A mobile subscriber who has applied for MNP will not be allowed to withdraw his request after 24 hours. This will help subscribers who are often denied porting by mobile operator for sundry reasons
The Telecom Regulatory Authority of India (TRAI) has asked donor operators (DO) not to entertain subscribers’ pleas for withdrawing their mobile number portability (MNP) requests. The move follows the regulator’s observation of a high cancellation rate in MNP requests by these operators. Experts have welcomed the move emphasising the need to streamline process for MNP and feel that now onwards subscribers would also think twice before applying for portability.
MNP allows customer to ports out from an existing provider, known as DO, to new a service provider, known as recipient operator (RO), while retaining the same mobile number.
According to the recent notification, if a customer wants to withdraw his porting request, he can approach the RO within 24 hours filing the request.
TRAI’s direction says that, “The authority... hereby directs all cellular mobile telephone service providers and unified access service providers, acting as donor operators, not to entertain any request from the subscriber for cancellation or withdrawal of porting request and not to reject a porting request except on the grounds mentioned under Section 12 of the Telecommunications Mobile Number Portability Regulations.”
Experts point out that DO, in order to retain their customers, often delay in implementing the MNP request. Achintya Mukherjee, secretary, Bombay Telephone Users Association (BTUA), says, “This is good a move as DOs always lure the porting out customers by promising to resolve all their issues. But once the subscribers agrees to stay and cancels his MNP request, the DOs, ignores him as has been observed in many cases in the past. ROs, in my view, are always happy to receive more subscribers. In fact subscribers only wants to port out if they are unhappy with the services. It may be beneficial for them but they need to be sure of porting out.”
Speaking with Moneylife, Rajan Matthews, director general, Cellular Operators Association of India, said that, “The regulator explaining the original MNP regulation has now made it clear that the DO cannot entertain the MNP cancellation or withdrawal request. However, the customer has a choice to withdraw his/her MNP request by approaching the receipting operator (RO) within 24 hours. The entire process of MNP needs to be streamlined. We are constantly in touch with the regulator and the service providers. In the end, we want the customer to be benefited.”
TRAI has clarified that DOs cannot reject the MNP request except in some cases such as where there is outstanding payment due from the subscribers, if the MNP application is made within 90 days of activating new mobile connection, mismatch of unique porting number or if the subscriber has not complied with the exit clause in the contractual agreement.
To reverse the downtrend, the Nifty must close above 5,345 as a first step
The market closed lower on concerns that policy reforms would suffer a setback on the Congress party’s poor performance in the state elections, for which counting begins tomorrow. In Friday’s closing report we had mentioned that if the Nifty ends below 5,300 it may fall to 5,270. Today the Nifty closed at 5,280. If the index decisively breaks 5,266 we may see it moving further down. To reverse the downtrend, the benchmark has to close above 5,345 and then above 5,415. The NSE saw a volume of 66.38 crore shares, which is much below its 10-day average volume.
The market opened lower as the bourses in Asia were lower in morning trade as China lowered its growth estimate for 2012 at 7.5%. Uneasiness ahead of the announcement of the election results for five states that went to the polls recently also played on investors’ minds. The Nifty opened 16 points lower at 5,343 and the Sensex resumed trade at 17,598, a cut of 39 points over its previous close. The opening figure of the Sensex was its intraday high while the Nifty touched its high a short while later at 5,345.
Selling pressure in metal, banking, capital goods, consumer durables, realty and oil & gas sectors continued to keep the market in the negative. The indices witnessed a minor recovery at around 1.30pm, despite the European markets opening lower. But the gains lacked strength as the market drifted further southwards soon after.
The benchmarks touched their intraday lows in the last hour with the Nifty falling to 5,266 and the Sensex going back to 17,312. The market closed marginally above the day’s lows with the Nifty falling 79 points to 5,280 and the Sensex dropping 274 points to settle at 17,363.
The advance-decline ratio on the NSE was almost balanced at 504:1203.
Among the broader indices, the BSE Mid-cap index declined 1.39% and the BSE Small-cap index fell 0.95%.
With the exception of the BSE Fast Moving Consumer Goods index (up 0.26%), all other sectoral gauges settled in the negative. The top losers were BSE Realty (down 3.26%); BSE Metal (down 3.06%); BSE Bankex (down 2.62%); BSE Capital Goods (down 2.47%) and BSE Consumer Durables (down 1.78%).
Tata Motors (up 2.09%); Wipro (up 1.38%); ITC (up 1.17%); ONGC (up 0.89%) and Cipla (up 0.13%) were the top Sensex gainers. The key laggards were DLF (down 5.44%); Hindalco Industries (down 5.35%); GAIL India (down 4.88%); Jindal Steel (down 3.99%) and ICICI Bank (down 3.88%).
The Nifty leaders were Reliance Infrastructure (up 5.02%); Reliance Power (up 4.93%); Tata Motors (up 2.43%); ITC (up 1.37%) and Wipro (up 1.33%). Jaiprakash Associates (down 5.71%); Hindalco Industries (down 5.55%); DLF (down 5%); GAIL (down 4.98%) and SAIL (down 4.93%) settled at the bottom of the index.
Markets in Asia settled lower following a lower 7.5% growth forecast by Chinese authorities for 2012. Analysts said that the growth estimate is the lowest in the past eight years, which is expected to impact fund raising.
The Shanghai Composite declined 0.64%; the Hang Seng dropped 1.38%; the Jakarta Composite fell 0.50%; the Nikkei 225 slipped 0.80%; the Straits Times shed 0.06%; the Seoul Composite was down 0.91% and the Taiwan Weighted tanked 1.35%. Bucking the trend, the KLSE Composite gained 0.34%. At the time of writing, the key European markets were down between 0.54% and 1.25% and the US stock futures were in the red.
Back home, foreign institutional investors were net buyers of shares totalling Rs578.65 crore on Friday while domestic institutional investors were net sellers of equities amounting to Rs70.48 crore.
Petron Engineering Construction has received an order from GAIL (India) for gas cracking unit at Pata Petrochemical Complex - II project. The order is valued at approximately Rs192.34 crore. The stock rose 0.65% to close at Rs265 on the NSE.
Wind turbine major Suzlon’s subsidiary SEFORGE today secured a contract worth Rs367 crore for supplying equipment for wind towers over a period of three years, the company said. The Rs367 crore contract covers supply of flanges (used for wind turbine towers) for projects in India and international markets. However, Suzlon did not divulge the name of the company with which the agreement was signed. The stock tanked 3.65% to close at Rs27.70 on the NSE.
Siemens has bagged an order worth around Rs130 crore from the Maharashtra State Electricity Distribution Company (MSEDCL) to modernize the state’s electricity distribution management system. Apart from improving reliability of the distribution network and minimizing distribution losses, the solution is a major step towards Smart Grid. The project is scheduled to be commissioned by June 2013. The stock settled at Rs765 on the NSE, down 3.46% from its previous close.
Jeevan Vriddhi is designed to attract money from the tax-savers who are desperately seeking avenues to park up to Rs1 lakh. While there are other similar plans in the market, it is LIC’s product that will command attention because of its muscle power
Life Insurance Corporation of India (LIC) has launched Jeevan Vriddhi, a single premium traditional plan offering guaranteed maturity sum assured (SA) along with loyalty addition (if any) after completion of policy term which is 10 years. The guaranteed maturity SA will depend on the age of policyholder from eight to 50 years; it reduces with age.
The insurance component is fixed at five times the premium excluding extra premium (based on one’s health) and service tax. In short, the plans works like bank fixed deposits along with insurance thrown in to make it an insurance product. For younger persons, it would almost double your money in 10 years. With interest rates at its peak today, LIC is willing to offer good returns, but it is for the exact same reason the plan is available only for a maximum of 120 days.
The minimum premium is Rs30,000, for an SA of Rs150,000. If the policyholder dies during the term, the nominee will get Rs150,000. If the policyholder survives till maturity, the guaranteed benefit will depend on the policyholder’s age at the time of taking the policy.
For example, if the policyholder would have paid single premium of Rs30,000 (excluding service tax), for a child of eight the maturity amount will be Rs59,538. If the person is aged 35, the maturity amount will be Rs57,385. The return on investment (excluding mortality charges) will be approximately 7% p.a. in this case. If someone is 50 at the time of entry, the plan will give Rs47,467 after 10 years.
Advantages of Jeevan Vriddhi
Disadvantages of Jeevan Vriddhi