Realtors seek PM intervention for single-window clearance

“We strongly believe that a solid political will is required for inter departmental co-ordination and clean mandate to be issued to all the departments for single window clearance,” CREDAI president Lalit Kumar Jain said

New Delhi: In order to make property sector transparent and corruption-free, realtors’ apex industry body CREDAI today sought the prime minister’s intervention for a single-window clearance for developing projects, reports PTI.

The association had presented a comprehensive check list for single window clearance to urban development minister Kamal Nath in Singapore earlier this year.

“Cost goes up by 40% due to delay in approvals, which generally takes 12-24 months. We need intervention at highest level for having a single-window clearance for realty projects, which will not only help in reducing cost but also check corruption,” CREDAI president Lalit Kumar Jain told reporters here.

The CREDAI’s check list incorporates all the approvals required from different departments at central and states levels, he said, adding that the projects which comply with the check-list should be given approval in one month.

“We have observed that it is not practically possible for the developer or the association to coordinate with these many people and departments to get the required approvals and clearances.

“Thus, we feel a strong need of the prime minister’s intervention and urge Prime Minister’s Office to combat these issues,” Mr Jain said.

The association wrote the letter to PM last month and had also sought meeting, he said.

“We strongly believe that a solid political will is required for inter departmental co-ordination and clean mandate to be issued to all the departments for single window clearance,” Mr Jain added.

Besides reduction in cost, Mr Jain said housing supply and government’s revenue would double if there was no delay in approvals.

User

Govt asks SFIO to begin prosecution against Sesa Goa

After an investigation, spanning almost two years, the SFIO has found that iron-ore exporter Sesa Goa has over-invoiced import receipts of coking coal by Rs14.6 crore and also sale of iron ore by Rs42.51 crore, while under-invoicing exports by Rs1,002 crore

New Delhi: The corporate affairs ministry is understood to have ordered prosecution against mines major Sesa Goa on eight grounds, including over and under-invoicing of exports and imports of over Rs1,000 crore, reports PTI.

Proceedings will be initiated on eight grounds in an economic offences court in Goa, sources said.

“We have asked the Serious Frauds Investigation Office (SFIO) to begin prosecution against the company. We have accepted eight of the nine grounds that SFIO had recommended prosecution on,” a senior MCA official told PTI.

After an investigation, spanning almost two years, the SFIO has found that iron-ore exporter Sesa Goa has over-invoiced import receipts of coking coal by Rs14.6 crore and also sale of iron ore by Rs42.51 crore, while under-invoicing exports by Rs1,002 crore.

When contacted, the company said in a statement that the allegations contained in SFIO report are misconceived and even factually incorrect.

On the prosecution, PK Mukherjee, managing director, Sesa Goa, said, “We are yet to hear anything about this since end June when we submitted our comments on SFIO report to the ministry. As and when we receive any further communication in this regard, we’ll deal with it appropriately.”

Under-invoicing is normally done to avoid paying tax.

Under the practice, companies mention in their records an amount less than what was actually delivered and pocket the difference.

The SFIO has also recommended prosecution against the Sesa Goa’s managing director, and the company secretary for violations under the Companies Act, 1956.

The SFIO has also alleged that Sesa Goa made excess payment of agency commission to sales agent amounting to Rs40.6 crore to facilitate its exports of iron ores to foreign buyers.

“Such sales agents included Mitsui & Co (of Japan and Hong Kong), Nissho Iwai Corporation (Japan), Ahmed Jaffer & Co (Pakistan), and Arim Peks (Turkey),” the SFIO report has said.

It has also accused the company’s independent directors and statutory auditor of non-cooperation with the investigations, and has also recommended prosecution on this basis.

In 2009, the SFIO was asked to investigate the affairs of Sesa Goa, following a report of the Registrar of Companies (ROC), which 'prima facie' found the company guilty of fudging invoices.

Allegations against the company also included diversion of funds, which, the SFIO report has rejected.

The RoC had been looking into Sesa Goa’s case since 2003 when the company was majority-owned by Mitsui Co.

Anil Agarwal-promoted Vedanta Resources acquired 51% controlling stake in Sesa Goa in 2007 from the Japanese company for $981 million.

User

RBI hints that 2nd quarter review may not lower policy rates

The RBI is scheduled to hold its quarterly review of credit policy on 25th October. However, it is unlikely that the central bank will pause its rate hike strategy on account of the slowdown in industrial output growth

Jaipur: Ahead of second quarter review of monetary policy on 25th October, the Reserve Bank of India (RBI) indicated that it may not lower the key interest rates as inflation is still high, reports PTI.

“...We need to bring inflation down in order to bring interest rates down,” RBI governor D Subbarao said here.

He further said that the central bank is conscious of the need to bring down interest rates to boost economy, but it might take time.

RBI is for a low interest-rate regime but that will take time, he said.

The governor expressed concern over the rising inflation, but said it could be controlled by the end of this year.

The RBI is scheduled to hold its quarterly review of credit policy on 25th October. However, it is unlikely that the central bank will pause its rate hike strategy on account of the slowdown in industrial output growth.

The RBI has already hiked rates 12 times since March 2010 to control inflation, which stood at 9.8% in August.

During August, the Index of Industrial Production (IIP) declined to 4.1% against 4.5% recorded in the same month a year ago.

Factory output stood at 5.6% in the April-August period, as against 8.7% in the same period last year, according to official data released on Wednesday.

Addressing members of Rajasthan Chamber of Commerce, Mr Subbarao said the economic growth will remain between 7.5% and 8%.

Earlier during the day at special State Level Bankers’ Committee (SLBC) meeting of Rajasthan, the governor said financial inclusion needs to be meaningful.

Banks in Rajasthan will ensure that all 3,883 identified villages with total population of more than 2,000 are meaningfully covered in the first phase of financial inclusion plan by March 2012, RBI said in a statement.

It said banks will draw up specific strategies to improve the credit-deposit ratio in three districts of Rajasthan, namely, Dungarpur, Rajsamand and Sirohi which have low CD ratio.

The state government of Rajasthan will release its share of Rs39 crore towards recapitalisation of five regional rural banks in Rajasthan, it said.

The governor and other senior officials of RBI are in Jaipur to attend a meeting of the Reserve Bank's Central Board of Directors being held in Jaipur on Thursday.

User

We are listening!

Solve the equation and enter in the Captcha field.
  Loading...
Close

To continue


Please
Sign Up or Sign In
with

Email
Close

To continue


Please
Sign Up or Sign In
with

Email

BUY NOW

The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)