Reliance is reinvesting its cash flow at accelerated pace in new projects and new businesses and partnering with global leaders in all its business, Ambani said at the company AGM
Mumbai: Billionaire industrialist Mukesh Ambani on Thursday said that partnerships will be key to Reliance Industries' (RIL) future growth and the group would partner global leaders across all its businesses, reports PTI.
Addressing the shareholders at its Annual General Meeting (AGM) in Mumbai, the RIL chairman and managing director said that the company is reinvesting its cash flow at accelerated pace in new projects and new businesses.
"We are partnering global leaders in all our businesses... We have partnered BP... and leading global retail brands... Partnerships will be a key feature of our future growth," he said.
He further said that RIL has adopted transformation as its top agenda, wherein it is expanding breadth and efficiency of its business to create value for all stakeholders.
Noting that the business environment in recent years has been marked with unprecedented economic shocks in major markets across the world, including India, Ambani said that Reliance has still grown stronger in its asset base and has improved its competitive position in core businesses.
He also said that Reliance' retail business would create many job opportunities in rural and urban India.
Talking about the company's track record, Ambani said the company was entering its 35th year since its IPO in 1977.
"Reliance has a unique track record of organic growth in all these years that is unparallelled among global peers... Rs1,000 invested at the time of IPO in 1977 has grown to Rs7.8 lakh," said Ambani, who has been on RIL's board all these 35 years.
Services like metered taxis, auto rickshaws, betting, gambling, lottery, entry to amusement parks, transport of goods or passengers and electricity transmission or distribution by discoms will not be taxed
New Delhi: Funerals, betting and gambling have been exempted while almost all other services will be taxed from 1st July, reports PTI.
Under the new Service Tax regime, only 17 services are in the negative list, which means they will not be subjected to tax.
The government has widened the definition of 'Services' to bring in more activities under the tax net. At present, 119 services that come under 'positive list' are levied. The 'negative list" approach was proposed in the Budget.
Following assent of the President to the Finance Bill, the Finance Ministry said the new service tax regime will come into force from 1st July.
The Budget also hiked the service tax rate by 2% to 12%.
Services like metered taxis, auto rickshaws, betting, gambling, lottery, entry to amusement parks, transport of goods or passengers and electricity transmission or distribution by discoms have been kept in the negative list.
Other important services which will not attract the tax include funeral, burial, mutate services and transport of deceased.
Coaching classes and training institutions will come under the net, though the tax will not be levied on school, university education and approved vocational courses.
Travel in first class and in air-conditioned rail coaches, too, will attract service tax.
The services sector account for about 60% of the country's Gross Domestic Product.
In order to bring as many services as possible in the net, the government has come out with a very wide definition of service. With some exception, it has been defined service as "any activity carried out by a person for consideration".
The government aims to garner $22 billion from the Service Tax during 2012-13.
My wife has an auto loan with HDFC Bank. We decided to part pay the loan. I called my personal banker to ask him the minimum amount I need to pay. He told me the loan department has not yet opened for work as yet and that he would let me know in one hour! This is core banking for you. He called back within one hour as promised only to tell me that he can't access the information and I should call their call centre and ask them! So much for a personal banker, who you are supposed to contact for your 'Banking Needs".
I did not have my loan account number with me and requested him to trace the loan from my Customer ID which I thought was enough for all my transactions. They could only trace my loan through my car number and not from Customer ID-even though the EMI (equated monthly instalment) is debited to our savings account with HDFC itself. I later found out that my savings account reflects the loan account number as well.
I then got a call from loan department saying that I will have to pay 3% pre-payment charges on the amount that I wished to pre-pay. I protested saying RBI had asked banks to do away with these charges. I was told, "We have no such information and your request for waiver has been forwarded to higher authorities."
A couple of days back I got a mail saying that for making the pre-payment I would have to travel to their "loan branch" and I couldn't make the payment at the branch where my account was! I would also need to carry an authority letter from my wife to make the payment along with my wife's and my photo ID.! I asked why do they need all this when I am their client and paying money from my savings account with them? The answer was as usual "Sir this is our procedure and I can't do anything about this! Our system is like this."
Finally I went to my branch where two officials came to my rescue and accepted my cheque for pre-payment. So at the branch I do get personalized treatment, may be because I keep causing trouble to them! But what about other customers?
When liquidity is tight and banks are offering high rates on deposits should they not be welcoming pre-payments and actually offer incentives rather than asking for penal charges? Or are they saying that we have increased our cost of funds but don't know what to do with the money? If that is the case then they should reduce interest rates on deposits!
I also learnt that no charges are applicable on your at par cheques only up to a limit of Rs2 lakh per month; anything above that is chargeable. I have no idea why this is so. Banks with complete automation are expected to become customer friendly. When I was a banker, without computers we delivered better service to our customers! This also reinforces my belief that IT companies lack domain knowledge and banks themselves do not provide all information to them when they are writing the software. So the customer will be at the mercy of the banks and their systems, developed by great Indian IT companies!