Major News and Events of 03 December 2014
What Happened on 03 December 2014
PMI Report Indicates Expansion in Service Sector but Dip in Hiring
Prospects of Sahara Chief's Release Brighten
Raghuram Rajan on Corporate Loan Restructuring and RBI's Stand on Growth
India Moves Up from 94 to 85 in Corruption Perception Index
Insurance Bill: Government Gets Unexpected Support from Congress
Shiv Sena set to Join Maharashtra Government
Sadhvi Niranjan Jyoti Hate Speech Imbroglio: Opposition Demands Answer from PM
64GB OnePlus One Smartphone Launched in India at Rs. 21,999
Indian PM Pays Tribute to Phillip Hughes
FBT and BCTT suggested by TDRC Panel to Expand Tax Base
Anil Kumar Sinha becomes the New CBI Director
People of Jammu & Kashmir and Jharkhand put their faith in electoral democracy as they thronged polling booths in large numbers in second phase of polling. While J&K registered 72 per cent polling during 2nd phase Assembly election, Jharkhand registered 65.46 per cent polling. Polling was peaceful in both the states. Record shows that percentage of polling in second phase exceeded first phase in both J&K and Jharkhand.
HSBC Purchasing Managers’ Index data released today shows that in the month of November, expansion in service sector was fastest in the last 5 months, which has been possible due to inflow of new orders. However, concerning fact is that this is not coupled with employment generation. Hiring has in fact declined in November.
Apex court of India gave permission to Sahara Group to sell four assets in different parts of India. The company is expected to raise around Rs. 2,700 crore by selling these assets, which will be utilised to secure bail for Subrata Roy, Chief of Sahara Group. While Choma Village property near Gurgaon will be sold at a price that is 15 per cent lower than the earlier estimated value, properties in Pune, Vasai, and Jodhpur are sold within permitted 5 per cent permitted margin.
RBI Governor said that the apex bank is set to give more flexibility to commercial banks through restructure of corporate loans. Per the announcement, banks can use 5-25 rule to restructure loan for existing projects. For core industry and infrastructure projects, around 25 years of amortisation period can be fixed by banks along with refinancing option after every 5 years. Power generation companies are upbeat on this announcement because debt restructuring will improve financial health of the stalled projects. Raghuram Rajan also clarified that RBI is not against growth and wants strong sustainable growth over many years.
India’s rank has improved marginally in Corruption Perception Index (CPI) of 2014, which means perception about India on corruption has improved internationally. Per CPI 2013, out of 177 countries India’s rank was 94. However, this year India ranked 85 out of the 175 countries compared. In fact, CPI score has also improved from 36 in 2013 to 38 in 2014.
Insurance Bill, one of the most debated and contentious reform agendas of Narendra Modi government, received unexpected backing from Indian National Congress. During all-party select committee meeting INC vouched for submitting the final report by the earlier designated last date - December 12. The draft report is expected to be ready by December 8. Four opposition parties including JD(U) and Left opposed raising FDI limit from 26 to 49 per cent in Insurance sector.
Per last available information, Shiv Sena is all set to join BJP-led Maharashtra government on December 5, the day when Chief Minister Devendra Fadnavis is expected to expand his cabinet. 12 MLAs from Shiv Sena (7 will have Minister of State rank and rest 5 cabinet rank) along with 10 to 12 MLAs from BJP are likely to be inducted in the ministry. It is reported that BJP has rejected Shiv Sena’s demand for the positions of Home Minister and Deputy CM.
United opposition sought answer from Prime Minister Narendra Modi, who was today present in the Parliament, as to why newly inducted MoS Sadhvi Niranjan Jyoti will not be sacked inspite of making disgraceful hate speech during a public meeting in Delhi. Though the concerned minister apologised in Lok Sabha yesterday, opposition including Left and BSP demanded her resignation. While INC demanded to jail the MoS, SP demanded motion to condemn her. Union government rejected any further action. Due to uproar on this issue, Rajya Sabha was adjourned till 2pm today.
Science and Technology
Sandstone Black coloured 64GB version OnePlus One smartphone model has been launched in India at an attractive price of Rs. 21,999. It will be available only on Amazon.in and most importantly people can get it only if they get invitation. Two other important announcements made include 10-day return policy as well as after-sales-service by HCL Care through over twenty service centres located at various parts of India.
Narendra Modi paid tribute through his Twitter account to Australian batsman Phillip Hughes along with millions across the world as Australia puts the body of 25 year old cricketer to rest today. Phillips died on the spot when he was hit by a bouncer during a domestic match. India-Australia test match has been rescheduled due to the tragedy.
Tax Administration and Reform Commission, headed by Parthasarathi Shome, has made some specific recommendations to expand tax base, stay away from amnesty schemes, and at the same time minimise different types of tax exemptions. The panel has suggested to reintroduce Banking Cash Transaction Tax as well as Fringe Benefits Tax. Per the suggestion, FBT will now include government officials as well as legislators.
Anil Kumar Sinha, IPS officer of Bihar cadre (1979 batch), was on Tuesday appointed by Union Government as the new CBI Director. The decision of appointment was taken by a committee, headed by the Prime Minister himself. The final decision was taken by the PM, from a shortlisted list of 40 officers, after consultation with leader of Parliament’s main opposition party as well as Chief Justice of India. Official notification says that from the date of assuming charge, Sinha will remain in the position for 2 years.