speakers felt a need for more awareness and capacity building as an effective way to stop counterfeiting and piracy at its root.
Anjan Das, senior director, CII said counterfeiting and piracy is generally perceived by society as a victimless crime with 'fakes' simply constituting a cheap alternative purchase, and seen by criminals as having a low risk of prosecution with light penalties relative to the large profits to be made. The reality is that the international trade in counterfeit and pirated products is estimated to exceed 6% of global trade.
Most of the counterfeit and pirated products enter India through ports. Last month, the Central Board of Excise and Customs (CBEC) amended a three-year old notification to tighten the norms for import of products that have IP rights protection.
According to Dr HS Hassan, commissioner of import, Mumbai, cosmetics, mobile phones and automobile parts are the most counterfeit products that reached the Indian ports. He said, even if they seize some consignment of counterfeit or pirate products, many a times the product rights holder does not come forward and the customs department has to release these goods.
However, often, right holders of such product found themselves tied down with a bond and assurance in the form of a bank guarantee, which need to be provided within five working days. "The government is considering the request of right holders to have a running bond, but at present we cannot tell when it will come into existence," Dr Hassan said. Incidentally, the customs department do not have experts in-house to check and verify authenticity of an imported product and does not mind going for a specialised training from the industry, the commissioner said.
According to estimates by the World Customs Organisation (WCO) and the Organisation for Economic Co-operation and Development (OECD), about 7%-10% of global trade is derived from counterfeit products. The WCO Customs and IPR Report 2009 said there were 13,280 reported cases involving the seizure of more than 291 million counterfeit or pirated articles.
China is most often found to be the origin of many of the counterfeit and pirated products. However, according to Jack Chang, chairman of Quality Brands Protection Committee (QBPC), in the early days of QBPC, difference in perceptions was the biggest difficulty as some local enforcement agencies in China believed that counterfeiting was a necessary process for primitive economic growth and did not harm the society there. "Changing people's minds is a hard task, but once it is done, our work will become easier than before," Mr Chang added.
Mr Chang, who is also the Senior Intellectual Property (IP) Counsel for General Electric Asia, said, an effective police investigation can hunt down those who start the fire, who create and run the supply of chain of counterfeit goods and put these so-called invincible hands operating the counterfeiting network into custody to face criminal charges. Speaking about protecting the IP across the globe, Mr Chang said there is a need for sourcing and destination countries to work together.
Three private equity funds which had invested in the venture are set to incur losses
Gujarat Pipavav Port is entering the capital market to raise Rs500 crore through a 100% book-building issue by offering 1.17 crore shares. The question is why are three private equity funds exiting the stock at a loss if the issue is worth investing in? The issue opens on 23 August 2010 and closes on 26 August 2010. The bidding for Qualified Institutional Buyers (QIBs) closes on 25th August. The initial public offer (IPO) has been assigned 'Grade 4' by rating agency Credit Rating and Information Services of India Ltd (CRISIL) which indicates 'Above Average' fundamentals. The company has set the price band at Rs42-Rs48 per share.
Gujarat Pipavav Port has been promoted by APM Terminals which has a global network of 50 terminals in 34 countries and five continents. It handled 31 million twenty-foot equivalent units (TEUs) in the year ended 31 December 2009. After taking over management control in March 2005, APM Terminals currently owns a 57.90% stake in Gujarat Pipavav Port.
In the calendar years ended 2007, 2008 and 2009, APM Terminals Pipavav handled 1.66, 2.07 and 3.37 million tonnes of bulk cargo and 0.19 million, 0.20 million and 0.32 million TEUs of container cargo, respectively.
The Infrastructure Fund of India, LLC (holding 4.9%) and The India Infrastructure Fund, LLC had acquired the shares for Rs42.85 and Rs66.45 respectively. These private equity (PE) funds are set to incur losses at a time when the IPO price band is set at Rs42-Rs48 per share. IDFC Infrastructure Fund is the second-largest stakeholder of the company with 10.20% holding. IDBI Bank Ltd holds 8.90%.
Gujarat Pipavav posted a net loss of Rs27.76 crore on a total income of Rs56.77 crore for the first quarter (January-March 2010). Its financial year begins in January. It reported a net loss of Rs117.66 crore for the year ended December 2009. The company will utilise the IPO proceeds to prepay its loan, for capital expenditure and investing in capital equipment. It will prepay Rs300 crore, a part of its loan in the financial year (FY10) and invest Rs82.54 crore for capex.
The company had entered into a 'Traffic Guarantee Agreement' with the government and Ministry of Railways/Western Railways and PRCL on 10 January 2003. Under this agreement, it has guaranteed to provide rail freight traffic of one million tonnes in the first year of operations, two million tonnes in the second year of operations and three million tonnes from the third year of operations onwards to Pipavav Railway Corporation Ltd (PRCL) until June 2034. However, Gujarat Pipavav Port was unable to meet these agreements for which it had to cough up Rs107.69 crore, Rs30.64 crore and Rs5.40 crore in the years 2008, 2009 and 2010 respectively to PRCL.
Mundra Port and SEZ Ltd which went public in late 2007, trades at a PE of 41. Mundra Port reported a net profit of Rs211.30 crore on revenues of Rs415.65 crore for the first quarter of the financial year (FY10).
"Private ports will show good growth on the back of bulk buying of iron ore, food grains and coal. Iron ore and coal will be imported because of robust demand for steel, especially coal, because we don't have good quality coal in India. On the back of that, the demand for coal import will be higher which means that these ports will get good revenue. There's a good growth for ports in the next two years," said Shraddha Shroff, shipping analyst, KR Choksey Shares and Securities Pvt Ltd.
Kotak Mahindra Capital Company Ltd and IDFC Capital are the lead book running managers to the issue while IDBI Capital Markets Services Ltd is the co-lead book running manager.