• DIRECTORATE GENERAL OF FOREIGN TRADE

Policy Circular No. 25(RE-08)/2004-2009 Dated 08.08.2008 -Guidelines for import of Rough Marble Blocks/Slabs for the year 2008-09

In order to establish the eligibility of the unit having an indigenous sales turnover of marble slabs/tiles of Rs.1 crore and above in each of the three financial years, it has been mandated that applicants are required to furnish a copy of Chartered Accountant certified statement of accounts, filed along with balance sheet to the income tax authorities for each of the years i.e. 2004-05, 2005-06 and 2006-07 in addition of requirements prescribed earlier.

Policy Circular No. 26(RE-08)/2004-2009 Dated 11.08.2008 -Modification in IEC Number

It has been clarified that IEC issued to the firm shall be cancelled and archived, if that firm is an 100% EOU having IEC Number issued by the concerned Development Commissioner of a Special Economic Zone, de-bonds and converts into a Domestic Tariff Area (DTA) unit. A fresh IEC will be issued to the firm Against the same PAN Number by concerned RA and subsequent modifications/amendments to the new IEC will be carried out by the concerned RA.

• SECURITIES AND EXCHANGE BOARD OF INDIA

Derivatives Circular No. SEBI/DNPD/Cir- 39/2008 Dated 08.08.2008 - Extending calendar spread treatment till expiry of the near month contract

As a risk containment measure for Exchange traded equity derivatives SEBI has decided to grant calendar spread treatment till the expiry of the near month contract on Exchange traded equity derivatives. As calendar spread is treated as a naked position in the far month contract three trading days prior to the expiry of the near month contract and removal of the calendar spread treatment three trading days preceding the expiry of the near month contract leads to a sudden increase in margins without any corresponding increase in the risk of the spread position.

Notification No. LAD-NRO/GN/2008/18/134585 Dated 08.08.2008 - Securities and Exchange Board of India Depositories and Participants Second Amendment Regulation, 2008

SEBI has amended Securities and Exchange Board of India (Depositories and Participants) Regulations, 1996 vide Securities and Exchange Board of India Depositories and Participants Second Amendment Regulation, 2008, making it mandatory for the depository to have a mechanism ensuring that the interests of the persons buying and selling securities held in the depository are adequately protected.

Notification No. LAD-NRO/GN/2008/20/134766 Dated 11.08.2008 -Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Amendment) Regulation, 2008

Securities And Exchange Board of India has amended Securities and Exchange Board of India (Stock Brokers And Sub- Brokers) (Amendment) Regulations, 2008 inserting provisions relating to currency derivatives segment of an exchange, providing the procedure for Registration of Trading And Clearing Members Of Currency Derivatives Segment.

• PRESS INFORMATION BUREAU

Dated 18.08.2008 -Draft Guidelines for UDF at Airports formulated

The Ministry of Civil Aviation has formulated draft guideline for User Development Fee (UDF) at Airports, which is proposed to be finalized after detailed discussions with all stakeholders. The guidelines laid down the criteria to determine the level of project cost, to estimate the cost of the capital employed and revenue of the company, the manner in which the UDF has been calculated and the expenditure that would be admissible as a pass through into the tariff.

• RESERVE BANK OF INDIA

Press Release No. 2008-2009/199 Dated 14.08.2008-RBI moving towards XBRL Standards RBI reduces the number of returns to 223 from 291

Online Returns Filing System (ORFS) has been implemented by The Reserve Bank of India for submission of certain important returns by commercial banks to the Reserve Bank. Through this The Reserve Bank is moving towards the XBRL (extensible Business Reporting Language) standards under a high level Steering Committee chaired by the Deputy Governor, Shri V. Leeladhar whereby the Reserve Bank will, in due course, adopt the international standards for data sharing among business entities. RBI has initiated an exercise of rationalisation of returns thus reducing number of returns to be submitted by Scheduled Commercial Banks (excluding RRBs) to 223 from 291

Press Release No. 2008-2009/195 Dated 13.08.2008 -RBI Places Reports of three working Groups on its website for comments

Reserve Bank of India has released reports of three Working Groups for public comments. Reports released constitute

a. Defraying Costs of ICT Solutions for Regional Rural Banks (RRBs) - Working Group on Defraying Costs of ICT Solutions for Regional Rural Banks was constituted to work out modalities and recommend ways to provide financial assistance to RRBs for defraying a part of their initial cost in implementing IT based solutions.

b. Technology Upgradation of Regional Rural Banks - Working Group on Technology Upgradation of RRBs was set up to prepare RRBs to adopt appropriate technology and to prepare roadmap to migrate to Core Banking Solutions (CBS) for better customer service and it has set target for all RRBs to move towards CBS and all RRB branches opened after September 2009 to be CBS compliant from day one.

c. IT support for Urban Co-operative Banks -Working Group on IT Support for Urban Cooperative Banks was set up to examine various areas where IT support could be provided to UCBs by the Reserve Bank.

Circular No. UBD. PCB. Cir . No.6/12.05.000 /2008-09 Dated 12.08.2008-RBI cautions Public against Fictitious offers of Remitting cheap funds from abroad

RBI clarified To All Primary (Urban) Co-op. Banks that remittances in any form towards participation in lottery schemes is prohibited under Foreign Exchange Management Act, 1999 and these restrictions are also applicable to remittances for participation in lottery-like schemes functioning under different names, such as money circulation scheme or remittances for the purpose of securing prize money/awards etc. Banks are asked to bring the contents of the press release to the notice of their customers.

A. P. (DIR Series) Circular No. 07 Dated 13.08.2008 -Overseas Direct Investment by Registered Trust /Society

The Reserve Bank has decided to allow Registered Trusts and Societies which have set up hospital(s) in India to make investment in the same sector(s) in a Joint Venture or Wholly Owned Subsidiary outside India, with the prior approval of the Reserve Bank.

A. P. (DIR Series) Circular No. 06 Dated 13.08.2008 -Export of Goods and Services- Direct Dispatch of Shipping Documents Realisation and Repatriation of Export Proceeds - Liberalisation

The Reserve Bank with a view to liberalise the facilities available to the exporters and to simplify the procedure, has decided to allow AD Category - I banks, to regularize cases of dispatch of shipping documents by the exporter direct to the consignee or his agent resident in the country of the final destination of goods, up to USD 1 million or its equivalent, per export shipment, subject to the conditions that the export proceeds have been realized in full; that the exporter is a regular customer of AD Category - I bank for a period of at least six months; that the exporter's account with the AD Category - I bank is fully compliant with Reserve Bank's extant KYC / AML guidelines and that the AD Category - I bank is satisfied about the bonafides of the transaction.

• Indirect taxation

  CUSTOMS

CBEC Customs Non-Tariff Notification No. 100/2008-Customs (N.T.) Dated 13.08.2008 -Customs Tariff [Determination of Origin of Products under the Duty Free Tariff Preference Scheme for Least Developed Countries] Rules, 2008

The Central Government has notified the Customs Tariff [Determination of Origin of Products under the Duty Free Tariff Preference Scheme for Least Developed Countries] Rules, 2008. Accordingly, No product shall be deemed to be originating in the beneficiary country unless the conditions specified in these rules are complied with in relation to such products, to the satisfaction of the Government Authority authorised by the exporting beneficiary country to issue the Certificate of Origin under the Duty Free Tariff Preference Scheme for Least Developed Countries (hereinafter referred to as the said Scheme).

CBEC Customs Notification No. 96/2008 Dated 13.08.2008 - Exemption to the specified goods under section 25(1) of the Customs Act, 1962

The Central Government has exempted goods falling under the First Schedule to the Customs Tariff Act, 1975 other than those specified in the Appendix I and Appendix II appended to the present notification from so much of the duty of customs as is in excess of 80 per cent of the applied rate of duty. Further, exemption is also granted to all goods of the description as specified in column (3) of the Table in Appendix I and falling under the Chapter, Heading No. or Sub-heading No. of the First Schedule to the Customs Tariff Act, 1975 specified in the corresponding entry in column (2) of the said Table, from so much of that portion of the applied rate of duty of customs leviable as is specified in the corresponding entry in column (4) of the said Table; when imported into India from a country listed in the Schedule to this notification.

• TELECOM REGULATORY AUTHORITY OF INDIA

Press Release No. 70/2008 Dated 18.08.2008- Restrictions on Internet telephony removed by TRAI's recommendations

Recommendation on issues related to Internet Telephony has been issued by Telecom Regulatory Authority of India (TRAI) keeping in mind rapid technological developments, requirement of better quality of voice communications, enormous increase in data traffic in international scenario, increasing acceptability of IP networks, adoptability of NGN by many countries, and global liberal regulatory regime for Internet telephony.

These recommendations are a step forward towards developing supportive regulatory environment, encouraging technological advancements, enabling convergence, making unrestricted Internet telephony available and boosting of broadband penetration. It is envisaged that the customers will ultimately benefit from cost effective and innovative Internet Telephony service. The business model of ISPs will improve without impacting access providers due to increase in the telephony call volumes.