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The market regulator has disposed of a case against Himachal Futuristic Communications for suspected involvement in rigging share prices in a case dating back to 1999-2001
The Securities and Exchange Board of India (SEBI) has disposed proceedings against Himachal Futuristic Communications Ltd (HFCL) in the 2001 share price manipulation case, with a consent order.
SEBI in an order CO/ID2/739/332/2010 dated 28 January 2010, said: "This consent order disposes of the above mentioned proceedings under Sections 11(4) (b) and 11B of SEBI Act, 1992 read with Regulation 11 of SEBI (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations, 2003, pending against the applicants named above in the matter of Himachal Futuristic Communications Ltd."
The market regulator said that HFCL, its promoters and associated entities had paid Rs10 crore towards settlement of the case, as per the recommendation of a High-Powered Committee constituted by SEBI.
"Accordingly, the applicants, without admitting or denying the charges, have conveyed their acceptance of the aforesaid recommendations vide their letter dated 30 December 2009 and have remitted a sum of Rs10,00,00,000/- (Rupees Ten Crore only) towards settlement charges vide demand drafts, payable at Mumbai," the consent order said.
The HFCL case dates back to the 1999 to 2001 period of the Ketan Parekh scam. Mr Parekh, the main accused in the fraud, allegedly rigged share prices of ten companies, including Zee Telefilms and HFCL.
It is now common knowledge that Global Trust Bank (GTB), Zee Telefilms and HFCL were in cahoots with Mr Parekh and had all routed large sums of money to corporate entities connected with him. In 2001, SEBI had told the Joint Parliamentary Committee that Zee and HFCL had diverted Rs515 crore and Rs700 crore respectively to Mr Parekh.
After conducting investigations, SEBI, in 2004, sent show-cause notices to HFCL, its directors and associates. While the proceedings were in progress, on 31 May 2008 and 4 June 2008, HFCL proposed a settlement of the proceedings through a consent order. SEBI then constituted a high-powered committee which also recommended settling the issue if the applicants agreed to make payment of Rs10 crore towards settlement charges.
On 11 January 2010, the Delhi High Court also affirmed the terms of the settlement as recommended by the High-Powered Committee and approved by SEBI, following which the market regulator disposed proceedings against HFCL. (Read more about SEBI’s consent orders http://www.moneylife.in/article/3030.html and http://www.moneylife.in/article/2827.html
Amnesty International’s report says that the 8,000-strong community comprising largely of adivasis in Lanjigarh in Orissa has suffered violations of human rights over water and health, because of pollution and poor management of waste produced by the refinery
Alumina mining in Orissa is causing serious health and environmental hazards, a leading rights watch said on Tuesday, slamming the Indian government and mining major Vedanta Resources Plc for failing to properly inform indigenous communities about its impact, reports PTI.
According to a report released by Amnesty International, the 8,000-strong community comprising largely of adivasis in Lanjigarh in Orissa has suffered violations of human rights over water and health, because of pollution and poor management of waste produced by the refinery.
"Vedanta Aluminium Ltd's alumina refinery has led to water and air pollution, seriously undermining the quality of life and threatening the health of nearby communities, some of whom live only a few hundred yards from the refinery's boundary walls," the report said.
It also slammed the Union government for failing to obtain “free, prior and informed consent” of the Dongria Kondh tribe living in the thickly forested Niyamgiri Hills before approving the Vedanta project.
Vedanta, whose subsidiary operates the mine, meanwhile defended its operations, saying that the report is based on an “outdated document”, which was subjected to intense scrutiny by the Supreme Court.
It said the Supreme Court has already “reviewed, refined and endorsed the scrupulous approach manifested by Vedanta Resources in every aspect of the project's operation” in its August 2008 order.
IOC is setting up a dedicated polymer (e-sbr) unit near its Panipat refinery complex
State-run oil major, Indian Oil Corporation (IOC), is planning to set up a dedicated unit to produce emulsion-styrene butadiene rubber (e-sbr). The unit will be set up adjacent to its Panipat refinery complex. IOC’s Panipat refinery complex will be commissioned in March.
E-sbr is one of the most widely used polymers in the world in many demanding applications. It is predominantly used for the production of car & light truck tyres and truck tyre retread compounds.
IOC has made a presentation before a committee of the ministry of forests and environment seeking environmental clearance for the e-sbr project.
However, IOC refused to comment on the proposed e-sbr facility. In an e-mail, Sharat Meshram, executive director, IOC said, “In this connection, please be informed that due to confidentiality requirement, the information cannot be shared.”
When it will be commissioned, the Panipat refinery complex will be one of IOC's biggest petrochemical projects. The cost of the naphtha cracker and polymer complex at Panipat was Rs14,439 crore.
The refinery project envisages setting up of a naphtha cracker plant based on captive utilisation of naphtha from Panipat, Mathura and Koyali refineries of IOC. With a capacity to produce 800,000 metric tonnes per year of ethylene, the complex will have associated units such as a hydrogenation facility and butadiene extraction & benzene extraction plants. According to an official from the company, the refinery complex will be commissioned in March.
IOC’s finances are currently under pressure with its key refining business losing money as prices of refined products, which are state controlled, have not increased in line with global crude oil prices. This has affected some of the company’s planned projects.
IOC’s net profit for the third quarter of FY09 declined 76.45% to Rs696.59 crore due to declining gross-refining margins, rising under-recoveries, increasing loss on bonds and on account of losses on fixed assets, finished products, stores and compensation for the fire which took place on 29 October 2009 at its Jaipur Terminal. The company is currently losing about Rs110 crore per day on selling fuels below cost.