Manupatra Round Up No. 295

Notifications

• RESERVE BANK OF INDIA

IDMC Circular No. IDMD.PDRD.No.3843/03.64.00/2009-10 Dated 09.03.2010- Investment Portfolio of Primary Dealers - Extension of HTM Category for PDs

The Reserve Bank of India vide circular RBI/2009-10/136- IDMD.PDRD.No.1050/03.64.00/2009-10 dated August 31, 2009 had allowed the standalone Primary Dealers (PDs) to categorize a portion of their Government securities portfolio in the Held to Maturity (HTM) category, subject to certain conditions, till March 31, 2010. Vide the present circular, RBI has decided to permit the PDs to continue holding of Government securities in HTM category until further advice.

RPCD Circular No. RPCD.CO.RF.BC.No.60/07.37.02/2009-10 Dated 05.03.2010 - Repayment of Gold Loan

State and Central Co-operative Banks grant loans for various purposes against the security of gold /gold ornaments as part of their lending policy. Banks charge interest at monthly rates on loans and advances granted for purposes other than agricultural and allied activities. RBI has notified that it has decided to permit bullet repayment of gold loans up to Rupees one lakh as an additional option. State and Central Co-operative Banks are, therefore, permitted to lay down policies with the approval of their Board for sanction of gold loan with bullet repayment option subject to the specified guidelines.

Press Release No. 2009-2010/1234 Dated 06.03.2010 - RBI signs Note Purchase Agreement with the IMF

The Reserve Bank of India (RBI) has entered into a Note Purchase Agreement with the International Monetary Fund (IMF) under which the RBI shall purchase from the IMF notes for an amount up to the equivalent of US $10 billion. This is a part of the international efforts to support the IMF's lending capacity following the decision of the G-20 in its London Summit to treble the resources available to the IMF to $ 750 billion. This agreement is a temporary bilateral arrangement for an initial period of one year, which may be extended by a period of upto two years.

• DIRECTORATE GENERAL OF FOREIGN TRADE

Policy Circular No. 26/2009-2014 Dated 17.03.2010 - Clarifications on the Import of Ships (Vessels) & other moveable capital goods etc. under SFIS Scheme of FTP

DGFT has clarified that import of Ships, a capital good for Shipping Sector, is permitted under the SFIS scheme and that ships being moveable capital assets cannot be installed at one particular location and therefore, Customs Authorities are not to insist on the 'installation certificate' for moveable capital assets /goods, if imported under the SFIS scheme.

• MINISTRY OF HOME AFFAIRS

Notification No. SO544(E) Dated 05.03.2010 - Constitution of Unlawful Activities (Prevention) Tribunal

The Central Government has constituted the Unlawful Activities Prevention Tribunal consisting of Mr Justice Sanjiv Khanna Judge of High Court of Delhi for the purpose of adjudicating on whether or not there is sufficient cause for declaring the Student Islamic Movement of India (SIMI) as unlawful association.

• MINISTRY OF FINANCE

Notification No. GSR183(E) Dated 11.03.2010 - Central Sales Tax (Registration and Turnover) Amendment Rules, 2010

The Central Government has amended Rule 13 of Central Sales Tax (Registration and Turnover) Rules, 1957 to promulgate the Central Sales Tax (Registration and Turnover) Amendment Rules, 2010. The amended Rules shall come into force on the date of their publication in the Official Gazette.

• CENTRAL BOARD OF DIRECT TAXES

Notification No. 14/2010 Dated 05.03.2010 - Approval to the organization Petroleum Conservation Research Association, New Delhi, for the purpose of clause (ii) of sub-section (1) of section 35 of the Income-tax Act, 1961

The Petroleum Conservation Research Association, New Delhi, has been approved by the Central Government for the purpose of clause (ii) of sub-section (1) of section 35 of the Income-tax Act, 1961 (said Act), read with Rules 5C and 5E of the Income-tax Rules, 1962 (said Rules), from Assessment year 2009-2010 onwards in the category of 'other Institution', partly engaged in research activities.