Rajat Gupta, who is alleged to have indulged in insider trading to make $45 million using leaked information, has requested the ISB executive board to relieve him of board responsibilities till his pending matter with the US Securities and Exchange Commission (SEC) is resolved
Hyderabad: Rajat Gupta, the former McKinsey & Company chief accused of insider trading in the US, has resigned from chairmanship of Indian School of Business, a Hyderabad-based B-School, today.
Putting an end to the speculation that loomed large over the issue of his resignation, the ISB confirmed his resignation and is on the lookout for a new chairman for the executive committee of the board, reports PTI.
"Rajat Gupta has requested the ISB executive board to relieve him of his board responsibilities till his pending matter with the US Securities and Exchange Commission (SEC) is resolved.
"This, and the appointment of the new chairman, will be tabled at the upcoming board meeting on 2 April 2011," an ISB spokesperson said.
Mr Gupta, who is the co-founder of ISB, may not attend the upcoming board meeting scheduled for 2nd April, sources said.
A McKinsey veteran, Mr Gupta has decided to take "leave of absence" from management of the $1.4-billion private equity (PE) fund New Silk Route, which he co-founded five years ago.
Earlier, Indian-American Rajat Gupta had resigned from three corporate boards, including American Airlines.
Mr Gupta, a former board member of Goldman Sachs and Proctor & Gamble, has denied the charges level against him by the American regulator.
"We also note the statement of counsel for Rajat Gupta, which asserts that the allegations are totally baseless. The ISB community is confident that Rajat Gupta will be vindicated. He continues to be the chairman of the ISB executive board," ISB had said in a statement earlier.
ISB is a premier business school in the country and has academic alliances with the Kellogg School of Management at Northwestern University and the Wharton School at the University of Pennsylvania, among others.
The deal includes $25 billion in cash and the rest in AT&T stock. Deutsche Telekom would receive an 8% stake and a seat on AT&T's board as part of the transaction
New York: US telecom giant AT&T has said it will buy T-Mobile USA for $39 billion from Deutsche Telekom, the European telecom company, reports PTI.
In a statement AT&T Inc and Deutsche Telekom AG announced that "They have entered into a definitive agreement under which AT&T will acquire T-Mobile USA from Deutsche Telekom in a cash-and-stock transaction currently valued at approximately $39 billion.
The deal, which was approved by the boards of both companies, includes $25 billion in cash and the rest in AT&T stock. Deutsche Telekom would receive an 8% stake and a seat on AT&T's board as part of the transaction.
The deal will benefit customers, who would get access to AT&T's 4G technology. Besides, AT&T said the deal would help boost US infrastructure and improve network quality.
"This transaction represents a major commitment to strengthen and expand critical infrastructure for our nation's future," AT&T chairman and CEO Randall Stephenson said.
"This transaction delivers significant customer, shareowner and public benefits that are available at this level only from the combination of these two companies with complementary network technologies, spectrum positions and operations," Mr Stephenson added.
The acquisition is expected to close in 12 months, subject to regulatory approvals.
The acquisition would reduce the number of wireless carriers in the US from four to three and is likely to face intense regulatory scrutiny.
The deal would add 34 million customers to AT&T's current 96 million and the combined entity would serve about 43% of US cell phones.
The deal would also advance AT&T's annual wireless revenues to $80 billion from $58.5 billion at present.
With the rising import bill of IT and telecom products, the IT Task Force has recommended that the government develop an eco-system for boosting indigenous manufacturing
New Delhi: In order to boost manufacturing of indigenous equipment, the Centre may extend preferential status to 'Made in India' products in the New Telecom Policy, 2011 (NTP'11), reports PTI.
"Broader telecom policy will include measures appropriate to encourage domestic telecom manufacturing. Some aspects have been considered by the Committee of Secretaries, and preferential status for domestic manufacturers is one of them," Department of Telecom (DoT) secretary R Chandrashekhar told PTI.
Mr Chandrashekhar said DoT is waiting for recommendations from the Telecom Regulatory Authority of India (TRAI) on manufacturing and expects to receive them by end of March.
He said communications and IT minister Kapil Sibal is holding consultations with the industry and their views will be discussed by the Telecom Commission while finalising the NTP'11 draft.
"A final view will be taken after the consultation process is complete. We expect it to be done by end of March," Mr Chandrashekhar said.
The push for preferential treatment for 'Made in India' products is part of the government's agenda to reduce the widening trade deficit created by imports.
Mr Chandrashekhar said the decision to encourage telecom manufacturing is in line with the recommendations made in the IT Task Force report, which is being processed by the Department of Information Technology.
Citing the rising import bill of IT and telecom products, the Task Force has recommended that the government develop an eco-system for boosting indigenous manufacturing.
Estimates show that India's demand for electronics products (including telecom) will be $400 billion by 2020.
Meanwhile, at the existing rate of growth, the production of electronics hardware is likely to grow to $104 billion by 2020, creating a demand-supply gap of $296 billion, which would have to be met through imports.
The Wireless Planning Commission (WPC), a DoT wing for spectrum management, has also decided to reserve some radio waves for indigenously developed technologies and systems in the new National Frequency Allocation Plan of 2011.
The move, however, has been opposed by telecom lobby groups-Cellular Operators Association of India and Association of Unified Telecom Service Providers of India.