Sebi mops Rs 73 cr through consent orders in 2010-11

The Securities and Exchange Board of India (Sebi) collected about Rs 73 crore through consent settlement and compounding in the financial year ended March 31 — the highest since the market regulator introduced the mechanism to settle investigations. Sebi received 359 applications for consent and compounding in FY11, said the regulator’s annual report available on its website. Out of this, Sebi approved 185 applications to settle various kinds of enforcement actions. In January this year, Sebi had imposed one of the highest-ever consent charge on the brass of Reliance Infrastructure and Reliance Natural Resources, directing them to pay Rs 50 crore as settlement charges. In 2009-10, Sebi had collected Rs 68.61 crore through the consent and compounding process of 363 applications. The regulator had collected Rs 3.09 core and Rs 46.12 crore in 2007-08 and 2008-09, respectively.

Source : http://www.business-standard.com/india/news/sebi-mops-rs-73-cr-through-consent-orders-in-2010-11/447580/

Sebi halts settlement in Bodal Chem

Market regulator Sebi on Tuesday stopped settlement of funds related to all trades in Bodal Chemicals done on August 29 after a preliminary investigation found that there were suspected cases of price manipulation in the counter by spreading false positive news about the company. Through a late evening order, Sebi also barred three entities from the market who are suspected to have had a role in the price manipulation in the counter. The Sebi order said that on August 27, which was a trading holiday, BSE received a fax message on Bodal Chem's letterhead informing the exchange that on August 29, the company's board will consider a bonus issue, and also sale of one of its unit for Rs 640 crore.

Source : http://timesofindia.indiatimes.com/business/india-business/Sebi-halts-settlement-in-Bodal-Chem/articleshow/9802460.cms

SEBI data point to rise in number of brokers

How cash volumes have dwindled on the stock exchanges and how brokers are doing badly have been the subject of much discussion among market-men. But this does not seem to have deterred new brokers and sub-brokers from registering for business. There were 9,235 registered stock brokers in the country in the cash segment as on March 31, against 8,804 a year ago, says SEBI's annual report. During 2010-2011, 531 new stock brokers were registered in the cash segment while 100 surrendered or cancelled their broker membership. The corresponding numbers for the previous year were 312 and 160 respectively. In the equity derivatives segment, 99 registrations were added during the year on NSE, making for a total of 1,299 brokers on that exchange. Surprisingly BSE, on which derivatives trading is negligible, registered 340 new brokers in this segment, nearly doubling their number to 787 as on March 31.

Source : http://www.thehindubusinessline.com/markets/stock-markets/article2412573.ece

CBEC's AEO scheme to have efficient Customs procedures

CBEC's AEO scheme to have efficient Customs procedures
The Central Board of Excise and Customs (CBEC) has announced an ‘Authorised Economic Operator’ (AEO) programme, with a view to give AEO-certified operators preferential treatment in terms of less Customs examination, relaxed procedural requirements, etc, subject to the operators maintaining prescribed security standards and compliance requirements. The voluntary scheme is available to importers, exporters, warehouse owners, custom house agents, cargo forwarders, carriers, port operators and couriers, among others, involved in Customs work. They can obtain an internationally recognised quality mark, which will indicate their secure role in the international supply chain and that their Customs procedures are efficient and compliant. Thereafter, they will be considered ‘secure’ traders and reliable trading partners.

Source : http://www.business-standard.com/india/news/cbecs-aeo-scheme-to-have-efficient-customs-procedures/447360/

Where Legislature, Executive and the Judiciary differ: Mauritius tax treaty debate with no full stop!

Where Legislature, Executive and the Judiciary differ: Mauritius tax treaty debate with no full stop!

Income tax law is notoriously complex, though the reasons are often misunderstood. Obvious reasons include tax law must address a huge and never-ending range of business transactions and structures. Last month’s Bombay High Court decision in the case of Aditya Birla Nuvo, Tata Industries and New Cingular (popularly called AT&T case) raises an interesting debate. The judgment stipulates that in a transaction involving sale of shares of an Indian entity (Idea Cellular) by AT&T Mauritius, the latter is not the real owner of the shares of Idea. AT&T US had acquired these shares through AT&T Mauritius and allowed them to be registered in the name of AT&T Mauritius as a ‘permitted transferee’. The Government Counsel’s pleadings focused deeper into the relationship between the parties evidenced by complex (and confusing) legal arrangements between the parties. The Court observing that since the real owner of the shares was not a Mauritius resident (entitled for treaty benefit), there was no significance of holding a valid tax residency certificate, and the treaty claim was rightfully denied by the administration.

http://www.business-standard.com/india/news/where-legislature-executivethe-judiciary-differ-mauritius-tax-treaty-debateno-full-stop/447336/