Citizens' Issues
Make public cabinet notes related to proposed bills says CIC

There is a larger public interest in disclosing Cabinet notes regarding introduction of any new bill in Parliament, after the Cabinet has taken a decision to table such a bill and the bill is tabled said CIC Shailesh Gandhi

New Delhi: The Central Information Commission (CIC) on Tuesday directed the Atomic Energy Department to make public the cabinet note relating to proposals for new bills on web sites within seven days of tabling in the Parliament, reports PTI.

The directives came while ordering the department to make public the cabinet note prepared for introduction of the Nuclear Safety Regulatory Authority Bill by placing it on their web site before 20 July 2012.

"The Commission directs the Secretary, Department of Atomic Energy, to display this Cabinet note and all Cabinet notes in future on the department's website where such Cabinet notes relate to proposing a new bill to be tabled in Parliament, within seven days of the bill being tabled in Parliament," Information Commission Shailesh Gandhi said.

Hearing the petition of RTI activist Venkatesh Nayak, Gandhi said a citizen has the right to know the basis on which the Cabinet decided to bring a particular law.

"There is a larger public interest in disclosing Cabinet notes regarding introduction of any new bill in Parliament, after the Cabinet has taken a decision to table such a bill and the bill is tabled", he said.

Gandhi said suo-moto disclosure clause of the RTI Act in Section 4(1)(d) says all public authorities must "provide reasons for administrative or quasi judicial decisions to affected persons".

"Citizens are certainly deeply affected by every law made by Parliament, and hence have a right to know the basis on which these laws are being made. The citizen who gives legitimacy to the Members of Parliament and thereby, to the institution of Parliament itself must be provided reasons which are behind the laws being made by Parliament", he said.

The Atomic Energy Department had rejected the request to make the cabinet note public saying that cabinet papers are exempt from disclosure under section 8(1)(i) of the RTI Act.

Rejecting the arguments, Gandhi said, "the Commission rules that a Cabinet note is the material on the basis of which a Cabinet decision is taken to table a bill in the Parliament. Once the decision is taken by the Cabinet to table the bill in Parliament the 'decision has been taken'; when the bill is tabled in Parliament 'the matter is complete or over' as far as the Cabinet is concerned".

"In the instant case, since the 'the decision has been taken, and the matter is complete, or over' the exemption claimed under Section 8(1)(i) of the RTI Act by the PIO is not upheld", he said.

Gandhi directed the Atomic Energy Department to place the cabinet note on its web site before July 20, 2012.

He said disclosure of Cabinet Notes was also the intent of Parliament while framing the RTI Act.

In an elaborate order, Gandhi quoted speech of Varkala Radhakrishnan, MP, at the time of RTI bill was debated in Parliament who had said even Cabinet papers, after a decision has been taken, must be divulged as per the provisions of this amendment".

"It cannot be hidden from the knowledge of others. It must be divulged. But before taking a final decision, the Cabinet papers can be kept secret", Gandhi quoted Radhakrishnan in his decision.


Sensex, Nifty directionless: Tuesday Closing Report

Strong recovery in the closing hour helped the indices close in the positive


After being range-bound near the previous day’s close for most part of the trading session, a good recovery in the last hour enabled a green close. Yesterday we mentioned that a strong close below the day’s low of 5,106 on the Nifty may result in a change in uptrend. Today the index crossed this level but settled a little higher above it. We now see the index moving directionless. The National Stock Exchange (NSE) saw a volume of 48.21 crore shares. 

All the Asian indices opened in the negative and so did the Sensex and the Nifty. The fall in the US indices overnight due to uncertainty that the European leaders’ summit later this week will produce any substantial measures to solve the region's debt crisis. 
Back at home, finance minister Pranab Mukherjee is expected to resign late afternoon from his post to contest the presidential elections. The prospect of change of guard at the finance ministry has raised expectations of a possible kick-starting of economic reforms in the country. Election for the 13th president to succeed Pratibha Patil will be held on 19 July 2012. Media reports suggest that prime minister Manmohan Singh is likely to handle the finance portfolio till the cabinet reshuffle which he is expected in September 2012. 
The Sensex opened at 16,873 while the Nifty opened at 5,107. The indices went to hit the day’s high after the European market opened. Consumer confidence in Germany unexpectedly edged up going into July on improving income expectations, a survey by GfK market research group showed. The forward-looking consumer sentiment indicator rose to 5.8 heading into July from 5.7 in June, bolstered by a jump in income expectations to 40.1 from 32.0. Germany is Europe's biggest economy.  
The Sensex hit an intraday high of 16,947 while the Nifty’s high was at 5,135. However the market couldn’t sustain the gains and fell to the days low at 16,816 and 5,096. 
The benchmarks managed to close in the positive on a smart recovery in the last hour. The Sensex rose 24 points (0.14%) at 16,907 while Nifty closed six points higher (0.12%) at 5,121.
The advance-decline ratio on the NSE was negative at 781:870.
Among the broader indices, the BSE Mid-cap index gained 0.36% and the BSE Small-cap index rose 0.02%.
The top gainers in the sectoral space were BSE Oil & Gas (up 1.20%); BSE Power (up 0.89%); BSE PSU (up 0.70%); BSE Healthcare (up 0.65%) and BSE Bankex (up 0.52%). The main losers were BSE Consumer Durables (down 0.98%); BSE Fast Moving Consumer Goods (down 0.90%); BSE Metal (down 0.20%); BSE Capital Goods and BSE TECk (down 0.06% each).
GAIL India (up 2.74%); Tata Power (up 1.70%); ONGC (up 1.52%); TCS (up 1.40%) and Mahindra & Mahindra (up 1.36%) were the toppers on the Sensex today. The key losers were Hindustan Unilever (down 2.02%); Sterlite Industries (down 1.21%); ITC (down 1.12%); Infosys (down 1.05%) and Tata Steel (down 1%).  
Top two A Group gainers on the BSE were—Manappuram Finance (up 11.23%) and Muthoot (up 10.74%).
Top two A Group losers on the BSE were—Essar Oil (down 2.99%) and JSW Energy (down2.93%). 
Top two B Group gainers on the BSE were—Hindustan Motors (up20%) and Arihant Superstructures (up19.84%). 
Top two B Group losers on the BSE were—Tricom India (down19.78%) and Mobile Telecom (down 19.05%). 
The top performers on the Nifty were GAIL India (up3.32%); Grasim Industries (up 3.06%); Tata Power (up 2.07%); Power Grid Corporation (up 1.99%) and Siemens (up 1.93%). The top laggards on the index were Sail (down 1.89%); Hindustan Unilever (down 1.88%); Sesa Goa (down 1.12%); Sterlite Industries (down 1.06%) and Infosys (down 1.05%).
Markets in Asia closed mostly lower as HSBC downgraded its growth forecast for China in 2012 to 8.4% from 8.6% earlier. The move follows Citigroup lowering its growth estimate for the Asian economic giant to 7.8% from 8.1%. Investors were also uncertain about the outcome of the European leaders’ summit, slated to take place later this week.
The Shanghai Composite shed 0.09%; the KLSE Composite declined 0.56%; the Nikkei 225 dropped 0.81%; the Straits Times declined 0.34%; the KOSPI composite gave up 0.41% and the Taiwan Weighted lost 0.40%. On the other hand, The Hang Seng gained 0.45% and the Jakarta Composite surged 0.62%.
At the time of writing, the key European indices were trading with meagre gains of less than a tenth of a percent and the US futures were in the positive.
Back home, institutional investors—both foreign and domestic—were net buyers in the equities segment on Monday. While foreign institutional investors pumped in funds totalling Rs153.10 crore, domestic institutional investors brought in funds amounting to Rs26.18 crore.
McNally Bharat Engineering has bagged an order worth Rs63.85 crore from Gammon India. The order is for a “supply package” for the Kolkata Metro Railways. McNally Bharat jumped 6.73% to close at Rs94.35 on the NSE.
Ratings agency ICRA has reaffirmed Taj GVK Hotels & Resorts’ bank facilities. The agency has reaffirmed the long-term rating of AA- to Rs10 crore fund based facilities and Rs340 crore term loans of the company. The rating agency has also reaffirmed the short-term rating of A1+ assigned to the Rs40 crore short term loans and Rs15 crore non-fund based limits of the company.  Taj GVK closed at Rs61 on the NSE, down 2.32% from its previous close.


Liberty Videocon gets IRDA nod to start insurance business

With the R3 approval in place, Liberty Videocon GIC said it is now getting ready to file documents with the IRDA for approval of its proposed products


Mumbai: New entrant in the private space Liberty Videocon General Insurance Co on Tuesday said it received the final approval from the Insurance Regulatory and Development Authority (IRDA), which enables the company to commence operations, reports PTI.

"We have received the mandatory clearance from IRDA and are gearing up to launch Liberty Videocon General Insurance operations in India," company chief executive officer - designate and director Roopam Asthana said in a release.

"Supported by a strong and experienced leadership team, which is already in place and market expertise of our parent companies in their respective domains, we are looking forward to making a substantial difference in the Indian non-life insurance market," Asthana said.

Headquartered in Mumbai, the company will start operations with an initial capital of Rs300 crore.

"With the R3 approval in place, we are now getting ready to file documents with the IRDA for approval of our proposed products. We intend to build a customer focused business, which will address the distinct needs of individual and corporate customers through both direct and intermediary relationships backed by a prudent and disciplined underwriting philosophy and strong actuarial capability. We are in the process of implementing a technology platform for seamless and speedy experience," Asthana said.

The partnership between Videocon Industries and US-based Liberty Mutual Insurance Group, a leading global property and casualty group, Liberty Videocon General Insurance is geared to provide multi-line insurance underwriting capabilities nationally, with an emphasis on personal insurance products, it said.

Having completed its capitalisation, the company is now in the process of finalising its products and service delivery blue print, it added.

"India's rapidly rising personal income levels mean more and more Indians will be buying insurance to protect their property and possessions," Liberty Mutual's president and CEO David Long said.


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