Chinese shares traded higher on Tuesday, pushing the benchmark Shanghai Composite index to its highest close in nearly 13 months. At the close, the Shanghai Composite index was up 2.39 percent at 3,253.60. It was the strongest daily gain for the index in more than two weeks, and its highest close since March 22, 2018. The gains have been led by a 0.6% increase in average new home prices in China's 70 major cities in March.
Wipro, India’s fourth largest software exporter said it had hired a forensic firm to investigate the cyber attack on its systems, which was first reported by an industry website on Tuesday. The company could be liable for damages if client information is found to be compromised. Cyber security investigation website KrebsOnSecurity had reported on Tuesday morning that hackers had compromised Wipro’s IT systems and launched attacks on the firm’s clients.
The State of Working India (SWI) 2019 report, released on Tuesday by the Azim Premji University said that five million men lost their jobs between 2016 and 2018. The loss of jobs coincided with the announcement of demonetisation in November 2016, although no direct causal relationship could be established. Besides rising unemployment among the higher educated, less educated workers have also seen job losses and reduced work opportunities since 2016, the report said. It added that unemployment has risen steadily post 2011.
The country's largest carmaker Maruti Suzuki India (MSI) on Tuesday said it will continue to manufacture diesel cars that customers can afford, thus ruling out stopping the production of diesel cars completely. The cars are set to get costlier with the upcoming BS-VI emission norms from April next year. The auto major currently sells various diesel-powered cars, including S-Cross, Ciaz, Vitara Brezza, Dzire, Baleno, and Swift. However, the carmaker is expected to discontinue small diesel cars in its portfolio.
Footwear maker Bata has been fined Rs 9,000 by a Chandigarh based consumer forum for asking a customer to pay Rs 3 for a paper bag. However, the customer refused to pay the extra charges for the bag and sought compensation for the deficiency in its services. The regulator said that it is the company’s duty to provide a free paper bag to its customer. The fine includes Rs 1,000 as litigation charges, and Rs 3,000 as compensation for the mental disturbance caused.
FMCG major Nestle will now seek shareholders' approval every five years for royalty payment to its Swiss parent Societe des Produits Nestle SA. Nestle India had earlier proposed royalty payment of 4.5% of the net sales to its licensor. The decision was opposed by several minority shareholders contending that the move was against good corporate governance norms. Nestle India, which follows January-December fiscal calender, had reported a revenue of Rs 11,292.27 crore in 2018.
The Ministry of Corporate Affairs is reportedly setting up a committee to review the Limited Liability Partnership (LLP) framework. The review of LLPs, considered as the lowest compliance hybrid between companies and partnerships, comes following representations about Rs 100 per day penalty for delayed filing and difficulties faced in dissolution. The ministry is likely to ask the Registrar of Companies to consider the office memorandum, which barred LLPs from any manufacturing activity
Banks’ recoveries from insolvency and bankruptcy cases are on the decline. However, fears of losing their companies have pushed more promoters to approach banks with onetime settlements under Sect 12(A) of the IBC. Section 12(A) allows withdrawal of insolvency proceedings against a debtor provided at least 90% of the committee of creditors (CoC) agree. Data from the Insolvency and Bankruptcy Board of India (IBBI) showed that till September, financial creditors could only get 25% of their claims under the IBC.
The US Exim Bank has recalled all loans extended to Jet Airways for buying Boeing aircraft and is likely to take the possession of these aircraft, thus, taking away all the long-haul Boeing 777 aircraft that the airline owns. Sources said that the amount of loan is about Rs 2,000 crore and the Bank is soon going to initiate the process of possessing the aircraft.
Reliance Jio Infocomm has approached the the Department of Telecommunications (DoT) for in-flight connectivity licence, that allows service providers to offer connectivity and data services to Indian and foreign airlines. The government notified rules for in-flight and maritime mobile phone services in December last year. In February this year, Hughes Communications India (HCIL) became the first company to be granted the in-flight and maritime connectivity licence in the country. Recently, the DoT issued a 10-year licence to Bharti Airtel subsidiary Indo Teleports Ltd to provide such services.
HDFC Bank emerged as the country’s top bank as per the Forbes magazines' 'World's Best Bank' survey that it conducted jointly with market research firm Statista. At the second place came the ICICI Bank followed by Singapore-headquartered DBS at the third position was DBS. Kotak Mahindra Bank came fourth in the list. At the fifth position was IDFC Bank. Syndicate Bank was ranked sixth. At the seventh spot was PNB. Allahabad Bank took the eighth spot. Axis was ranked tenth.
Market regulator SEBI has sought clarification from Kotak Asset Management Co. and HDFC Asset Management Co. Ltd regarding delays in repayment to investors of fixed maturity plans (FMP). Kotak AMC last week returned investors lower than the principal amount in Kotak FMP Series 183, which matured on April 10. The company said that it was due to delays in recovering investments made in non-convertible debentures (NCDs) issued by Essel Group companies. HDFC AMC had announced April 11 that it extended the maturity date of FMP Series 35 to April 29, 2020, from April 15, 2019.
Despite the tight liquidity conditions, the Non-banking finance companies (NBFCs) and microfinance companies (MFIs) raised nearly Rs 26,200 crore through securitisation in the year ended March 2019, a growth of 170 percent over FY18, says a report. In the year ended March 2018, NBFC-MFIs have raised Rs 9,700 crore through securitisation. The funding cost, however, increased due to tighter liquidity in the market.
Google and Apple have been asked by the Ministry of Electronics and Information Technology (MeitY) to take down popular Chinese short-video mobile application TikTok from their app stores. The Supreme Court on Monday refused to stay an earlier order by the Madras High Court to ban the app. MeitY’s order will help stop further downloads of the application, but people who have already downloaded it will be able to continue using it on their smartphones.
Khadi industry witnessed a stellar rise last year with sales rising 28% to Rs 3,215 crore in 2018-19. “There has been a very good response across segments be it fabric, readymade garments and even solar vastra”, said Khadi and Village Industries Commission (KVIC) chairman V K Saxena. KVIC reported a 17% jump in production to Rs 1,900 crore in 2018-19. Saxena has set a sales target of over Rs 5,000 crore for the current financial year.