Before the current government, Indian businesses and corporate houses had the unwritten assurance that if they failed or defaulted on their loans, the government of India would step in and provide relief or support. Companies borrowing excessively or gave loan guarantees to enable other companies to borrow. With Indian parliament passing the Bankruptcy law, companies get no special favours either written or unwritten. If a company defaults on a loan or a loan it provided a guarantee, then it could end up in bankruptcy proceedings with creditors making claims against the remaining value or assets of the company. In fact legal collection proceedings have been started against more than 400 companies with the list expected to balloon. Based on recent experiences of Ruia losing control Essar Oil and Essar Steel and Vijay Mallaya losing his ownership, promoters could lose big. While there is going to be lot of pain, the longer-term benefits are likely to be end of reckless borrowing, more equity by promoters and tax payers – which is all of us sharing and future losses and not taking 100% of the losses.
- 9 Nov 2017
With consumer complaining that some businesses, shops, malls, restaurants adding GST to the MRP and jacking up the price (some real confusion but some fleecing the consumer), government is taking confusion out of this. For example, some shops were adding GST to purchase and some were not. Now for all products the maximum retail price (or MRP) must include GST.
With GST and its country-wide uniform tax structure, products will cost the same or nearly the same in any part of India!
This will help to reduce confusion and corruption indirectly.
Source: Business Today
- 2 Nov 2017
The government now plans to spend heavily on massive infrastructure development, nearly Rs. 7 lakh crores to build and upgrade roads and bridges, to boost the economy and to create employment.
The plan is to build nearly 90,000 kilometers of roads to connect 17 states and 40+ major metros-economic corridors. It includes super highway, border and coastal roads.
Funds will be generated from loans, public investment and government funds.
Source: Daily Pioneer
- 29 Oct 2017
Supreme Court almost came to passing a judgement to ask the Government to not deport the nearly 1 lac Rohingyas Muslims who entered India illegally. This was till Government of India’s lawyer asked them not to pass any judgment due to larger consequences.
Firstly, several people feel that it is not appropriate for the SC to get involved in matters which are in the domain of the executive (the Government of India) and secondly asking this country with so many problems to house illegals only means it would encourage lakhs and millions more to enter India.
Also, Rohingyas – several but not all are involved in terror activities. It is reported that hundreds of bodies of Hindu men, women and children were found near Rohingya villages in Burma, and Indian Army feels it points to Rohingya terror. There are news reports that some Rohingyas have obtained an Aadhar card – and it won’t be long before all somehow get it.
So you can now look forward and imagine all the consequences we can expect to face due to this inappropriate near judgment by our Supreme Court…
Source: The Hindu
- 16 Oct 2017
Our Finance Minister released Google’s payment App – Tez. One is left to wonder why the Government had to release a private and that too a non-Indian company’s product – a payment App in this case? This action could be viewed as an endorsement or a preference.
Google does not need any more help – if anything the Indian payment mobile wallets need all the support.
At launch, this App would not charge a fee, but that may not remain that way in the future…
Source: Business Today
- 20 Sep 2017
Our Home Ministry told Parliament that there is a massive police personnel shortfall in India. There is a more than 5 lakh shortfall between an authorized strength of nearly 23 lakhs, there are only a little more than 17 lakh staff or a shortfall of nearly 25%. The shortfall and vacancies are at all levels from IPS officers to the lowest levels and in most parts of the country. No surprise are police are overworked and stressed. Looking at the pace of recruitment, it appears that the acute shortfall will continue for the near future. Can retired police personnel be brought back to active duty even if posted in lesser taxing roles?
Source: Zee News
- 19 Jul 2017
Prime Minister Modi had 14 million fans in May 2014 when the current Lok Sabha election results were declared, currently he has 42 million fans or a 3 fold increase in 3 years. At this rate, we can soon expect even 100 million fans or more. And there are crores and crores of shares and post likes. The three most followed Facebook pages are PM personal page, Donald Trump the US president’s page and the PMO or the Prime Minister’s Office. Because of active social media usage, several ministers and key ministries have active followings, engagement and events. This is amazing as no other country or government of size is so active and proactive with social media interactions.
- 1 Jun 2017
Both are successful people and have come up the hard way and continue to work very hard. President Trump has never been in government, while PM Modi has been a social worker, an an elected representative, a Chief Minister (arguably one of the most successful) and now the prime minister – so in public life most times. Both have earned a solid 30+ million plus Twitter followers who adore their respective leaders. Trump has been hasty, too quick to express his opinion, some politically incorrect, on Twitter on almost anything and anyone. PM Modi tweets are about wishes to one and all, policy and achievements. PM is always found sending wishes and greetings to one and all including his opponents. PM is much less visible, and when he is it is about substance. Both are known to get annoyed or possibly angry, but President Trump’s reaction is public and for to see, while PM Modi is more restrained at best, and mostly not even visible. Trump has moved faster – at least one area PM Modi can copy?
- 22 May 2017
Indian Government must give the Indian Army the full freedom to do whatever to protect its troops, fight terrorists and take revenge. In recent days, Pakistani army tortured and mutilated the bodies of Indian soldiers, then 5-6 terrorists visited the home of a Army officer in Kashmir and shot him many times in cold blood. Stone throwers are daily targeting our soldiers, who many a time are ordered not to retaliate. Why should the Army at the receiving end from all sides? Our first objective is to protect our forces, and who cares about world opinion or that of NGOs – they never support India in any case? Surprise, surprise – even Congress leader and Punjab Chief Minister Amarinder Singh has said the Indian military should stop being a gentleman’s army and be allowed to do what it takes/ Why is the political leadership so soft?
- 12 May 2017
USA under the new government is working on making changes to the critical H1-B visas that Infosys and several other Indian IT companies have benefited. To presumably deflect this political pressure, Inforsys has announced plans to hire more than 10,000 US locals in programming, artificial intelligence and R&D and setup four technology and innovation hubs. With these changes, Infosys would be still be based in Bengaluru, India but could see a big shift of work to USA, which could the start of them looking more more like an American company…Other of its local Indian competitors are equally affected by the growing USA restrictions, but have yet to announce such ambitious USA expansion plans.
Source: Times of India
- 6 May 2017
Can you imagine – suddenly western countries, who have enough problems of their own, have started worrying about the collapse and growing irrelevance of our opposition parties. They were champions of the Congress for decades and were really excited about the AAP, but were almost always unfairly and highly critical of the BJP. Why – because BJP represents the dominant majority, are nationalist, want to promote development and reduce corruption. Our opposition is collapsing because – they remain highly corrupt, don’t believe in development, believe in divide and conquer and most importantly want to promote minorities at the great expense of the majority. Added to this, they present no new ideas. So old ideas, old leaders, dynastic and corrupt politics will not work with an inspirational India with growing confidence and impatience, with a youth population that exceeds 65%. So no surprise or tears for opposition parties becoming irrelevant or disappearing…
- 30 Apr 2017
One party has said that in Uttar Pradesh, which is in the midst of assembly polls, the government first asks for your religion and caste first and if it is not favorable – THEY WILL NOT GIVE YOU A LAPTOP. Obviously pretty shocking, and if true – how is the government able to get away with it?
Source: Indian Express
- 28 Feb 2017
Dawood Ibrahim is one of India’s most wanted criminals who is in hiding in Karachi, Pakistan under the protection of the Pakistani army. After India’s active diplomatic outreach to the United Arab Emirates (UAE), there are reports that over rupees 15,000 crore of Dawood’s property has been seized in recent weeks. In addition, a Mumbai tribunal has allowed the government to seize two properties in Mumbai. This could be the start of more seizures by the government. Let us wait and watch!
- 15 Jan 2017
Jayalalitha symbolized woman power for many Tamils and many considered her as the iron lady. MPs, MLAs and Ministers all fell at her feet. On many occasions, all 37 MPs in the Lok Sabha and 13 MPs in the Rajya Sabha did namaskaram or lay down flat to pay respects to their leader. On other occasions, her minister and party cadre would prostrate before her vehicle, her helicopter or in other public places. The successor chief minister, O Panneerselvam took his oath of office with Jayalalithaa’s photo on hand.
- 7 Dec 2016
The Indian government has sown the seeds to reduce corruption and pursue financial reforms in a big way – the latest move to remove Rs. 500 and Rs. 1000 notes is the latest step in that plan. One has to only connect the dots of the government’s plans and actions and it all makes sense. First was the Jan Dhan Yojana which led to over 25 crore new bank accounts being opened, then the Black money act followed by the amnesty Scheme, and most recently the plan to remove these high value rupee notes. The government taken steps to bring small money holders into the system through Rupay, Jan Dhan Yojana and other schemes, while weeding out big money launders and black money. The the latest is the GST – so all is really well thought through. All these actions finally will lead to a surge in the deposits with the bank (let us say surplus money), black money circulation will come down, and these will lead to possibly a big reduction of borrowing interest rates good for both consumers and companies.
Source: DNA India
- 13 Nov 2016