• NATIONAL

Major amendment to insider trading law

The Securities and Exchange Board of India ("Sebi") has amended the Sebi (Prohibition of Insider Trading) Regulations, 1992 ("Insider Trading Regulations") thereby imposing a condition on listed companies to prohibit their directors, officers and designated employees ("Insiders") from any form of trading in derivatives of shares of their employer-companies. Accordingly, Listed companies have to ensure in their internal codes of conduct ("Internal Code") that once an Insider effects a particular type of transaction in shares of the company (say, a 'buy' transaction), he would be barred from entering into a contrary transaction for a period of six months (a 'sell' transaction, in this example). Similarly, if an Insider were to sell shares this month, he would be barred from buying shares for another six months. Therefore, if an Insider were to buy and sell shares within short intervals, his investments would not have been considered to have been made for purely investment purposes.

Internet Service Providers (ISPs) to take Department of Telecommunications (DoT) to court

Internet service providers (ISPs) such as Sify, Aircel and Spectranet are considering legal action against the Department of Telecom's plan to take back radio frequencies allotted to them in 2003 to offer wireless broadband services and auction the same for WiMax service rollouts. The ISPs Association has decided to move court on ground that the DoT's action amounts to an estoppel, or legal bar.

Entitlement of stay on tax-demand in 'high-pitched' tax assessment cases

The Delhi High Court ruled that in the case of an unreasonably 'high-pitched' assessment and tax demand, the assessee would be entitled to a stay on the tax demand. A tax demand is called 'high-pitched' if the income-tax officer estimates the income to be at least more than twice the amount declared by the taxpayer. According to the high court ruling, a demand could be stayed in exceptional circumstances where the assessment order appeared to be unreasonably high-pitched or where genuine hardship was likely to be caused to the assessee.

PILs to the rescue of Mumbai

Two public interest litigations (PILs) have been filed in the Bombay High Court, following the terrorist attacks in Mumbai - one seeking a ban on Google Earth, a technology application which gives access to 'sensitive' Indian defence and civilian establishments, and the other, which includes a 12-point Rs 50-crore plan on how the government can save India from terror attacks with the help of technology.

Rel Infra moves court over Himachal hydel project

Reliance Infrastructure has approached the Himachal Pradesh High Court again challenging the decision of the state government to allot the 960-Mw Jhangi-Thopan hydro-power project to Brakel Corporation, a Dutch firm. This is the second time in less than a year that Reliance has challenged the decision of the government to allot the project to the Dutch firm. Reliance, in its earlier petition, had challenged the decision of the state government alleging that Brakel had provided incorrect facts regarding its financial and technical competence to build the project.

Dated 19.12.2008 -National Investigation Agency Bill passed by Parliament

Both the Houses of the parliament has passed the National Investigation Agency Bill on 18.12. 2008. Earlier the bill was passed along with minor amendments in Loksabha on 17. 12. 2008. The bills aims at setting up an Agency at the Central level for investigation of offences related to terrorism and certain other Acts, which have national ramifications.

Dated 19.12.2008 - The Unlawful Activities (Prevention) Amendment Bill, 2008 passed by Parliament

The Unlawful Activities (Prevention) Amendment Bill, 2008 passed by both the houses of Parliament on 18.12.2008. Earlier the bill was passed along with minor amendments in Lok Sabha on 17. 12. 2008. The bills makes amendment ot the Unlawful Activities (Prevention) Act, 1967 and aims at covering various facets of terrorism and terrorist activities, including financing of terrorism, and to make further provisions with the aim of strengthening the arrangements for speedy investigation, prosecution and trial of cases.

Dated 19.12.2008 - The Code of Criminal Procedure (Amendment) Bill, 2008 Passed

The Code of Criminal Procedure (Amendment) Bill, 2008 was passed by Rajya Sabha on 18.12.2008. The Bill No. LXXX of 2006 was introduced in Rajya Sabha on 23.08.2006 and was pending since then. The Bill amends the Code of Criminal Procedure, 1973 with the intention to include measures for preventing the growing tendency of witnesses being induced or threatened to turn hostile by the accused parties who are influential, rich and powerful and to fortify the rights and compensation of the victims of crime.

Dated 19.12.2008 - The Central Industrial Security Force (Amendment) Bill, 2008 Introduced

The Central Industrial Security Force (Amendment) Bill, 2008 is introduced in Rajya Sabha on 18.12.2008 with an intention to provide CISF cover to Pvt. Sector.

• INTERNATIONAL

Indian migrants in UK win court battle

Thousands of Indian and other non-European Union professionals have won a major legal battle in the UK with the High Court allowing them to challenge retrospective changes to immigration rules that affected their status here adversely. Reportedly, the legal challenge was against the Home Office forcing skilled migrants to extend their visas to five years when they were originally promised permanent settlement in Britain after four years.

PartyGaming's Founder pleads guilty to illegal internet gambling

Party Gaming Plc's founder and former director pleaded guilty to illegal Internet gambling and agreed to cooperate with the US Justice Department in an investigation of the Web-based gaming company. The plea was entered to one count of online gambling in violation of the Wire Act.

Ecuador court may fine Chevron $27bn for environmental pollution

An environmental expert told a court in Ecuador that U.S. oil company Chevron Corp must be made to pay $27 billion in compensation for environmental damage in the country. The lawsuit, which peasants and Indians in Ecuador brought, contends that Chevron polluted the jungle and damaged their health by dumping 18 billion gallons (68 billion liters) of contaminated water.