Rs 1,200 crore ED notice to Devas multimedia in Antrix-Devas deal

Chennai:
Enforcement directorate on Monday issued a showcause notice to Devas Multimedia for allegedly contravening the provisions of Foreign Exchange Management act (FEMA).

The special director (southern region) Chennai told Express that the total alleged violation under FEMA is worth 1,217.76 crore.

The notice by Enforcement directorate comes in the wake of ED registering a money laundering case in connection with the Antrix-Devas spectrum deal worth Rs.1,000 crore, that is also being probed by Central Bureau of Investigation.

Enforcement Directorate investigated suspected contraventions of the the provisions of FEMA in the Foreign Direct Investment received by Devas Multimedia Pvt Ltd, Bangalore, from various overseas investors including CC Devas Mauritius LTD, Telecom Devas Mauritius Ltd, Deutsche Telkom Asia Pvt Ltd and Devas Employees Mauritius Pvt Ltd.

The official said that they have sought the reply of Devas Multimedia Pvt Ltd for the contravention. “Based on their reply we will go in for personal hearing after which adjudication will be passed,” he said.

“In case the alleged contravention is proved in the adjudication proceedings, the noticees are liable for penalty under FEMA, 1999, which may be imposed up to thrice the sum involved in such contravention,” the official said.

Talking about the contraventions, the Enforcement directorate source said that the share subscription agreements entered into by the Indian company contained clauses relating to settlement of disputes at courts other than India and applicability other than Indian laws on matters of dispute and thus the FDI recieved by Devas Multimedia were contrary to the conditions specified in the approval granted by Foreign Investment Promotion Board and thus contravening the provisions of FEMA. The extent of contravention is Rs 578.54 crore.

Similarly, Devas Multimedia assured the overseas investor an annual 8pc priority dividend on cumulative basis Such assured dividends are not nature of equity investment and is contrary to FDI provisions under FEMA. The investment received under this is Rs 571.72 crore.

The third contravention pertains to the company violating the RBI regulations. The extent of contravention is Rs 67.50 crore

writingonblog uncensored: India-Korea coastguards to conduct joint exercise ...

writingonblog uncensored: India-Korea coastguards to conduct joint exercise ...: Chennai: In a bid to strengthen  working level relationship  between Indian and Korean  Coastguards, a joint exercise  will be held from W...

India-Korea coastguards to conduct joint exercise in Chennai

Chennai:

In a bid to strengthen working level relationship between Indian and Korean Coastguards, a joint exercise will be held from Wednesday.

Korean Coastguard ship 3009, which will be visiting Chennai on Wednesday, will participate in the event.

Named ‘Sahyog-Hyeoblyeog-2016’The exercise encompasses an anti-piracy scenario where in hijacked vessel is subsequently rescued in a combined coastguard operation by both the countries.

The exercise, which will jointly be witnessed by director general of Indian Coastguard Rajendra Singh and Honglk-Tae, commissioner general of Korea Coast Guard, will include interdiction of pirate vessel, joint boarding operation, external fire fighting and various other features. 

Last year Indian Coast Guard ship Sarang visited Korea for joint exercise.

Land Acquisition Acts don’t have provisions on taking over possession of land

C Shivakumar

Chennai:

There are no provisions to take possession of land acquired under Land Acquisition Acts of 1894 and 2013. 

After Madras High Court has sought Housing secretary’s comment on seeking his opinion on whether there are provisions in the law for taking over possession of land, it is learnt that there are no provisions under the old and new land acquisition acts.

The housing secretary has submitted that under the Section 16 of Land acquisition Act, 1894: When the collector has made an award under Section 11, he may take possession of the land which shall thereupon vest absolutely in the government free from all encumbrances. 

He has submitted that there is no provision in the old Land acquisition Act regarding mode for taking over the possession of the land. 

However, it was Supreme Court, during the hearing of Banda Development Authority versus Moti Lal Agarwal, laid down the mode of taking over possession of land. “if the acquired land is vacant, the act of the state authority concerned to go to the spot and prepare a panchnama will ordinarily be treated as sufficient to constitute taking of possession.”

Similarly, it also laid down provision that if the crop is standing on the acquired land or building, mere going to the spot by the authority concerned will by itself is not sufficient for taking possession of the land. The authority has to give a notice to the occupier of the building or the landowner and take possession in the presence of independent witnesses and get their signatures on the panchnama.

The refusal of the owner of the land or building may not lead to an inference that the possession of acquired land has not been taken, as per the provision laid down by the Supreme Court. 

Similary, if the acquisition is of a large tract of land, a symbolic possession is taken by preparing an appropriate document in the presence of independent witnesses and getting their signatures on the document.

Interestingly, the new land acquistion act does not have any provision over the method of taking over lands, the secretary observed.

writingonblog uncensored: Chennai Metro to start trial run in underground st...

writingonblog uncensored: Chennai Metro to start trial run in underground st...: C Shivakumar Chennai: Even as Chennai Metro’s elevated stretch is set to be completed and likely to be put into operation most probably b...

Chennai Metro to start trial run in underground stretch in next two weeks

C Shivakumar
Chennai:
Even as Chennai Metro’s elevated stretch is set to be completed and likely to be put into operation most probably by August, it is the trip below the ground which Chennaites are yearning for.

And there is some good news. Chennai Metro is likely to start trial run of its metro coaches below the ground in the next couple of weeks between Koyambedu and Shenoy Nagar.

Chennai Metro did use its train once but it was pulled by a wagon car. Now the trial run will be done using with the train only after energising the stretch.

Ruling out the possibility of opening up the underground stretch for commercial run in the month of August, a Metro Rail source said that still some signalling and other work is pending. “It is unlikely that the underground stretch would open along with the elevated stretch, he said.

Interestingly, the work between Kilpauk and Nehru Park is still pending and Chennai Metro hopes to complete it in the next 10 days.

It is learnt that long-pending tunelling operations on Anna Salai Metro stretch will resume in the next 10 to 15 days.
“It has been lying idle for nearly a year. We have to first ensure that it is made operational,” he added.

For this the entire system, including the tunnel boring machine, will be monitored. “We will also be checking other tunnelling equipment,” said the source. The stretch from Government Estate to DMS is likely to be completed in next 10 months. The work is pending in stretch after Russian firm Mosmetrostroy suddenly left the project and Gammon India’s contract was terminated

Centre plans Rs 90,000 cr investment in TN under Sagarmala initiative

Chennai:

A total of Rs 90,000 crore will be invested in Tamil Nadu in the next five years under the Sagarmala initiative, according to Union Shipping Minister Nitin Gadkari.

Interestingly, the focus of the Sagarmala project is more on developing the proposed Enayam port in Kanniyakumari. The port is likely to emerge as a southern gateway of transshipment in the country. The Centre is planning to invest Rs 6,500 crore in developing the port in the first phase.

Of the Rs 90,000 crore proposed investment in Tamil Nadu under Sagarmala initiative, a sizeable chunk of Rs 33,000 crore is being spent to link the proposed new port with industrial cluster in Coimbatore and Bangalore.

Gadkari told reporters during a televised conference that Union Shipping Ministry is planning Rs 13,000 crore investment in developing a Expressway from Tirupur Industrial Cluster (Coimbatore) to Enayam. Similarly, Rs 20,000 crore woth Expressway is planned to link Whitefield Industrial Cluster (Bangalore) with Enayam.

There is also a plan to link Nagarcoil with Enayam with an investment of Rs 86 crore. 

To a query on the protest by people against the proposed port fearing land acquisition, the minister said that port would be built on the breakwaters and there is no need for land acquisition. “The land would be acquired for laying railway lines, roads and improving its width,” he said.

He also said that Union Shipping Ministry would invest Rs 15,500 crore in developing marine and steel clusters in Ennore.

To a query on the delay in starting the inland waterways project in Tamil Nadu, the minister said that lots of rivers like Vaigai, Tamaraiparani, Palar, Ponnaiyar etc have been identified for inland water ways project by the state.

“We have got the sanction for Buckingham Canal project but it could not be started due to land acquisition issues. We hope the state government would resolve it,” said Gadkari.

Box:

Centre working on out of court settlement to resolve Chennai Port-Maduravoyal project  

Chennai:

Union Minister of Shipping, Road Transport and Highways Nitin Gadkari has said that he is working out an out of court settlement to resolve the Chennai Port-Maduravoyal eleated corridor project.

“We request the Chief Minister to cooperate and resolve the issue at the earliest,” he said.