Reference: Central Board of Indirect Taxes & Customs
Update:
Implementation of automated clearance on All-India basis–reg
CBIC has reviewed the implementation of the pilot roll-out of automated clearance at the two customs locations i.e., Chennai Customs House and Jawaharlal Nehru Customs House and has now decided to extend the facility of automated clearance of Bills of Entry to all customs formations where the Customs EDI system is operational. CBIC has also given some important features of the automated clearance in the prescribed circular.
Implication:
This facility shall come into effect from 05.03.2020.
Update:
Tariff Notification in respect of Fixation of Tariff Value
CBIC has notified the Government of India in the Ministry of Finance (Department of Revenue) about fixation of Tariff Value of Edible Oils, Brass Scrap, Poppy seeds, Areca Nut, Gold and Silver as prescribed in notification.
Reference: Central Board of Direct Taxes
Update:
Income Tax Department conducts search on prominent metal processing and financing group in Tamil Nadu
The Income Tax Department conducted a search in the case of a prominent business group based in Chennai dealing in the business of non-ferrous metal processing in lead, copper and aluminium and Money Lending activities. The IT Department has found hidden cloud servers other than the servers regularly used by the group for accounting, large amount of encrypted date retrieved from pen drive obtained from third party premise, evidences that showed unaccounted funds as bogus share premium, large number of property documents, promissory notes, post dated cheques and the same has been seized.
Implication:
The search action resulted in cash seizure of Rs. 1 crore and detection of unaccounted income exceeding Rs. 400 crore.
Reference : Reserve Bank of India
Update:
Formation of new districts in the State of Tamil Nadu– Assignment of Lead Bank Responsibility
The Government of Tamil Nadu had notified the formation of five new districts in the State of Tamil Nadu viz., Kallakurichi, Tenkasi, Chengalpattu, Tirupathar and Ranipet. It has been decided to assign the lead bank responsibility of these new districts as prescribed in the notification.
Update:
Extension of Direction- Rupee Co-operative Bank Ltd, Pune, Maharastra
RBI had issued to the Rupee Co-operative Bank Ltd, Pune, Maharastra, the validity of directions for close of business which was last extended upto February 29, 2020. RBI has further extended the validity of directions for a period of three months from March 01, 2020 to May 31, 2020.
Implication:
The said bank will have to follow the directions issued by the RBI for further period of three months i.e., till 31.05.2020.
Update:
Extension of Direction- – Bidar Mahila Urban Co-operative Bank Ltd., Bidar – Karnataka
RBI had issued to the Bidar Mahila Urban Co-operative Bank Ltd., Bidar – Karnataka, the validity of directions for close of business which was last extended upto February 29, 2020. RBI has further extended the validity of directions for a period of six months from March 01, 2020 to August 31, 2020.
Implication:
The said bank will have to follow the directions issued by the RBI for further period of six months i.e., till 31.08.2020.
Update:
Sovereign Gold Bond Scheme 2019-20 Series X – Issue Price
RBI has decided to offer a discount of Rs. 50/- per gram less than the nominal value to those investors applying online and the payment against the application is made through digital mode.
Implication:
For such investors, the issue price of Gold Bond will be Rs. 4,210/- per gram of gold.
Update:
Financial Action Task Force (FATF) Public Statements
FATF has identified the following jurisdictions as having strategic deficiencies which have developed an action plan with the FATF to deal with them. These jurisdictions are: Albania, The Bahamas, Barbados, Botswana, Cambodia, Ghana, Iceland, Jamaica, Mauritius, Mongolia, Myanmar, Nicaragua, Pakistan, Panama, Syria, Uganda, Yemen and Zimbabwe.
Update:
Quarterly Statistics on Deposits and Credit of SCBs: December 2019
RBI released its web publication entitled Quarterly Statistics on Deposits and Credit of Scheduled Commercial Banks (SCBs), December 2019. Data on total credit and deposits dis aggregated by type, are classified by states/union territories (UTs), districts, centers, population groups and bank groups. These data are collected from SCBs, including Regional Rural Banks (RRBs) and Small Finance Banks (SFBs), under the Basic Statistical Return (BSR) – 7 system.
Reference: Securities and Exchange board of India
Update:
Revised guidelines for International Financial Services Centre
SEBI has amended the provisions of Clause 8(1) relating Intermediaries of IFSC and Clause 19 relating Reporting of Financial Statement of SEBI (IFSC) Guidelines, 2015 to streamline the operations at IFSC, based on the internal discussions and consultations held with the stakeholders.
Update:
Operating Guidelines for Investment Advisers in International Financial Services Centre (IFSC) – Clarifications
Based on the representation received from the stakeholder regarding para 8(a) of the said circular, the net worth requirement for registered Investment Adviser in IFSC is revised to USD 700,000 and it is clarified that existing recognized entities in IFSC can also apply for IA registration without forming a separate company or LLP.
Update:
Monetary penalty on M/s. Aksh Optifibre Limited and others
M/s. Aksh Optifibre Limited, Dr. Kailash S Chaudhary, Mr. P.F. Sundesha, Mr. B.R. Rakhecha, Mr. Narendra Kumbhat and Mr. Arun Sood (Noticees) had issued 11,65,750 GDRs amounting to US $ 25 million, equivalent to 5,82,87,500 equity shares of Rs.5 each and the said issue was subscribed by one entity viz. Vintage FZE. It was observed that directors of AKSH i.e. Noticee 2 to 6 in its Board Meeting had passed Board Resolution inter-alia authorizing Noticee 2 viz. Dr. Kailash S. Choudhari, Mr. Satyendra Gupta and Mr. Gaurav Mehta of the Company for opening of an account with EURAM Bank for the purpose of receiving subscription money in respect of the GDR issue of AKSH and also for using the funds deposited in the said bank account as security in connection with loans. The aforesaid arrangement was not disclosed to the public and it was alleged that the scheme of issuance of GDRs was fradulent.
The Noticees have violated provisions of Section 12A(a), (b), (c) of SEBI Act, 1992 read with Regulations 3(a), (b), (c), (d),4(1), 4(2)(f), (k) and (r) of SEBI (PFUPT) Regulations 2003 and Section 21 of the SCRA, 1956 read with Clause36(7) of the Listing Agreement. Adjudication proceedings were also initiated against Noticee 2 to 6 for alleged violations of Section 12A(a),(b),(c) of SEBI Act, 1992 read with Regulations 3(a),(b),(c),(d), and 4(1) of PFUTP Regulations.
Hence, SEBI has imposed a monetary penalty of Rs. 10,75,00,000/- on the Noticees.
Implication:
The Noticees shall remit / pay the said amount of penalty within 45 days of receipt of this order.
Update:
Monetary penalty on Cosmos Distributors Pvt. Ltd. and others
Cosmos Distributors Pvt. Ltd. and others (Noticees) had executed 120 trades as buyers and out of which their 22 trades contributed to positive LTP of Rs. 139.95 which was 18.07% of market positive LTP. Noticee 14 was counterparty to 6 trades of Noticee 2, Noticee 3 and Noticee 6 which contributed Rs. 44.25 (5.71%) to market positive LTP and therefore, the trading activity of Noticee 14 appears to be manipulative. Noticee 1 to Noticee 4 and Noticee 6 have manipulated the share price of the Company by contributing significantly in establishing new high price. Noticee 1 to Noticee 6 did not submit their reply refuting allegations leveled against them in the SCN.
Based on the findings, SEBI concluded that trading activities of the Noticees were fraudulent and hence have violated Regulations 3(a), (b), (c) & (d), 4(1), 4(2)(a) and (e) of SEBI (Prohibition of Fraudulent and Unfair Trade Practices Relating to FUTP) Regulations, 2003.
Hence, SEBI imposed monetary penalty of Rs. 80,00,000/- on the Noticees.
Implication:
The Noticees shall remit / pay the said amount of penalty within 45 days of receipt of this order.
Update:
Monetary penalty on Abhay Ram Dahiya and others
Abhay Ram Dahiya, Pankaj Dahiya and Amardeep Dahiya (Noticees) had acquired 3,00,000 equity shares of HSIDC for ₹71,25,466/-i.e. at the rate of ₹23.75/-per share and under Regulation20(2)(b) of SAST 1997 the minimum acquisition prices to acquire the 20% shareholding of public should have been ₹23.75/-per shares and not ₹8.75/-as offered by the Acquirerbeing the minimum price paid for any acquisition. The Noticees were directed to make public announcement but have failed to comply with the orders dated June 03, 2019, read with August 01, 2003 passed by SEBI.
Hence, SEBI has imposed monetary penalty of Rs. 24,00,000/- on the Noticees.
Implication:
The Noticee shall remit / pay the said amount of penalty within 45 days of receipt of this order.
Reference: Ministry of Corporate Affairs
Update:
Companies (Appointment and Qualification of Directors) Amendment Rules, 2020
MCA has amended the Companies (Appointment and Qualification of Directors) Amendment Rules, 2014, namely:-
- In sub-rule (1), in clause (a), for the words ,,three months,, the words \”five months\” shall be substituted.
- In sub-rule (4), for the first proviso MCA has substituted proviso as prescribed in the notification and in the second proviso for the word \”companies\” the words \”companies or bodies corporate\” shall be substituted.
Implication:
This order shall come into force on the date of its publication in the Official Gazette.
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