1.Govt Sets up Panel to Study MAT on FIIs – TOI
The government on Thursday announced that it will set up a high-level panel to examine the issue of minimum alternate tax (MAT) on foreign institutional investors (FIIs), a move aimed at calming jittery foreign investors, along with other “legacy issues“.
The tax department’s notice to FIIs to pay MAT on capital gains had triggered a controversy with angry FIIs writing to the government to have a rethink on the issue.
Read the rest of the Times of India article here.
2.Gravy Train of Joining Bonuses Rolls Again – ET
Joining bonus, or sign-on bonus, have made a comeback in recent times with companies willing to shell out huge premiums to woo top talent.
Large established companies and new-generation startups are dangling substantial joining bonuses, sometimes up to six months of total annual cost to company across senior and middle management levels in a bid to woo top talent in a competitive job market.
Startups, loaded with cash recently raised from venture capital funds, are not far behind. Companies such as Flipkart, Jabong, Snapdeal, Urban Ladder, Zomato, among others, are doling out far greater number of joining bonuses to senior hires this year than a year or two ago.
Read the rest of the Economic Times article here.
3.Rupee Slips to 20-month Low as FPIs Continue to Dump Equities- ET
The rupee on Thursday lost ground to the dollar, slipping to a 20-month low, as foreign portfolio investors sold Indian securities, worried over government’s taxation policies, which threaten to stifle overseas fund flows into the country, as per ET.
The local unit weakened for the fifth consecutive session to close at 64.24 against 63.54 dollar a day earlier, a sharp fall of 70 paisa, or more than 1%. It touched an intra-day low at 64.28, level not seen before September, 2013, when Narendra Modi was not even announced as the prime ministerial candidate for the general elections.
Read the rest of the Economic Times article here.
4.No IPO for Two Years as Flipkart Not Ready for Quarterly Scrutiny – BS
Amid much buzz over its plans for an initial public offering (IPO), Bengaluru-based online retail major Flipkart does not plan to list on stock exchanges for at least two years as the company believes it is not prepared to face the “scrutiny” that a listed company is subjected to.
We are still at a stage where we do not want to stand scrutiny on a quarterly basis. We would rather keep ourselves private for as long as we can and then we will see what lies ahead.
– Flipkart Chief Financial Officer Sanjay Baweja to Business Standard.
Read the rest of the Business Standard article here.
5.Now, WhatsApp Funds to Friends
Axis Bank, India’s third-largest private lender, will now allow its customers to send money through several platforms, including WhatsApp, Facebook, Twitter, email and SMS, through mobile-based application Ping Pay.
The government wants to move into a less-cash society and there have been talks regarding this. This is our contribution towards that. As long as your contact is either on Twitter, Facebook, WhatsApp, email or SMS, you could send money to that person.
– said Rajiv Anand, group executive and head (retail banking), Axis Bank, to Business Standard.
Read the rest of the Business Standard article here.
6.Micromax to Invest $400 mn to Pick up Stake in 20 Start-Ups - PTI
Handset vendor Micromax today said it will invest up to $ 400 million this year to pick up stake in at least 20 start-ups across segments like healthcare, entertainment and gaming as part of plans to strengthen its services portfolio.
The Gurgaon-based firm is looking at picking up stake in as many as 20 companies this year across the globe. It has already picked up minority stake in Bengaluru-based health and fitness company ‘HealthifyMe’.
Read the rest of the article here.
7.Sensex Tumbles To 6-month Low
Falling for the third-straight day, the benchmark BSE Sensex on Thursday tumbled 118 points to end at 6-1/2 months low of 26,599.11 on persistent selling by foreign investors over taxation worries and delay in passage of key reform bills.
Read the rest of the article here.
8.RBI Introduces ‘Red Flag’ to Clamp Down on Loan Frauds - IE
With fund diversion by corporates and non-performing assets (NPAs) of banks on the rise, the Reserve Bank of India (RBI) has decided to introduce the concept of a Red Flagged Account (RFA) in a bid to minimise frau risks.
An RFA account is one where a suspicion of fraudulent activity is thrown up by the presence of one or more early warning signals (EWS). These signals in a loan account should immediately put the bank on alert regarding a weakness or wrong doing which may ultimately turn out to be fraudulent.
Read the rest of the Indian Express article here.
9.After 118 years, Godrej Next Bets Big on Realty, Defence – TOI
From making locks and safety equipment to contributing to India’s Mangalyaan space mission, the $4.1-billion Godrej Group has come a long way in its journey to become a diversified conglomerate. The group, which turned 118 on Thursday, is now betting big on real estate and is also eyeing partnerships in defence, a sector which has only recently opened up to the private sector.
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