INDIA COUNTRY BRIEF
110928
Basic Political Developments
· Union Finance Minister Pranab Mukherjee said in Kolkata on Wednesday that he would meet Prime Minister Manmohan Singh in the evening.
· In the wake of the political storm generated by a Finance Ministry note to the Prime Minister Office on the alleged 2G scam, Union Home Minister P Chidambaram today met Prime Minister Manmohan Singh.
· The Bharatiya Janata Party on Wednesday reacted strongly to Prime Minister Manmohan Singh's allegation that the Opposition was trying to destabilise the government.
· Traffic was thrown out of gear in several parts of Hyderabad as Telangana groups staged road blockades to intensify the ongoing movement.
National Economic Trends
Business, Energy or Environmental regulations or discussions
· Mumbai-based Ipca Laboratories Ltd plans to acquire a pharmaceutical company in Indonesia with a view to enter the largest South-East Asian market.
· A petition filed in the Delhi High court Wednesday alleges violation in the 3G spectrum auction.
· NMDC today said it will sign an agreement with Russia's Severstal by December to set up a three million tonnes per annum steel plant in Karnataka under a 50:50 joint venture.
· Decision on FDI in multi-brand retail is likely to be delayed further in wake of fresh inter-ministerial differences on the politically sensitive issue.
· Calcutta high court on Wednesday ruled that the state government was well within its rights to repossess the land in Singur, Hooghly that was handed over to Tata Motors for a small car factory.
· Anti-Posco activists dug up the road leading to the proposed plant site of the South Korean steel giant in Paradip on Tuesday.
· Police in Chhattisgarh arrested a top official of the Essar Group today for allegedly paying off Maoists.
Activity in the Oil and Gas sector (including regulatory)
· BP chief Robert Dudley to visit India and meet top government ministers - Industry, Petroleum- and RIL executives.
Militant Activity/Terrorism (Particularly in Bangalore, Mumbai, Noida, Chennai, Coimbatore)
· Union Home Secretary R K Singh today said forensic tests hint that RDX was used in the September 7 Delhi High Court blast.
· Terrorists shot at and killed a policeman in Batmallo area of Srinagar on Wednesday afternoon.
· Maoists killed a civilian was by brnding him a police informer in Narayanpatna area of Orissa's Koraput district.
· Two personnel of Combat Battalion for Resolute Action (CoBRA) of the CRPF were killed and five others were injured in an encounter with Maoists in Bokaro district of Jharkhand.
Labor/Social Unrest
Full Text
Basic Political Developments
Pranab to meet Manmohan this evening
http://www.thehindu.com/news/national/article2493534.ece
Union Finance Minister Pranab Mukherjee said in Kolkata on Wednesday that he would meet Prime Minister Manmohan Singh in the evening.
“I will meet the Prime Minister in the evening, I will tell whatever I have to tell after that”, Mr. Mukherjee told waiting reporters outside his south Kolkata residence.
The reporters wanted to know if he had any word with the Prime Minister who returned to the national capital on Tuesday evening in the background of the reported differences within the union cabinet regarding 2G allocation.
Mr. Mukherjee, who arrived in Kolkata on Tuesday, has already maintained that he will speak, if necessary, on the Finance Ministry note on 2G spectrum allocation issue only after talking to Prime Minister.
“I am reiterating what I have said in New York and Delhi. If there is anything necessary to speak on the finance ministry note obtained through an RTI application, I will speak after talking to the Prime Minister and other senior colleagues tomorrow,” Mr. Mukherjee said on Tuesday.
2G scam row: Chidambaram meets PM
http://www.uniindia.com/
New Delhi, Sep 28 (UNI) In the wake of the political storm generated by a Finance Ministry note to the Prime Minister Office on the alleged 2G scam, Union Home Minister P Chidambaram today met Prime Minister Manmohan Singh.
This is the first meeting between Mr Chidambaram and Dr Singh after the controversy erupted between Mr Chidambaram and Finance Minister Pranab Mukherjee.
The meeting was held at Prime Minister’s residence 7, Race Course Road, where he hosted a lunch for visiting former UK PM Tony Blair.
Dr Singh last night told reporters that Mr Chidambaram enjoyed his full confidence.
The row broke out after a Finance Ministry note on 2G issue, sent to the Prime Minister’s Office on March 25 this year, emerged. The note stated had Mr Chidambaram insisted the allocation of 2G spectrum in 2008 at 2001 prices could have been stopped, thus preventing the Rs 1.76 lakh crore loss caused to the government coffers.
The note was prepared by a Finance Ministry official and reportedly seen by current Pranab Mukherjee.
'The PM is living in denial'
http://www.rediff.com/news/slide-show/slide-show-1-bjp-hits-back-the-pm-is-living-in-denial/20110928.htm
The Bharatiya Janata Party on Wednesday reacted strongly to Prime Minister Manmohan Singh's allegation that the Opposition was trying to destabilise the government, saying he had "distanced himself from reality".
"This clearly shows that the PM has distanced himself from reality and it is very obvious that he is living in denial," said Leader of Opposition in Rajya Sabha Arun Jaitley.
During a press meet on board Air India One, on his way back from the United States, the PM had also expressed his faith in Home Minister P Chidambaram, who is facing allegations of being involved in the 2G scam.
Telangana news: Telangana leaders arrested for road blockades in Hyderabad
http://economictimes.indiatimes.com/news/politics/nation/telangana-news-telangana-leaders-arrested-for-road-blockades-in-hyderabad/articleshow/10157083.cms
HYDERABAD: Traffic was thrown out of gear in several parts of Hyderabad as Telangana groups staged road blockades to intensify the ongoing movement for a separate Telangana state. Police arrested dozens of leaders and activists.
As the general strike by government employees entered its 15th day, leaders of the Telangana Joint Action Committee (JAC) and its constituents like the Telangana Rashtra Samithi (TRS) and the Bharatiya Janata Party (BJP) stalled traffic by squatting on the roads at busy intersections.
Police had a tough time in controlling the protestors as JAC has called for road blockades at 100 places in the twin cities of Hyderabad and Secunderabad.
Tension prevailed at a few places as Telangana leaders resisted police attempts to arrest them. The protest caused huge traffic jams in the busy areas.
JAC convenor M. Kodandaram and his supporters were arrested at Paradise, a major commercial hub in Secunderabad.
TRS legislator K. Tarakara Rama Rao was held at Mettuguda in Secunderabad. He, along with his supporters, lay down on the road and resisted police attempts to arrest them. The cops bodily lifted them and shifted them to a waiting police vehicle.
"The government is trying to suppress the peaceful agitation but we will not rest till we achieve a separate state," said Rama Rao.
Senior BJP leader Bandaru Dattatreya and his party activists were arrested when they blocked traffic at Abids, one of the busiest areas in Hyderabad.
At Moazzam Jahi Market, a trading hub, police arrested Telangana lawyers during the road blockade.
Earlier, TRS MLA Harish Rao was arrested at Hitec City, which houses many IT giants. The protest led to traffic snarl for some time, causing inconvenience to employees going to various IT companies.
The legislator accused government of witch-hunt against striking government employees. He warned Congress MP from Vijayawada L. Rajagagopal against provoking the people.
Traffic was also thrown out of gear at L.B. Nagar on the city fringes when BJP and TRS workers blocked traffic.
Police also arrested TDP floor leader in assembly E. Rajender at Tirumalgery and another leader N. Narasimha Reddy at RTC cross roads.
ABVP activists staged a road blockade at the NCC Gate at Osmania University.
Tension prevailed at state secretariat as striking employees tried to stop others from attending their duties. Police arrested dozens of employees.
Road blockades were also staged in different parts of Telangana region to protest police attack on Swami Goud, a leader of the Telangana employees.
Pro-Telangana lawyers also lodged a complaint against police with the state Human Rights Commission. They demanded action against Deputy Commissioner of Police Stephen Ravindra for allegedly attacking Goud at the transport commissioner's office Tuesday.
The commission sought a report from the director general of police by Monday.
National Economic Trends
Business, Energy or Environmental regulations or discussions
Ipca Laboratories plans Indonesian acquisition
http://economictimes.indiatimes.com/news/news-by-industry/healthcare/biotech/pharmaceuticals/ipca-laboratories-plans-indonesian-acquisition/articleshow/10157182.cms
INGAPORE: Mumbai-based Ipca Laboratories Ltd plans to acquire a pharmaceutical company in Indonesia with a view to enter the largest South-East Asian market.
"We are scouting for an Indonesian company, especially with a generic product marketing licence," Ipca Regional Manager S Sugumaran said here today.
The company has put together a USD 20 million war-chest for the acquisition, to be made within the next few months, said Kuala Lumpur-based Sugumaran, adding that a number of companies have been shortlisted, though he kept the names confidential.
"We need good access to the Indonesian market and an established pharmaceutical company would be good vehicle to market Indian pharma products in Indonesia," said Sugumaran on the sidelines of a seminar on the Indian pharmaceutical sector in Singapore.
The seminar was addressed by several pharmaceutical companies and officials from India and Singapore, including Deputy Drug Controller of India A K Pradhan.
Eleven Indian companies participated in the seminar, where elaborate discussions were held on India-Singapore pharmaceutical trade under the Comprehensive Economic Cooperation Agreement.
"We expect Indian pharmaceutical companies to expand into the South-East Asian markets through Singapore, leveraging on the bilateral benefits under the CECA," said Dr Manju Kalra Prakash, the Assistant Secretary General of the Federation of Indian Chambers of Commerce and Industry, which organised the seminar in conjunction with the Indian High Commission to Singapore.
Over 100 delegates attended the seminar, which was also addressed by Singapore's Economic Development Board and the Health Sciences Authority.
Some private telecom operators violated terms and conditions of DoT to get 3G licenses: Petition
http://economictimes.indiatimes.com/news/news-by-industry/telecom/some-private-telecom-operators-violated-terms-and-conditions-of-dot-to-get-3g-licenses-petition/articleshow/10156932.cms
NEW DELHI: Some private telecom operators entered into arrangements by which some non-licensed operators who could not or did not win in the 3G spectrum auction found a novel way to bypass the terms and conditions of the Department of Telecommunictions (DoT), a petition filed in the Delhi High court Wednesday alleges.
The public suit was filed before a bench of Chief Justice Dipak Misra and Justice Sanjiv Khanna. It said private operators had bypassed the terms and conditions of the license and DoT directions and started providing 3G services even in those areas where they did not get the spectrum.
"The operators did not pay 3G spectrum fee and their 2G licenses were not amended to include clause 23.7 permitting the use of 3G spectrum and provision of 3G services," said the petitioner.
Taking note of the petition, the chief justice directed Additional Solicitor General A.S. Chandhiok to take instructions from the government and file a reply by Nov 30.
The petitioner further said he had made a representation to the DoT and the Telecom Regulatory Authority of India (TRAI) to ensure that 3G services were not provided by non-licensed operators, causing huge financial losses to the national exchequer and creating a security risk since their 3G services were not approved.
"No response was received from the DoT and TRAI," the petitioner said.
The petitioner also informed the bench that he had sent a detailed representation to the Central Vigilance Commission to investigate the matter and ensure and no financial loss is caused to the nation, but had not received any reply.
NMDC, Severstal to sign JV for 3-MTPA steel unit by Dec
http://www.business-standard.com/india/news/nmdc-severstal-to-sign-jv-for-3-mtpa-steel-unit-by-dec/147737/on
State-run NMDC today said it will sign an agreement with Russia's Severstal by December to set up a three million tonnes per annum steel plant in Karnataka under a 50:50 joint venture.
"By December, we will sign a JV agreement with Severstal of Russia to set up a 3 million tonnes (per annum) steel unit. It'll be a 50:50 joint venture," NMDC Chairman Rana Som told reporters here.
According to an industry source, the 3-MTPA steel unit would entail an investment of about Rs 14,000 crore to Rs 15,000 crore.
However, Som did not provide details on the estimated investment involved in the project.
In December last year, the Navratna firm signed a Memorandum of Understanding (MoU) with Severstal for setting up a 5-MTPA steel plant in Karnataka.
The joint venture between the Russian and Indian firms, the first such partnership between the two countries, would produce auto grade and electrical steel to meet the rising demand for specialised steel products in the country, Som had said previously.
As per the MoU, the JV company would have two subsidiaries— a captive coking coal mining subsidiary in Russia and an iron ore mining subsidiary in India -- to ensure long-term supply of the critical steel-making raw material to the proposed plant.
Both NMDC and Severstal will hold a 50% stake in the joint venture and will appoint the senior management team.
According to NMDC, the Karnataka government has already allotted 2,500 acres of land to the company for the project.
The Karnataka plant will be NMDC's second steel unit in India. It has already started work on a 3-MTPA project in Chhattisgarh at an estimated investment of about Rs 15,000 crore.
At present, the Navratna firm produces about 30 MTPA of iron ore from four fully mechanised mines in Chhattisgarh and Karnataka.
Shares of NMDC were being traded at Rs 227.7 apiece on the Bombay Stock Exchange at 1420 hours today, up 1.13% from their previous c1ose.
Decision on FDI in retail unlikely in near future
http://economictimes.indiatimes.com/news/news-by-industry/services/retailing/decision-on-fdi-in-retail-unlikely-in-near-future/articleshow/10157290.cms
NEW DELHI: Decision on much-awaited FDI in multi-brand retail is likely to be delayed further in wake of fresh inter-ministerial differences on the politically sensitive issue.
Differences between the Ministry of Consumer Affairs and the Department of Industrial Policy and Promotion surfaced, even as Wal-Mart said today it is waiting for a policy clearance to pump in investment in the sector.
"There are some differences among ministries over FDI in multi-brand retail. Our Department is processing what stand we have to take," Food and Consumer Affairs Minister K V Thomas said on the sidelines of a CII event here.