• RESERVE BANK OF INDIA

RBI UBD Circular No. UBD.BPD.(PCB). Cir. No 4 /16.12.000/2010-11 dated 11.10.2010

The Reserve Bank of India has issued guidelines on Trading of Currency Options on Recognised Stock / New Exchanges to allow AD Category - I Urban Cooperative Banks, fulfilling the norms for AD - I license to participate in the exchange traded currency option market of a designated exchange recognized by SEBI, only as clients, subject to RBI (Foreign Exchange Department) guidelines. Participation will be allowed only for hedging underlying FOREX exposure arising from customer transactions.

RBI DBOD Notification No. DBOD.FID. FIC.No. /01.02.00 /2010-11 dated 14.10.2010

The Reserve Bank of India has issued "Prudential Guidelines on Restructuring of Advances" to be applicable to the select All-India Financial Institutions (AIFI's). However, certain activities are generally not undertaken by Financial Institutions, such as extending working capital, overdrafts and personal loans, etc. Guidelines relating to such activities shall not be applicable to the AIFI's.

RBI Press Release No. 2010-2011/528 dated 14.10.2010

The Reserve Bank of India has divested its 71.5% stake amounting to Rs 1,430 crore in National Bank for Agriculture and Rural Development to the government, bringing its share down to 1% in NABARD. The Government of India now holds 99 per cent of the stake.

RBI Circular No. DPSS (CO) EPPD No./863/04.03.01/2010-11 dated 14.10.2010

The Reserve Bank of India has issued "Procedural guidelines related to electronic payment products (RTGS / NEFT / NECS / ECS Variants) for processing inward transactions" to curtail delays in transactions, by fixing remitter's responsibility to provide correct inputs in the payment instructions, particularly beneficiary account number information. Banks are required to put suitable disclaimers on the funds transfer screens in the online/ internet banking platform, advising customers that credit will be effected based solely on the beneficiary account number information and the beneficiary name particulars will not be used.

RBI A.P. DIR (Series) Circular No.15 dated 13.10.2010

Export-Import Bank of India (Exim Bank) has concluded an Agreement dated February 09, 2010 with the Government of the Islamic Republic of Mauritania, making available to the latter, a Line of Credit (LOC) of USD 21.80 million, for financing eligible goods and services including consultancy services from India for the purpose of financing (i) Potable drinking water project (USD 6.80 million); and (ii) Agriculture development project (USD 15 million) in Mauritania. The goods and services including consultancy services from India for exports under this Agreement are those which are eligible for export under the Foreign Trade Policy of the Government of India and whose purchase may be agreed to be financed by the Exim Bank under this Agreement.

• SECURITIES EXCHANGE BOARD OF INDIA

SEBI Circular No. CIR/MRD/DP/34/2010 dated 14.10.2010

The Securities & Exchange Board of India has issued a circular on eligibility norms for companies to shift from TTFS to Rolling Settlement. A listed company needs to obtain a certificate from Registrar and Transfer Agent (RTA) about the fact that at least 50% of its non- promoter's holding as per clause 35 of Listing Agreement is in dematerialized mode, and thereafter submit it to the stock exchange(s) to become eligible to shift from TTFS to normal Rolling Settlement.

SEBI Circular No. CIR/CFD/DIL/9/2010 dated 13.10.2010

The Securities & Exchange Board of India has released a circular titled "Filing Offer Documents under SEBI (Issue of Capital and Disclosure Requirements)" which advises merchant bankers that in case of public issues of size upto Rs 100 crore, five copies of draft offer documents should be filed with the concerned regional office of the Board.

• MINISTRY OF FINANCE

CBDT 

Notification No. 77/2010 dated 11.10.2010

In exercise of the powers conferred by section 80CCF of the Income Tax Act, 1961,the Central Government has notified deduction in respect of subscription to long-term infrastructure bonds subject to the following conditions : Name of the bond, issuer of the bond, limit on issuance, tenure of the bond & Permanent Account Number (PAN), yield of the bond, end-use of proceeds and reporting or monitoring mechanism needs to be furnished before issuance of such bonds.

Service Tax

Notification No. 49/2010

In exercise of the powers conferred by sub-sections (1) and (2) of section 94 of the Finance Act, 1994, the Central Government has amended the Service Tax Rules, 1994 and replaced it with Service Tax (Second Amendment) Rules, 2010 which shall come into force on the date of their publication in the Official Gazette.

• Insurance Regulatory and Development Authority

Circular No. IRDA/CAGTS/CIR/LCE/165/10/2010 dated 14.10.2010

The Insurance Regulatory Development Authority has allowed granting corporate agency licence to the Department of Posts (DoP) to distribute insurance products across India for promotion of financial inclusion. Each 'Circle of India Post' that has obtained a license to act as a Corporate Agent of Insurance Companies is allowed to tie up with 2 Non Life insurance companies, 2 Life Insurance companies, one Agricultural Insurance Company and a stand alone Health Insurance Company registered with IRDA. Each 'Circle of India post' should be treated as a separate unit in order to grant independent corporate agent licence with various insurers.

• TELECOM REGULATORY AUTHORITY OF INDIA

TRAI Press Release No. 55/2010 dated 13.10.2010 - Consultation Paper on "Certain Issues relating to Telecom Tariffs"

In the context of representations from consumers and their representatives seeking further effective transparency measures relating to the provision of telecommunication services and tariff offers, TRAI has formulated a Consultation Paper which is available on TRAI's website www.trai.gov.in. This Consultation Paper brings out various issues that have a bearing on telecom tariff offers. Stakeholders are requested to offer their comments by 15th November, 2010 and counter comments, if any, by 25th November, 2010.

• PRESS INFORMATION BUREAU

Dated 15.10.2010 All India Bar Examination Mandatory for all Law Graduates passed in the academic year 2009-10 to Practice in India

The Bar Council of India (BCI) has made All India Bar Examination (AIBE) mandatory for all law graduates who have passed in the academic year 2009-10 to practice law in India. The BCI will conduct the AIBE in nine languages across 27 cities in India on December 5,2010.

Dated 13.10.2010 The Indian Boilers (Amendment) Act, 2007 Simplified and will lead to benefit Broad Spectrum of Industries

The Indian Boilers (amendment) Act, 2007 which was passed in December, 2007, has introduced improvements in the provisions of the law to enhance safety norms, to ensure uniformity in standards of inspection, expediting inspections and reducing bureaucratic delays by decentralization of inspection of boilers during their manufacture, erection and use, by allowing inspection and certification by the independent inspection authorities.