• NATIONAL

USE clocked highest volumes on debut

The country's newest bourse, United Stock Exchange cracks Rs 45,485 crore business in four currency pairs, taking total volumes on the exchange-traded currency futures market to a record Rs 87,389 crore on the first day of operations. Against this, the combined volume of stock and index futures was a little over Rs 46,000 crore.

IRDA - Insurance firms to face tough IPO norms

Authority is planning to introduce stringent disclosure norms for insurance companies who want to be listed at stock exchanges.The regulator will make it mandatory to maintain standardisation in valuations to ensure better comparison among different insurance firms.

Debt-laden airlines gets a breather from RBI

The Reserve Bank of India has said that restructured loans of airlines will no longer be treated as non-performing assets in the wake of troubling aviation sector finding it increasingly difficult to pay back loans taken from banks.

FII's powers Sensex past psychological 20 K mark.

Sensex has achieved the 20K milestone again, last seen in the year 2008 when the global meltdown began, as a result of massive infusion of money by foreign funds whereas domestic institutions chose to remain net sellers.

RBI eases rules for banks' exposure to NPCI, USE

RBI ruled that banks' investments in the National Payments Corporation of India (NPCI) and the United Stock Exchange of India (USE) will not be counted for calculating their capital markets exposure as the two institutions are crucial for financial infrastructure building.

RBI,SEBI in-principle nod to options in currency derivatives segment.

The Reserve Bank of India and SEBI have given their in-principle approval to stock exchanges to launch options in currency derivatives market.

RBI Notification regarding 'repayment of gold loans'.

The Reserve Bank of India has decided to permit bullet repayment of gold loans up to Rupees one lakh as an additional option.Moreover, Regional Rural Banks are permitted to lay down policies with the approval of their Board subject to the guidelines provided by RBI.

SC - Divorce can't be purchased

The Supreme Court has ruled that divorce cannot be purchased by a spouse by paying a lumpsum amount to the other party, further courts cannot pass any decree in violation of the Hindu Marriages Act. A Hindu marriage can be dissolved only on the grounds stated under section 13 of the act.

DIPP in favour of FDI in prohibitive sectors

The Department of Industrial Policy and Promotion has opposed proposed government policy to keep foreign players out of sectors such as multi-brand retail, atomic energy, real estate, chit funds and lottery where FDI is not allowed

CCI ruled against DLF in Gurgaon's residential apartment case.

The Competition Commission of India issued an interim order which says that the country's largest property developer DLF had been abusing its dominant market position as it failed to deliver the residential projects on time and further added "discriminatory clauses" in the apartment agreements.

HC to AAI - Appoint selected Candidates

The Delhi High Court has directed Airport Authority of India to issue letter of appointment to candidates selected for various posts in december, 2009 but were later rejected for "no valid reasons".

HC rejects BMS plea on sale of hepatitis B generic in India

The Delhi High Court has turned down Bristol-Myers request to temporarily hold Ranbaxy from selling generic version of its hepatitis B drug in India.

Corporator is a Public Servant, rules Bombay HC

The Bombay High Court held that Muncipal corporators also come under the definition of 'public servant' as defined under the Prevention of Corruption Act (PCRA) and are liable to be prosecuted. The judgement came on the back of an FIR lodged against a civic official for allegedly demanding bribe.

SEBI rejects MCX-SX's bourse plea

The Security and Exchange Board of India rejected MCX-SX application for a full-fledged exchange to trade in equities and debt citing shareholder's norms violation and dishonesty of promoters i.e Multi Commodity Exchange (MCX) and group company FTIL.

FII's Investment norms relaxed by the government

The Finance Ministry has raised the ceiling for investment by foreign portfolio investors in government securities from $5b to $10b and corporate bonds from $15b to $20b to make India an attractive investment destination.

Orissa Government to move SC in Posco case.

The State of Orissa has decided to approach Supreme Court via filing Special Leave Petition on the issue of a prospected license in favour of Posco India to set up a large scale integrated steel plant in Orissa.

Cabinet approval for introducing National Identification Authority of India Bill, 2010

The Cabinet has approved introduction of National Identification Authority of India Bill, 2010 in Parliament. The Bill proposes to constitute a statutory authority for issuing UID numbers & lay down the powers and functions of the authority.

Customs authorities to strictly enforce Import Regulations on Satellite Phones at Airports

Finance Ministry has empowered customs authorities to seize satellite phones imported as baggage without the permission of the Department of Telecommunications. The passengers bringing satellite phones as part of baggage will have to declare them to the Customs on arrival.

RBI asks states to halt new business opportunity to private banks

The Reserve Bank of India has written letters to atleast four states not to give new business to private banks as many industry insiders believe that they have failed to meet priority sector lending goals and fund government-sponsored schemes designed to achieve financial inclusiveness.

HC summons AIIMS Chief for not providing space

The Delhi High Court summoned the director of AIIMS as the institutuion held back land allotted to a trust. The Court held that if the space can be given to shops,it can be used for charitable purpose, further directed Centre to find space for trust to operate within AIIMS premises.

Supreme Court says 'No' to stay Bombay High Court's Verdict in Vodafone Case.

SC refused to give immediate relief to Vodafone in its petition challenging Bombay HC order allowing Govt to tax Company's deal with Hutch. Court has issued Notices to the Tax Authorities directing them to decide on liabilities of Vodafone within 4 weeks. Next date of hearing is 25th Oct 2010.

Last Date of filing Income Tax Return in Audit Case extended to 15.10.2010

returns of income for the Assessment Year 2010-11 from 30.09.2010 to 15th October 2010. Accordingly the due date for Tax Audit report under section 44AB of the Income Tax Act has also been extended to 15th October 2010.

HC - Junior cops can't impound cars

The Delhi High Court reminded Delhi Police that only officers of the rank of ACP are authorised as per law to impound vehicles. The officers below the rank of ACP are only allowed to issue challans to communters found violating traffic rules.

FM unveils Budget Manual of Union Govt

The Union Finance Minister, Pranab Mukherjee released the first Budget Manual of the Union Government which aims to bring together the entire Budget related activities and procedures,hitherto available in a dispersed manner in the form of executive instructions and guidelines.

MCX-SX to challenge SEBI's order

The MCX Stock exchange is seeking legal opinian on whether to approach high court or the Securities Appellate Tribunal (SAL) to challenge SEBI's order which rejected its application to commence trading in other segments like equity or debt.

RBI allows corporates to act as BC's, restricts NBFC's.

The Reserve Bank of India has allowed 'for profit' companies to become business correspondents (BC's) but barred non-banking finance companies from it. Hence, the corporates can now act as retail agents of banks offering banking services at locations other than bank branches or ATM's.

HC orders Sterlite Industries to close down TN plant

In a major setback to the Vedanta group, the Madras High Court has ordered Sterlite Industries to close down its copper smelting plant in Tamilnadu for violation of prescribed environment norms and causing air & water pollution in the region.

IRDA move aims to ensure local control of life insurance cos

The Insurance & Regulatory Development Authority emphasised on equal dilution of stake by all shareholders in an IPO of insurance company so as to ensure control of local promoters over life insurers operating in India.

• INTERNATIONAL NEWS

Canadian International Trade Tribunal Initiates Inquiry-Steel Grating From the People's Republic of China

The Canadian International Trade Tribunal on 21st September, 2010 initiated a preliminary injury inquiry into a complaint by Fisher & Ludlow, of Burlington, Ontario, that it has suffered injury as a result of the dumping and subsidizing of steel grating from the People's Republic of China. The Tribunal's inquiry is conducted pursuant to the Special Import Measures Act as a result of the initiation of a dumping and subsidizing investigation by the Canada Border Services Agency (CBSA). On 19th November, 2010, the Tribunal will determine whether there is a reasonable indication that the alleged dumping and subsidizing have injured the domestic industry. If so, the CBSA will continue its investigation and, by 20th December, 2010, will issue a preliminary determination. If this preliminary determination indicates that there has been dumping or subsidizing, the CBSA will then continue its investigation and, concurrently, the Tribunal will initiate a final injury inquiry. Anti-dumping duties will be imposed only if the Tribunal finds that dumped or subsidized products are injuring or threatening to injure the Canadian producers.

Zambian tax revenue as a percentage of GDP up to 18 per cent in 3 years

Zambia's total tax revenue as a percentage of Gross Domestic Product is forecast to grow to 18 per cent in 3 years on account of increased copper prices on the international market. Mr Likolo Ndalamei secretary to the treasury said in a statement in Lusaka that Zambia's total tax revenue as a percentage of GDP is likely to grow to 18 per cent in 2013 from the initial 15.9 percent forecast in 2010 because of the boom in copper prices on the international market. In fiscal trends, strategy and forecast for 2011 national Budget and 2011 to 2013 Medium Term Expenditure Framework mining taxes were projected to increase by 71.4 per cent from 0.7 per cent of GDP in 2010 to 1.2 per cent in 2013. The growth in mining revenues is premised on a projected increase in production and the continuance of favorable copper prices over the medium term. The Government expects Value Added Tax collections to increase by 69.2 per cent by 2013 compared to 2010 levels and remain constant at around 4.5 per cent of GDP over the MTEF. The increase is premised on administrative reforms to enhance tax compliance that are currently being implemented by the Zambia Revenue Authority. Excise duties were projected to increase from 1.9 per cent of GDP in 2010 to 2.1 per cent in 2013 while customs duty is forecast to increase from 1.7 per cent of GDP in 2010 to 2 per cent in 2013. The increases were as a result of the improved economic activity over the medium term. Preliminary indications were that grants from donors as a percentage of GDP would ease to 2.1 per cent by 2013 from 3.3 per cent in 2010.

Fla. GOP donors appeal ruling on Crist refunds

2010-09-27 :Republicans aren't giving up their quest for refunds of donations they gave Gov. Charlie Crist's U.S. Senate campaign before he abandoned the GOP to run as an independent.The attorney for two GOP donors said that he will appeal a Naples judge's denial last week of class-action status in the case. The ruling means each contributor to the Crist campaign would have to seek a refund through individual court action.

Some Republicans contend Crist should return at least $7.5 million given to his Senate bid before he left the GOP and became an independent last spring. Crist's attorneys say donors have many reasons besides party affiliation to contribute money.An appeals court in Tallahassee is being asked to prevent the Crist campaign from spending the money in question.

Cyber Law

US would make Internet wiretaps easier

The Obama administration is pushing to make it easier for the government to tap into internet and e-mail communications. But the plan has already drawn condemnation from privacy groups and communications firms may be wary of its costs and scope.

Frustrated by sophisticated and often encrypted phone and e-mail technologies, U.S. officials say that law enforcement needs to improve its ability to eavesdrop on conversations involving terrorism, crimes or other public safety issues.

The new regulations that would be sent to Congress next year would affect American and foreign companies that provide communications services inside the U.S. It would require service providers to make the plain text of encrypted conversations - over the phone, computer or e-mail - readily available to law enforcement, according to federal officials and analysts.

Civil rights and privacy groups were quick to condemn the plan, warning that the administration faces an uphill battle.

"This is a shortsighted and ill-conceived power grab by some in the administration," said Marc Rotenberg, executive director of the Washington-based Electronic Privacy Information Center. "The balance has swung radically toward enhanced law enforcement powers. For them to argue that it's still not enough is just unbelievable. It's breathtaking in its hubris."

He said that over the past 15 years - particularly since the Sept. 11, 2001, terror attacks - the standards for warrants have been lowered. And he said law enforcement has many new technologies, ranging from biometric tracking to DNA databases, to enhance it's information gathering.

Christopher Calabrese, legislative counsel for the American Civil Liberties Union, said that mandating that all communications software be accessible to the government is a "huge privacy invasion."

One senior law enforcement official said it is premature to conclude that the changes would erode computer security or enable identity theft. The official, who spoke on condition of anonymity in order to discuss ongoing deliberations, said it would depend on how communications companies enact the requirements, if approved.

The official added that while law enforcement agencies have many tools to battle crime, there often is no substitute for capturing an actual conversation between two terrorists or criminals.

Pfizer stock sold, Roberts to hear company's cases

John Roberts ,Chief Justice, has sold his shares of Pfizer Inc., a move that allows him to participate in two pending Supreme Court cases involving the pharmaceutical maker.

Federal law requires judges to sit out cases if they own even a single share of stock in any of the parties to a lawsuit. In the past, Roberts has not taken part in cases involving Pfizer because he owned less than $15,000 of the company's stock, according to his latest report of personal finances, which covered 2009.

But when the court announced that it had accepted an appeal from several drug makers, including Pfizer, in a dispute over prices charged public hospitals, there was no indication that Roberts would step down from hearing the case.Supreme Court spokeswoman Kathy Arberg confirmed that the chief justice sold his Pfizer shares in August.

As a result, he also will sit with his colleagues when they hear arguments Oct. 12 in another case involving childhood vaccines. Roberts played no role when the court decided in March to hear the case.

Arberg offered no explanation for Roberts' decision to sell the stock now, but it appears likely that Justice Elena Kagan's need to sit out the two cases played a role in Roberts' timing.

Kagan, who joined the court in August, owns no stock in Pfizer, but was involved in the two cases at some point during her time at the Justice Department as President Barack Obama's solicitor general.

Having one justice out of a case sets up the undesirable possibility of the rest of the court dividing 4-4. In such cases, the lower court ruling stands, but the Supreme Court sets no precedent to guide lower courts. In essence, it's a waste of time for the court to have considered the case.

But, meaningless as it might be, a 4-4 outcome is preferable to the prospect of a 4-3 decision, which could result if two justices don't take part in a case. In that instance, less than a majority of the nine-member court could render an important decision. On at least one other occasion, Roberts sold stock to avoid having a seven-justice court hear a case.

Sheikh Jarrah Palestinians fear new evictions

Supreme Court ruling reverts more land to Jewish hands. Right-wing activist says that they can expect building now, after a decade.

Three Arab families in east Jerusalem were terrified that they might be the next group of families living on the streets of the Sheikh Jarrah neighborhood once their lease ends .After a Supreme Court decision termined that dozens of houses in Sheikh Jarrah would revert back to Jewish ownership. The latest crisis in the ongoing dispute between Jews and Palestinians over ownership of lands in the Sheikh Jarrah neighborhood involves a 10-dunam tract of land on the west side of Nablus Road in east Jerusalem. The dispute, which has led to the uprooting of three Palestinian families and their replacement by Jewish right-wing nationalists, has focused on the eastern side of the road, in the area known as Shimon Hatzadik, and been the scene of weekly protests by leftwing and human rights activists against the forced removal of the families and the threatened displacement of many more. However, the High Court of Justice upheld a lower court ruling determining that a parcel of land on the western side of Nablus Road also belonged to Jews who, according to the ruling, purchased it in 1892. The panel of three Supreme Court Justices, including Miriam Naor, Esther Hayut and Yoram Danziger, upheld the lower ruling declaring that the land sandwiched between Nablus Road and Highway 1 belonged to Jewish, rather than Palestinian, owners, paving the way for the gradual expulsion of the 30 Palestinian families currently living there.

Residents explore legal options in toxic-emissions case

Tonawanda Coke plant met privately with a team of environmental lawyers to discuss possible lawsuits against the operators of the River Road plant in the Town of Tonawanda where Residents lived in areas affected by emissions.

In the exploratory meeting held in Buffalo's Northwest Community Center came on the heels of a class-action lawsuit that was filed in State Supreme Court against Tonawanda Coke Corp. owner James D. Crane and the plant's environmental manager, Mark L. Kamholz.

"The purpose of the meeting is to inform people about their potential legal rights, the nature of the environmental impact that's going on in the community, discuss with them any questions and let them know their options," said attorney Michael Gordon of the law firm Gordon&Gordon in Springfield, N. J.

Gordon said his legal team has expertise in successfully litigating environmental- pollution cases against multinational corporations. The local law firm Collins & Brown is the lead counsel representing citizens in the lawsuit. Besides Gordon & Gordon, there are two other New Jersey law firms assisting: Wilentz Goldman & Spitzer, and Hobbie, Corrigan, Bertucio & Tashjy.

Residents of areas affected by the plant's emissions - Tonawanda town and city; Kenmore; northwest Buffalo, including Riverside; and Grand Island - have long complained about toxins from the facility and have alleged negative health effects as a result.

Denise Snyder of Grayton Road, Town of Tonawanda, attended the meeting with the environmental lawyers to learn her options. Snyder said that there is a cluster of cancer-related illnesses among neighbors on her street that she attributes to the chemicals that have been illegally emitted from the plant over the years.

The reason for the request, said Charles H. Cobb of Collins & Brown, was so attorney-client privilege would not be compromised.

First Department Kicks Off Hearings on Civil Legal Services for Poor

Judges told a hearing on improving funding for civil legal services yesterday that self-represented parties-now numbering more than 2 million a year-are bogging down the state court system and putting judges in an uncomfortable position as they strive to remain neutral while insuring that litigants get their day in court.

Judge Oing was one of the witnesses at the first of four hearings organized by Chief Judge Jonathan Lippman as part of an effort to build his case for additional funding for civil legal services for the poor. The Office of Court Administration estimates that only one in five people who need legal assistance get it. Officials speculate that the problem has gotten worse during the recession.

Presiding Justice Luis A. Gonzalez of the Appellate Division, First Department (See Profile), said the shortage of civil legal services lawyers creates an "uneven" situation in which litigants who can afford counsel have the advantage over their adversaries.

"Sometimes in order to balance the scales of justice, the judge gets involved, sometimes improperly," said Justice Gonzalez, who conducted the hearing with Judge Lippman, Chief Administrative Judge Ann Pfau and Stephen P. Younger, president of the New York State Bar Association.

With too few attorneys available to provide low-cost representation, the poor often must navigate complicated rules in litigation over housing, foreclosures, consumer credit, child custody disputes and other civil matters.

But the chief judge also said he takes a dim view of judges who help unrepresented litigants by, for instance, prompting them to get evidence into the record when they would not otherwise know how to do so.

SEC Adopts Rule to Register Municipal Advisors

Securities and Exchange Commission (the "SEC") has adopted an interim final temporary rule under the Securities Exchange Act of 1934 ("Exchange Act") in order to permit municipal advisors to temporarily satisfy their registration requirement under the Dodd-Frank Wall Street Reform and Consumer Protection Act ("Dodd-Frank Act"). The Dodd-Frank Act amended Section 15B(a) of the Exchange Act to make it unlawful for municipal advisors to provide

certain advice or solicit municipal entities or certain other persons without registering with the SEC. The registration requirement for municipal advisors becomes effective on Oct.1, 2010.Section 15B(e) of the Exchange Act, as amended by the Dodd-Frank Act, defines the term" municipal advisor" to mean a person (who is not a municipal entity1 or an employee of amunicipal entity) (1) who provides advice to or on behalf of a municipal entity or obligatedperson2 with respect to municipal financial products3 or the issuance of municipal securities, including advice with respect to the structure, timing, terms, and other similar matters concerning such financial products or issues, or (2) who undertakes a solicitation of a municipal entity. The definition specifically includes financial advisors, guaranteed investment contract brokers, third-party marketers, placement agents, solicitors, finders, and swap advisors that provide municipal advisory services. The definition of "municipal advisor" explicitly excludesa broker, dealer, or municipal securities dealer serving as an underwriter, as well as attorneys offering legal advice or providing services that are of a traditional legal nature and engineers providing engineering advice. There is also an exclusion for "any investment adviser registered under the Investment Advisers Act of 1940, or persons associated with such investment advisers who are providing investment advice." The SEC interprets this exclusion to mean that a registered investment adviser or an associated person of a registered investment adviser is excluded from the definition of "municipal advisor" if the investment adviser or associated person of the adviser provides municipal advisory services, so long as those services are investment advice for purposes of the Investment Advisers Act of 1940 ("Advisers Act").