• TELECOM REGULATORY AUTHORITY OF INDIA

Press Release No. 39/2009 Dated 27.04.2009 - TRAI directs Access Service Providers on provision of Value Added Services for enhanced transparency with regard to taking explicit consent of consumers and for preventing accidental subscription to value added services

The Telecom Regulatory Authority of India (TRAI) convey to the customer in writing or through SMS or FAX or e-mail, all the details of the offer of value added service, including the terms and conditions and charges for provision of the service and also about the fact of his having pressed/dialed the particular keys in his mobile handset for subscribing to such value added service, and seek and obtain the explicit consent of the customer, through telephone or SMS or FAX or e-mail or by other electronic means, before activation of such value added service within forty five days of the issue of this direction.

Press Release No. 38/2009 Dated 21.04.2009 - Telecom Subscribers growth for the Month of March, 2009

Subscriber base in the wireline segment has increased to 37.96 million in the month of March 2009 as against 37.73 million subscribers in February 2009 registering an increase of 0.23 million. The total wireless subscribers (GSM, CDMA & WLL(F)) base stood at 391.76 million at the end of March 2009. A total of 15.64 million wireless subscribers have been added during the month of March 2009 as against 13.82 million wireless subscribers added during the month of February 2009.

• DIRECT TAXATION

Notification No. 37/2009 Dated 21.04.2009 Income-tax (Eleventh Amendment) Rules, 2009

The Central Board of Direct Taxes in exercise of the powers conferred by section 295 of the Income-tax Act, 1961 amends the Income-tax Rules, 1962, vide Income-tax (Eleventh Amendment) Rules, 2009. A New Appendix I, in Part-A relating to TANGIBLE ASSETS, under the heading III, MACHINERY AND PLANT has been substituted by the said amendment. It will come into force with effect from the 1st day of April, 2010.

• INDIRECT TAXATION

CBEC Customs Notification No. 38/2009 Dated 22.04.2009 Imposition of anti-dumping duty on imports Cold Rolled Flat Products of Stainless Steel into India from specified countries

On the basis of the preliminary findings of the designated authority the Central Government imposes Anti dumping duty on Cold Rolled Flat Products of Stainless Steel originating in, or exported from, China PR, Japan, Korea, European Union, South Africa, Taiwan (Chinese Taipei), Thailand and USA. . The anti- dumping imposed vide this notification shall be effective upto and inclusive of the 21st October, 2009, and will be payable in Indian Currency.

• RESERVE BANK OF INDIA

A. P. (DIR Series) Circular No. 66 Dated 28.04.2009-Foreign Exchange Management (Deposit) Regulations, 2000-Loans to Non Residents / third party against security of Non Resident (External) Rupee Accounts [NR (E) RA / Foreign Currency Non Resident  (Bank) Accounts [FCNR(B)] -Deposits

RBI has been decided to enhance the existing cap of Rs.20 lakh to Rs.100 lakh on loans against security of funds held in NR(E)RA and FCNR(B) deposits either to the depositors or third parties in line with the announcement made in the Annual Policy Statement 2009-10 . Consequently, banks are permitted to grant loans against NR(E)RA and FCNR(B) deposits either to the depositors or third parties up to a maximum limit of Rs.100 lakh. The banks are also advised not to undertake artificial slicing of the loan amount to circumvent the aforesaid ceiling.

A.P. (DIR Series) Circular No. 65 Dated 28.04.2009 - Buyback / Prepayment of Foreign Currency Convertible Bonds (FCCBs)

RBI has been decided to increase the total amount of permissible buyback of FCCBs, out of internal accruals, from USD 50 million of the redemption value per company to USD 100 million, under the approval route by linking the higher amount of buyback to larger discounts. Consequently, Indian companies may henceforth be permitted to buyback FCCBs up to USD 100 million of the redemption value per company, out of internal accruals, with the prior approval of the Reserve Bank, subject to a conditions provided therein.

A. P. (DIR Series) Circular No. 64 Dated 28.04.2009 - External Commercial Borrowings (ECB) Policy - Liberalisation

In view of the continuing pressure on credit spreads in the international markets, it has been decided to extend the relaxation in all "in-cost ceilings, under the approval route, until December 31, 2009. The modifications to the ECB guidelines will be effective with immediate effect and all other aspects of ECB policy, such as USD 500 million limit per company per financial year under the Automatic Route, eligible borrower, recognised lender, end-use, average maturity period, prepayment, refinancing of existing ECB and reporting arrangements remain unaltered.

A. P. (DIR Series) Circular No. 63 Dated 22.04.2009 - Foreign Direct Investment in India-Transfer of Shares/Preference Shares/Convertible Debentures by way of Sale - Modified Reporting Mechanism

The form FC-TRS has been revised, in order to capture the details of investment received by way of transfer of the existing shares / compulsorily and mandatorily convertible preference shares (CMCPS) / debentures [hereinafter referred to as equity instruments], of an Indian company, by way of sale, in a more comprehensive manner. As a result the proforma for reporting of inflows / outflows on account of remittances received / made in connection with the transfer of equity instruments by way of sale, submitted by IBD/FED/nodal branch of the AD Category - I bank to the Reserve Bank has also been been modified. Henceforth,the form FC-TRS is required to be submitted to the AD Category - I bank, within 60 days from the date of receipt of the amount of consideration.

A. P. (DIR Series) Circular No. 62 Dated 20.04.2009 - External Commercial Borrowings Policy-Liberalisation Issue of Guarantee for operating lease

By means of the A. P. (DIR Series) Circular No. 24 dated March 1, 2002 AD Category - I banks have been permitted to allow payment of lease rentals, opening of letters of credit towards security deposit, etc. in respect of import of aircraft / aircraft engine / helicopter on operating lease basis subject to conditions mentioned therein. Further, in terms of A. P. (DIR Series) Circular No.01 dated July 11, 2008, as a measure of rationalization of the existing procedures, AD Category - I banks have been allowed to convey 'no objection' under the Foreign Exchange Management Act (FEMA), 1999 for creation of charge on immovable assets, financial securities and issue of corporate or personal guarantees in favour of overseas lender / security trustee, to secure the ECB to be raised by the borrower, subject to compliance of prescribed conditions. As a further measure of rationalization, it has been decided to allow AD Category - I banks to convey 'no objection' from the Foreign Exchange Management Act (FEMA), 1999 angle for issue of corporate guarantee in favour of the overseas lessee, for operating lease in respect of import of aircraft / aircraft engine / helicopter.

Circular No. DBOD. No. Dir.BC.128/13.03.00/2008-09 Dated 24.04.2009 - Payment of Interest on Savings Bank Account on a Daily Product Basis

In view of the present satisfactory level of computerisation in commercial bank branches, RBI has proposed that payment of interest on savings bank accounts by scheduled commercial banks would be calculated on a daily product basis with effect from April 1, 2010. In order to ensure a smooth transition, banks may work out the modalities in this regard.

Press Release No. 2008-2009/1736 Dated 21.04.2009- Annual Policy Statement-2009-10-Press Statement by Dr. D. Subbarao, Governor

The annual policy statement for 2009-10 is set in the context of a deep global economic depression and financial market turmoil. Governments and central banks around the world have responded to the crisis through both conventional and unconventional fiscal and monetary measures. The said statement provides decisions taken by the Reserve Bank and the measures relating to financial markets, credit delivery mechanism and banking services , institutional developments, etc.

• SECURITIES EXCHANGE BOARD OF INDIA

Circular No. SEBI/CFD/DIL/DIP/35/2009/20/04 Dated 20.04.2009 Amendments to SEBI (Disclosure and Investor Protection) Guidelines, 2000

SEBI has decided to Schedule XXII of the SEBI (Disclosure and Investor Protection) Guidelines, 2000. In SCHEDULE XXII pertaining to Jurisdiction of Regional Offices/Head Office of the Board and row regarding has been inserted between providing details regarding regional office at western region. The Merchant Bankers are therefore advised to file the draft offer documents of size up to Rs. 50 crores, of the companies whose registered office falls in Gujarat and Rajasthan to the said office.