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Centre to introduce new Juvenile Justice Act in House

NEW DELHI: The government could introduce the new version of the Juvenile Justice Act in the ongoing

Parliament session as it is seeking to fast-track the legislation that will clear the way for minors above the

age of 16 years accused of heinous crimes such as rape and murder to be tried as adults.

The bill to repeal and re-enact the Juvenile Justice (Care and Protection of Children) Act, 2000, has been

cleared by the law ministry, to which it was sent on July 23. The draft bill was also sent to seven other

ministries for their views and approval. It is expected to come before the Cabinet later this week. The bill

is likely to be cleared soon, women and child development minister Maneka Gandhi told ET. "We want

the bill to be introduced in the ongoing session of Parliament. If Parliament continues till August 14 (as

scheduled), then there is a good chance for the bill to come up in the session," she said.

The draft of the bill was put on the ministry's website on June 18, and suggestions and comments were

sought from civil society, NGOs and individuals within 15 days. "We got several suggestions from

different quarters, including child right organisations. We have tried to incorporate as many suggestions

as we could," Gandhi said.

Gandhi had ironically piloted the original JJ Act, 2000, as then minister of state for social justice and

empowerment in the erstwhile NDA government. It had come as the culmination of a civil society

campaign for a liberal regime in keeping with India's obligations under the UN Convention on the Rights

of the Children, to which India was a signatory.

"It was then that the cut-off age for juveniles among boys was increased from 16 to 18. For girls, it was 18

even earlier. The 2000 law provided elaborate safeguards to ensure that the juveniles were subjected to

reformative rather than retributive justice," said

Amod Kanth, child right activist. Kanth, who was involved in drafting the original JJ Act, said that he hadworked closely with Gandhi even at that time. "In fact, when I reminded her that it was her law, she told

me that things had changed since," he told ET.

Top business families hold on to their stake infirmsIndia Inc'spromoters have held on to their holdings, despite sharp swings in the market and

corporate profitability in the past 10 years.Promoter stake in India's leading family-owned

companies has increased marginally to 51.7 per cent in June this year from 51 per cent in June

2005.

Overall, promoter stake in top listed companies has declined to 48.9 per cent from 54.4 per cent 10

years ago. This has been led by public-sector undertakings (PSUs), as the government has divested

its stake to raise resources. The government's stake inPSUs declined to 66.5 per cent on an average

from a high of 78.2 per cent in June 2008 and 74.2 per cent in June 2005.
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As PSUs remain the largest block on the bourses in terms of market capitalisation, their ownership

pattern reflects on the entire universe of companies.

The global parents of listed multinational companies in India, however, were on a buying spreeduring the 10-year period, regardless of the underlying market conditions. Promoter stake in

listedMNCs rose nearly a quarter - to 62 per cent from 49 per cent in June 2005. Analysts attribute

this to a spate of buybacks and open offers from global majors after the market regulator liberalised

the takeover code in 2012. MNCs' efforts have been aided by record low interest rates in their home

markets and a global rush for high-yielding emerging market assets.

A Business Standard analysis ofBSE-200 companies has taken into account 153 companies whose

comparable shareholding, market capitalisation and finances are available since 2004-05. Promoter

stake is calculated by adding the value of stake in these companies. Of the 153 companies in the

sample, 92 are family-owned, 31 are PSUs, 21 Indian subsidiaries of global MNCs and nine

independent companies with no defined promoters. The promoters of family-owned companies used

the bear run on Dalal Street between 2010 and 2012 to raise their stake in companies. The bulk of

this increase happened between June 2010 and June 2012, when the stock market was falling.

The BSE Sensex moved in a narrow range during the period, from 16,300 to 17,500, providing

promoters ample opportunity to raise stake through share buybacks and incremental equity funding

of their capital-hungry companies.

But, in the past two years, when markets were rallying, promoters either cut their exposure or kept

it unchanged. Effectively, their stake came down by around 20 basis points in the two-year period,in line with the around 50 per cent rise in the Sensex.

Individual promoter andbusiness family stake in the sample of companies is valued at around Rs 18

lakh crore (around $300 billion). This has jumped more than five times in the past 10 years, rising at

a compound annual growth rate of 20.9 per cent. By comparison, the government's stake in top

PSUs is valued at a little over Rs 9 lakh crore ($150 billion), while MNCs' investments in their listed

subsidiaries is worth Rs 3.94 lakh crore (around $66 billion). The combined market capitalisation of

nine independent companies in the sample is Rs 9.6 lakh crore (around $160 billion).

Indian promoters' task was made easier by the cash provided by fast-growing dividend kitty of their

key companies. In the past five years, promoters' income from dividend (in family-owned

companies) grew atCAGR of 20.3 per cent. This was clearly visible in the Tata group, where the

holding company, Tata Sons, regularly invested in key group companies, thanks to its dividend

income from Tata Consultancy Services, the largest dividend payer in the private sector.

Tata Sons now effectively controls 59.7 per cent of the group by market value, up from a low of

52.7 per cent in June 2007.

In last five years, Tata Sons' dividend income from the group's top-10 listed companies grew at
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CAGR of 24.2 per cent. A similar trend was visible in billionaire Anil Agarwal's Vedanta Group. There

was a steady rise in promoter's stake in the group, with high profitability of key group firms like

Hindustan Zinc and the erstwhile Sesa Goa. (now merged with Sterlite Industries to become Sesa

Sterlite).

Buy comparison, promoter stake was down in financially-troubled or capital-hungry companies likeJet Airways, Shriram Transport, Bharti Airtel, Jaiprakash Associates, Motherson Sumi and JSW Steel.

Consumer Protection Act to be amended toease mediationAlarmed by the piling up of cases in consumer courts across the country, the department of

consumer affairs is mulling a significant change in the Consumer Protection Act-1986 to

facilitatemediation and arbitration.

According to officials, the department plans to create a structure of arbitration and mediation at the

point of grievance (the place where the consumer is located) before the case is finally moved to the

court.

The structure could involve empowering panchayats, gram sabhas or similar institutions to mediate

and arbitrate between parties. The idea is to ensure an aggrieved consumer moves court only after

he has exhausted all other options.

"It has been observed that because of the large number of cases in consumer courts, the delivery of

justice is painstakingly slow, which sometime goes on for years, killing the very essence of

theConsumer Protection Act -to deliver swift justice. Therefore, we are proposing a crucial change

which will help in appointing arbitrators for ensuring out of court settlement of the case," a senior

official from the department of consumer affairs said.

BOOSTING CONSUMER SENTIMENTS

Govt to amend Consumer Protection Act to facilitate

arbitration and out-of-court settlement between parties

Amendment will enable consumers to file complaint at

places of their residenceDisputes between realty players and buyers may be

resolved faster

Amendment to give powers to govt to designate

mediators and arbitrators

He said the very purpose of the amendment is to ensure that justice is delivered fast to the
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consumers and at their nearest point of contact and they are not made to run from pillar to post to

file a basic complaint.

"Work on the amendments has started and we have invited public comments on the same and hope

to introduce them inParliament as soon as possible," the official said.

Explaining the purpose of the amendment, noted consumer rights activist and founder of Consumer

Online Foundation, which pioneered theJago Grahak Jago campaign, Bijon Misra said the

amendments also empower an aggrieved consumer to file a complaint at his nearest point of

judgment, irrespective of the fact where the office of the company is located.

"To develop such a mechanism of arbitration and out-of-court settlement, it is proposed to give

panchayats and gram sabhas the power to arbitrate and summon parties," Misra added.

According to the proposed amendment, the mediator appointed by the government will facilitate

resolution of dispute between parties through the normal process. The mediator will facilitate

discussion between the parties, assist to identify issues, reduce misunderstandings, clarify priorities,

explore areas of compromise, generate options to solve the dispute and emphasise it is the parties'

own responsibility for making decisions that affect them.

"The state-run arbitration or mediation mechanism will come handy in cases between real estate

builders and buyers as well as others as the internal mechanism in companies is not trusted by the

consumers," Misra added.

Rajiv Lall to be MD of IDFC's bank

A month and a half after the board of directors ofIDFCnominated him as executive vice-chairman ofits to-be-launched bank,Rajiv Lall has also become the latter entitys managing director. This ends

speculation over whether IDFC would appoint an external candidate as MD.

I will be heading the new bank as MD and will step down as chairman of IDFC. Both IDFC andIDFC

Bank will have separate non-executive chairpersons, Lall said on the sidelines of the company's

annual general meeting, here on Tuesday.

IDFC Bank will be a listed entity from day one of its operations and the existingshareholders of

IDFC will be given an equivalent number of shares in the bank. The bank is expected to go on

stream from October 2015.

The net worth of the new bank would be Rs 12,000 crore, Lall said, adding it would be the best

capitalised bank. Starting with a clean balance sheet and adequate capitali, we don't expect non-

performing assets to be a drag on the future profitability, he said.

He expected the demerger of IDFC and IDFC Bank to be completed by early next year.
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Lall said IDFC would bring down foreign shareholding to below 50 per cent, in line with regulatory

norms. Foreign ownership has been reduced to 51.7 per cent from 54.5 per cent a year before. We

are working on multiple tracks to bring the ownership of foreigners to below 50 per cent. This

includes trying to find willing sellers in the foreign institutional investor community and match them

with domestic buyers. We are also in the process of preparing for a capital raise, which will be a

focus area, he said.

IDFC will look at a qualified institutional placement or a follow-on public offer in the next few

months. Lall said the process should get over by the end of September, most likely by issuance of

additional capital to domestic investors.

Lall said Vikram Limaye would continue to be the MD & chief executive officer of IDFC.

Asked about the board of directors, Lall said there would be some overlap between the two but

most members on the IDFC Bank board would be new names.

IDFC is also preparing for rearrangement of assets and liabilities to comply with Reserve bank

regulations. This would take several months and would be a court-assisted process.

Under the new structure, IDFC will be the parent, under which a non-operating financial holding

company (NOFHC) will be created. Under the NOFHFC, there will be four subsidiaries -- the new

bank and three existing ones, IDFC Mutual Fund, IDFC Alternative and IDFC Securities.

IDFC Foundation will be the fifth subsidiary, directly under the parent.

The Reserve Bank had in April granted preliminary bank licences to IDFC and micro finance firm

Bandhan.

Tata group to invest $35 billion in 3 years; FY14revenue tops $100 billionNEW DELHI: Tata group will invest $35 billion in the next three years as part of its vision 2025 by when it

expects to achieve market capitalisation comparable to the world's top 25 companies.

Addressing the Tata group's Annual Leadership Conference in Mumbai this evening, Tata group

Chairman Cyrus Mistry laid out the road map for the diversified conglomerate, which saw its total revenue

crossing the USD 100 billion mark again in 2013-14.

When contacted a Tata group spokesperson declined to share the details saying it was an internal event

but confirmed three key points outlined as part of its strategy.

These include nurturing of group companies by leveraging the parenting advantage of the group centre;

harnessing synergies to maximise the performance of companies and optimising its portfolio for sustained

future performance.


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"The Tata group's Vision 2025 is: '25 per cent of the world's population will experience the Tata

commitment to improving the quality of life of customers and communities. As a result, Tata will be

amongst the 25 most admired corporate and employerbrandsglobally, with a market capitalisation

comparable to the 25 most valuable companies in the world," the spokesperson said.

"Towards fulfilling this vision, the Tata group will be investing about USD 35 billion in the next 3 years,"

the spokesperson added.

As part of the strategy, the group will nurture its companies by "building the reputation of the Tata brand

globally, attracting and developing leaders of tomorrow, and improving the Tata Business Excellence

Model (TBEM) process to strengthen performance discipline within the group".

This strategy will also include support to companies, if required, to restructure their businesses which do

not have the potential to meet performance and strategic criteria in the long term or benefit from parenting

advantages.

To maximise synergies, the group is creating a special focus on four new clusters -- Defence &

Aerospace, Retail, Infrastructure, Finance.

The group centre will also focus on companies which are world class and, where necessary, facilitate

creation of new companies.

Tata group's total revenue grew by 18.5 per cent in 2013-14 at Rs Rs 6,24,757 crore (USD 103.27

billion).

The group that has over 100 operating companies in seven business sectors -- communications and

information technology, engineering, materials, services, energy, consumer products and chemicals --

had posted total revenue of Rs 5,27,047 crore (USD 96.79 billion) in the previous fiscal.

The international revenues of the group in the fiscal 2013-14 stood at Rs 4,19,860 crore, up 27 per cent

from Rs 3,30,530 crore in the preceding fiscal, as per information available on its website.

The group's 32 listed companies had a market capitalisation of Rs 8,46,535 crore as on July 24, 2014 as

compared to Rs 6,84,859 crore on March-end 2014 and Rs 5,18,716 crore on March-end 2013.

Tata companies have operations in more than 100 countries across six continents, and export products

and services to over 150 countries.

In terms of net forex earnings during the fiscal, it jumped by 93.5 per cent at Rs 32,129 crore as

compared to Rs 16,604 crore in the year-ago period.

In 2013-14, the group's employee count increased by 6.8 per cent to 5,81,473 from 5,44,502 in the

previous year. The information technology and communications sector accounted for 57.5 per cent of thetotal employee count with 3,34,569 people in 2013-14.

The group's total tax paid to the government stood at Rs 36,312 crore during the fiscal.

Gold spend on a high, says NSSO
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ndias affection forgold has only been growing across rural and urban areas. When compared with

real estate, the yellow metal is still clearly perceived as a safer bet, a recent National Sample Survey

Office (NSSO) survey revealed.

The share of expenditure on gold has risen sharply in both rural and urban parts of the country

between 2004-05 and 2011-12, the survey shows. On the other hand, the spending trend on realestate in this duration has revealed that the proportionate share of expenditure on residential

buildings was down by almost half.

In rural parts, a person who used to spend 13.8 per cent of his total durable goods expenditure on

gold in 2004-05 shelled out 23.6 per cent in 2011-12. A similar trend was visible in the spending

patterns of their urban counterparts. An urban citizen spent 19.9 per cent of his/her total durable

goods spending on gold in 2011-12, steeply up from 11.5 per cent in 2004-05.

This data was captured by NSSOs 68th Round, titled 'Household consumption of various goods andservices in India', released recently.(GOLD SHINES MORE THAN REAL ESTATE)

On residential buildings, people in rural areas diverted 18.1 per cent of their total spending ondurable goods in 2011-12, steeply down from 33.4 per cent in 2004-05. In urban areas, 11.4 per

cent of this expenditure was on housing, compared to 20.9 per cent in 2004-05.

In 2004-05, among the durable goods, the share of spending on buying a house was the highest but

this was replaced by gold in rural parts, and motor cars and jeeps in cities in 2011-12.

Analysts note the phase between 2004-05 and 2011-12 was a gold boom for the country and,

hence, people chose to invest in gold. Till last year, the preference of Indian households has been

to invest in gold as a saving option. As the cost of buying a property is high, people tend to spend

less on it, said Madan Sabnavis, chief economist at CARE Ratings.

In rural parts, Sabnavis explained, there was a lack of investment options and, hence, the

proportionate share of expenditure on gold went up. Whereas in urban areas, inflation was one

reason which led people to choose physical savings rather than the financial ones, he added.

Analysts say gold is a commodity which Indians prefer to buy even with a small investment surplus.

Real estate involves big money. In villages, during the harvest, if the crop is good and there is an

investment surplus with farmers, they buy gold as people also have the tendency to utilise this

yellow metal during occasions like marriage, said Devendra Pant, chief economist, India Ratings.

Abheek Barua, chief economist at HDFC Bank, said the perception that gold will give a good

investment return propelled people to go for the yellow metal. This could be gauged by looking athow the prices of both real estate and gold went up during this period. India Bullion and Jewellers

Association (IBJA) data showed between 2004-05 and 2011-12, the annual price for gold surged by

a little more than 300 per cent. Real estate prices went up only by 20-50 per cent in various metro

cities, data available with real estate analyst firm Propequity for 2008-2012 showed.

However, Barua said the trend has started reversing in the present scenario. Till 2012-13, gold was

on a continuous bull-run and people caught on to that. In this phase, wealth investors advised

households to go for gold, rather than equity bonds and other options. But the trend has started
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reversing from 2013-14 as gold prices crashed and it has taken a big hit on gold investment, he

argued.

M J Antony:Tribunals in the doldrums

The Supreme Court will decide their legal status in two months

The din that arose when some light was thrown into theselection of judges by theSupreme

Court collegiums is yet to subside. But it stifled the voice of the five-judge Constitution bench that

was hearing last week another aspect of the uneasy relationship between the executive and the

judiciary. Like selection of judges behind the thick curtains of the collegiums, we are allowed to see

only shadowy figures making cloak-and-dagger movements in the case of tribunals.

In both cases, the debates are tiresome reruns. In the first case, the issue is cherry-picking of

appellate judges. In the other one, it is the selection of chairman and members of tribunals. These

quasi-judicial bodies have been mushrooming in the past decade, forming a parallel judicial system.

A conservative estimate puts their total at 40. Some of them are extensions of the government

department, with little independence.

The birth of all major tribunals, and now the National Tax Tribunal, was stalled by litigation as soon

as they were created by Acts of Parliament. The main bone of contention is the composition of the

tribunals. Civil servants are accused of nibbling at judicial power while drafting laws. It is alleged by

the legal profession that the mandarins are creating post-retirement sinecures. Their minds are not

attuned to adjudication.

On the contrary, the draftsmen contend that judges are not well-versed in specialised subjects that

are increasingly brought before courts. Experts are needed to understand the technical complexities

of 4G spectrum, energy exploration, offshore frauds or costing. Therefore, the tribunals must give

primacy to specialists, and those who have dealt with such issues while in government office.

The bar associations, which generally take up such issues on behalf of the judiciary, respond to

these arguments pointing out that courts routinely decide issues of intricate nature. For decades,

they have dealt with disputes over air waves, intellectual property, environmental issues, accounting

frauds, and even religious squabbles involving scriptures and rights of idols and bishops. In case of

difficulty, it is the practice of the court to seek assistance of experts. Repeated efforts of the

executive to bring old legal concoction in new bottles is only to ensure jobs for the boys, it is

argued.

It was while hearing the latest row involving the National Taxation Tribunal that the judges of the

Constitution bench became vocal. Unlike the rest of those in power, they have neither the press nor

the platform. While others can shout against the judiciary in the cacophonous talk shows, judges

have to make "observations" in measured tones. There are few listeners, as the tiresome arguments

might have already emptied the visitors' gallery in the court.

When the Attorney General submitted that the courts have failed to deliver speedy justice and,

therefore, tribunals are necessary to take the burden off their back, the bench pointed out that the

government was not appointing judges and some high courts are functioning with less than half the

sanctioned strength. Courts also suffer from lack of basic infrastructure, which should be provided
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by the government instead of creating non-functional tribunals. According to one judge, it is nothing

short of an "assault on the constitutional scheme." On the question of expertise, the judges

remarked that a degree in costing or accountancy would not automatically bestow a person with a

judicial mind, which comes with years of experience.

During the hearing, the Chief Justice revealed that he was getting many requests for judicialappointments in tribunals but "those who are fit to be on the tribunals are not interested and those

who are keen are not suitable." That must be an understatement considering the cat-fight stories

circulating about job-grabbing.

The court has earlier examined tribunal legislations in various cases since 1994 and upheld them

with some changes. However, the executive has ignored such court directives in the next law.

Parliament has also not amended the constitutional provisions to end the recurring squabbles. There

are several observers, like Supreme Court ex-judge, Ruma Pal, who has described earlier judgments

validating the structure of tribunals as a "sell-out by the judiciary".

Apart from the legality, there is a growing number of jurists who view tribunalisation as a failed

experiment. Tribunals have become as slow and expensive as regular courts with lawyers lugging inthe Civil Procedure Code and case law. Tribunals have elbowed out high court jurisdiction,

introducing another tier of courts and violating the constitutional scheme. The trend has spread to

all sectors, covering some 24 ministries and departments till last year.

Many of the tribunals exist only on paper and yet others are topless. There is hardly any that

functions with full coram. The pensioner-members walk in late and break for lunch and a siesta. As

a result, it is estimated that Rs 4 lakh-crore revenue is locked in fruitless litigation. Though the

government is used to ignoring huge numbers, the harassment suffered by individuals cannot be

measured in digits. Those who are crushed in the tribunal whirlpool can expect a definitive judgment

from the constitution bench within two months.

K Ramkumar Steps Down from HR atICICI, Moves to CSR WingOutspoken HR head will continue on the board of directors of the bank

K Ramkumar, the outspoken head of human resources at ICICI Bank, has been switched to ICICI

Foundation, which executes the companys corporate social responsibility (CSR) programme.

Ramkumar, who will retire after four years, will continue on the board of directors of the bank where

he will oversee the banks customer-service and backend functions.

T Srirang, senior general manager, who is in charge of human resources function will oversee HR

operations and directly report to Chanda Kochhar, managing director and chief executive officer of

ICICI Bank. I am a disciplined soldier of the bank, said Ramkumar. Whichever position the captain

asks me to play, I will. ICICI Foundation is essentially a HR job. All that Id be doing is not handle

operational issues. Anyway those will pass through the board where I am present. Mr Kamath was

keen that only a senior person and an insider heads the foundation because of the reputational risk to


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the brand, said Ramkumar. Ramkumar has been an HR professional for nearly three decades and has

run the banks human resources department for 13 years.

ICICI will be investing .` 250.` 300 crore a year in the ICICI Foundation. Its ICICI Academy for

Skills will be training thousands of professionals for the banking industry. Set up in 2005 and built on

a partnership model, it focuses on vocational training for the youth. Currently, the academy is run in

nine centres and ICICI Foundation plans to touch 6,000 people by 2016. Given Ram's passion for this

area and his significant contribution in rolling out the ICICI Academy for Skills, our key CSR initiative

last year, I can think of no better person for this role, chief executive Chanda Kochhar said in a

statement. He continues to be a member of the Bank's board, overseeing the operations function

which is critical to the delivery of our products and services to our customers. Ramkumar will succeed

Subrata Mukherji who is retiring this month end from the ICICI Foundation. The former Kabaadi

champion is also known as ICICIs trade union leader because of his outspoken nature. He is HR head

and a trade unionist rolled into one, an employee had said once. Ramkumar was in the news in early

2013 after he publicly called for a probe into the circumstances surrounding the suicide of Tata Steel

executive Charudatta Deshpande.

Deshpande had worked for ICICI Bank in the past and his son was subsequently offered a job at

the bank. Ramkumar is also known for his ruthlessness when it comes to firing people. After last fiscal

year review, he agreed to the firing of 1,500 employees which follows the socalled Bell Curve

philosophy to reward and fire people.

Every organisation should periodically renew itself and let go of people periodically. Otherwise,

the organisation will decay, Ramkumarhad told ET last month.

Land records simplified by e-filingMUMBAI: Talathis will no longer be able to delay mutation of land records or the entry of a

land owner's name in the 7/12 extract. In a far reaching decision, the revenue departmenthas done away with a lengthy process for transfer of land ownership.

In a government resolution issued on July 17, the department has said that if a land

purchase is registered by paying the due stamp duty, the tehsildar has to digitally inform the

talathi of the registration.

Once the talathi acknowledges the receipt of the mail, without any further prompting, he

has to make an immediate entry in the register of mutations. A land buyer need not submit

a certified hard copy to the talathi for the mutation, said a source. The talathi is the lowest-

ranking officer in the revenue department, but also one of the most important.

Sources said the present process (see graphic) is often used to extort money and harass a

person who has bought land. "Often the person who has sold the land raises objections,

saying his signature has been forged; also, influential people in the village may object to the

sale. While the matter is meant to be resolved within a year, this does not happen unless

palms are greased," said a revenue department source.


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It is hopped that the change in rules will put a stop to harassment and corruption. "The

talathi cannot claim he has not received the e-file, since there will be an electronic trail.

Also, the decision will speed up matters and a purchaser need not wait for a month for the

mutation," said an expert. "Now a person may tip a talathi if she or he is happy for a quick

resolution. It is like when you go out for dinner and tip the waiter. You can no longer be

arm-twisted into greasing palms."


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Illegal loudspeakers at mosques must go: HCRosy Sequeira, TNN |Jul 31, 2014, 03.14AM IST

The PIL, filed by Navi Mumbai resident Santosh Pachalag earlier this year, raised the issue of "illegal use of loudspeakers" by mosquesin Navi Mumbai.

MUMBAI: The Bombay high court on Wednesday directed the police to remove

loudspeakers from those mosques in Mumbai and Navi Mumbai that have not obtained

required permissions for them from the authorities.

A division bench of Justices V M Kanade and P D Kode, while hearing a PIL, said that

unauthorized loudspeakers must be confiscated irrespective of whether they were installed

for "Ganeshotsav, Navratri or in mosques... irrespective of religion, caste or community". It

called on citizens to "come together" against noise pollution.

A recent RTI plea unearthed data that showed 45 of the 49 mosques in the area did not have

the requisite permission for loudspeakers.

The PIL, filed by Navi Mumbai resident Santosh Pachalag earlier this year, raised the issue

of "illegal use of loudspeakers" by mosques in Navi Mumbai. It claimed that, according to

data obtained recently under the Right to Information Act, 45 of the 49 mosques (around

92%) in the area do not have permission for loudspeakers. It added that the mosques are

located in silence zones, which house schools and hospitals, and that their loudspeakers

surpass the decibel levels allowed under the Noise Pollution (Control and Regulations)

Rules 2000.

The judges on Wednesday asked the state to find out if the mosques have taken necessary

approval. "If they have not, what steps have you taken? This cannot go on," said Justice

Kanade.

Pachalag's advocate D G Dhanure said the police can confiscate the loudspeakers if they are

being used without proper approvals. He submitted that, according to RTI data, Ganpati

and Navratri mandals in Thane had applied for permission to play loudspeakers.

The bench said that unauthorized loudspeakers must be confiscated in all cases, "whether

Ganeshotsav or Navratri or mosques". It observed that festivals like Ganeshotsav andNavratri can get noisy. "They are a source of continuous noise pollution. It is impossible to

sleep during Ganeshotsav, particularly its last five days," said Justice Kanade, adding that

"patients and old people at home" are especially affected. The judges called for a citizens'

initiative against noise pollution.

The judges directed the state to file an affidavit on whether all mosques in Mumbai and Navi

Mumbai that use loudspeakers have sought permission for them. "If necessary permission is
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not obtained, the police are directed to take adequate steps to removal these loudspeakers,"

they noted in their order.

MNS wants 5-day school break for Ganesha,

govt passes buckMUMBAI: For a second year running, schools in the city are roiled by confusion overGaneshotsav holidays, thanks to the government's shilly-shallying. The state education

department recently sent them an equivocal letter referring to the MNS youth wing's

demand for a five-day school vacation during the festival period, but gave them no

directions on what to do.

Last year, pressured by the Maharashtra Navnirman Vidyarthi Sena , a circular was issued

last-minute to schools to give additional four days off for Ganeshotsav. The late

announcement had created uncertainty among school administrations, upset their

schedules, affected the length of other vacations, and derailed the travel plans of severalfamilies with school-going children.

This year, a rerun of the confusion is playing out. The MNVS has rekindled its demand and

the government appears unable to decide. Ganeshotsav begins on August 29.

"Mumbaikars celebrate the festival on a large scale. Many children travel with parents to

their native place, so they miss school. Ditto with teachers. So we want schools to give a five-

day vacation and the break to be made a part of the yearly academic calendar," said MNVS

vice president Sainath Durge.

Earlier this month, Sarjerao Jadhav, director of secondary and higher secondary education,

wrote a letter to deputy director of education for Mumbai division, saying that the education

department should take a decision after considering the demands of various groups. "We

just want that the schools should start and close on the same day and the number of

holidays cannot exceed as prescribed (sic). The local authority (the deputy director and the

BMC education officer) will take a call. Depending on the region, the schools might want to

give longer breaks for different festivals," said Jadhav.

The same letter was sent to schools. "The deputy director did not want to burn his fingers,

so he just forwarded the letter to schools and allowed them to decide. If schools are allowed

to take the final call, most of them will not abide by the demand," said Durge.


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The uncertainty has confounded schools and students alike. Some schools like Christ

Church School in Byculla have decided to go ahead with a one-day holiday. "But we have not

scheduled any examinations or activities around that time, so that our schedules are not

disturbed in case of a last-minute change," said Carl Laurie, principal of Christ Church

School.

Others are being more cautious. "The festival's first day is a Friday; it is followed by the

weekend. To be on the safe side, we will give two more days off. We will compensate by

cutting a day each from the Diwali and Christmas vacations," said Chandrakanta Pathak,

principal of HVB Global Academy at Marine Lines.

Nearly everyone is worried about exceeding the annual holiday limit of 76 days. "There is no

clear directive in the letter sent to us. We cannot give more than 76 holidays, which means

we have to cut down on other vacations. This is again a problem," said Suresh Nair,

principal of Vivek Vidyalaya in Goregaon. Principals of schools in some western suburbs will

meet on August 5 to take a decision on the issue. In 2013, Christian groups were upset as

two days were reduced from the Christmas vacation.

MNVS members met school education minister Rajendra Darda on Wednesday to put forth

their demand. "They have made a representation to the minister. We will examine it," said

school education secretary Ashwini Bhide. Deputy director of education N B Chavan and

BMC education officer Shambhavi Jogi were unavailable for comment.

SC tells Supertech to refund money to flatownersNEW DELHI: The Supreme Court on Wednesday asked Supertech to refund the principal

amount along with 14% interest by October 30 to flat owners in Noida's Emerald Court twin

towers, which were sealed on May 5 when the demolition ordered by the Allahabad high

court was stayed by the apex court.

The builder said it would cast a huge liability as the interest on money paid five years ago for

booking flats in the twin towers would exceed the principal amount. This means, if a person

had booked a flat paying Rs 50 lakh, then s/he would get back nearly Rs 1 crore from the

builder.


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A bench of Chief Justice R M Lodha and justices Kurian Joseph and R F Nariman asked

Supertech to pay nearly 50 flat owners the principal amount by August 30 and the

compound interest accrued at 14% per annum by October 30.

When Supertech showed reluctance in coughing up money immediately, on the ground that

it would spell its ruin and could stall other projects, the bench showed the builder its April

19 letter to flat owners offering them a refund with 14% interest or an alternative flat at the

builder's other projects.

While almost all wanted their money back, only one among the 50-odd flat owners who had

moved court accepted the builder's proposal for a flat at an alternative project. The bench

asked the builder to provide that person with an alternative flat within a month.

When the arguments commenced, the bench was firm that the principal amount must be

paid back within a week and brushed aside Supertech counsel Ravindra Shrivastava's

request for an adjournment.

The bench said, "It is the duty of the builder to give clear title and possession of the flat to

the person who has paid for it. The high court has said that it was constructed in

contravention of law. The question is pending adjudication before us. If they want their

money back, we cannot make them wait."

It added, "You are holding their hard-earned money, which they had paid to get a shelter.

They are entitled to get back their money. They did not purchase litigation. They cannot be

made to wait indefinitely and run to the court to fight with the builder. They cannot be kept

floating on the hope that some day they will get their flat."

On May 5, the Supreme Court had spared Supertech's twin 40-storey residential towers

from demolition but ordered that the controversial buildings would remain sealed tillfurther orders. It had also ordered that flats there could not be further sold, allotted or

transferred. The interim order had come on Supertech's petition challenging an Allahabad

high court judgment ordering demolition of the towers on the ground that these were

constructed in violation of building bylaws.

The Supreme Court had also sniffed a nexus between the builder and the Noida Authority.


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From the history of the building plan sanctioned by the Noida Authority, which kept

increasing the number of floors in favour of the builder, the court found that the initial

sanction plan in 2005 had permitted construction of ground plus nine floors. Next year, it

was allowed to build ground plus 11 floors. On November 26, 2009, the authority allowed

the builder to construct ground plus 24 floors and construction started a month or two later.

But the builder went ahead and constructed ground plus 40 floors and argued before the

court that it knew that it would later get permission from the Noida Authority. Residents of

the complex within which the twin towers were being built approached the high court

seeking demolition of the towers, terming them illegal.

Government planning to convert 12 of 13 Union govt-ownedports into companies

Bangalore: The National Democratic Alliance (NDA) government is planning to convert 12 of the 13 ports

owned by the Union government into companies to improve efficiency and competitiveness. The ports

currently operate as trusts. The shipping ministry has initiated the process for appointing a consultant for

corporatization of ports, a spokesman for the ministry said. We are planning to seek cabinet approval by

March 2015 to enable corporatization of ports through amendments to the Major Port Trusts Act, he

added. Currently, 12 of the 13 ports controlled by the Union government are run as trusts under a law

framed about five decades ago, called the Major Port Trusts Act, 1963. Ennore Port in Tamil Nadu is the

only exception. Ennore Port Ltd was formed as a company under the Companies Act, 1956, when it was

opened in 2001. The 13 ports together account for some 52% of Indias external trade shipped by sea. In

the year to March 2014, these ports together loaded 555 million tonnes of cargo. This is the NDAs

second attempt at corporatizing the ports, picking up from where it had left the initiative more than 10

years ago after losing power in the 2004 polls. The earlier NDA government led by Atal Bihari Vajpayee

had introduced a Bill to amend the Major Port Trusts Act, which fell through because lawmakers were

divided on the issue. The chances of corporatizing the ports are significantly brighter this time, as the

NDA government has a sizeable majority in the Lok Sabha though the Bills passage in the Rajya Sabh a

could pose a problem due to lack of numbers. The earlier plan also failed because some 65,000

employees (now down to 48,000) and their unions were opposed to the move. Besides, the government

realized that it would be impossible to convert ports such as those located in Kolkata, Mumbai and Kandla

into companies due to land issues. Labour unions are still opposed to the move. Corporatization is not


17/31

required at all, said M.L. Bellani, secretary of the All India Port and Dock Workers Federation, the larges t

of the four workers unions at the 12 ports. He said the MPT Act can be amended to make the 12 ports

more efficient. More than 50% of the port activities are already privatized. Ports are public properties

sitting on large tracts of land. Why should the government corporatize the ports and give the land to

private firms? Experts disagree with the union. The governance structure of major ports needs

significant change, the National Transport Development Policy Committee headed by Rakesh Mohan, a

former deputy governor of the Reserve Bank of India, wrote in a January report. The current governance

structure of major portsthe public service port modellacks potential to attract private capital, the

report said. While it was appropriate for a period when centralized economic planning was the norm, it

does not fit well into a market-oriented economy and needs to move towards a landlord model. In the

landlord port model, the publicly-governed port authority acts as a regulatory body and as landlord, while

private companies carry out port operations, mainly cargo handling activities. The port authority maintains

ownership of the port, leasing the infrastructure to private companies who provide and maintain their own

superstructure and install their own equipment. Currently, most of the major port trusts in India carry out

terminal operations as well, resulting in a hybrid model of port governance. According to the Rakesh

Mohan panel report, the port trusts could be transformed into publicly-owned statutory landlord port

authorities by a separate law and not through the Companies Act to provide more room for socio-political

objectives rather than just maximization of shareholder value. The terminal operations of these port trusts

could be converted into public sector corporations, the panel suggested. The 12 ports have also started

revaluing their land to facilitate leasing and licensing in accordance with the new land policy. This is also

expected to help the process of corporatization.

Cabinet approves changes in labour laws

New Delhi: The Union cabinet on Wednesday approved proposals to amend three key labour laws,

including the Factories Act 1948, pushing ahead with reforms to archaic legislation considered an

impediment to output growth and employment creation in the labour-intensive manufacturing sector. The

other two proposals relate to the amendment of the Apprentices Act 1961 and the Labour Laws

(exemption from furnishing returns and maintaining registers by certain establishments) Act, 1988, labour

ministry officials said on condition of anonymity. No official announcement of cabinet approval had been

made as of press time on Wednesday. While we have tried to ease the process of doing business with

industries, the amendments have kept in mind the safety and welfare of employees, said one labour

ministry official. The proposed changes to the Factories Act centre on five pointsimproved safety of

workers; doubling the provision of overtime from 50 hours a quarter to 100 hours in some cases and from


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75 hours to 125 hours in other work of public interest; increasing the penalty for violation of the Act;

relaxing the norms for women to work in some industry segments at night; and reducing to 90 from 240

the number of days an employee needs to work before becoming eligible for benefits like leave with pay.

In a written reply to the Rajya Sabha on Wednesday, minister of state for labour Vishnu Deo Sai had said

the government was considering changes to the 66-year-old Factories Act to make it more compatible

with the requirement of the present scenario in the industrial sector. The official said the proposed

amendment would do away with a provision for prosecution of factory owners for petty offences like not

maintaining a clean toilet, for instance. The amendment proposes to reduce punishments prescribed

under such heads to remove the fear of persecution among factory owners. Sai also said in the Rajya

Sabha that the government was making provisions for enhancing the safety of workers and for better

amenities on factory premises. In the Apprentices Act, the government is seeking to expand the scope of

employment as apprentices on the shop floor. Until now, most apprentices have been from engineering

backgrounds; the government is seeking to push for the induction of non-engineers as apprentices. It is

aimed at allowing young job seekers and students to gain industry- relevant skills on the shop floor. The

salary segment too has been liberalized, the labour ministry official said. In the first year, an apprentice

will get 70% of what a semi-skilled worker gets, in the second year 80% and in the third year 90%. For

those employed in small-scale industries, the government will pay 50% of their salary and the factory

management the remainder. This will increase the...skilled manpower in the country and help industries

get job-ready employees, the official said. Indiahas 300,000 apprentices; Germany has more than 3

million. Amending the Act would open the doors to employment as apprentices for millions more. The

proposal to amend Labour Laws (exemption from furnishing returns and maintaining registers by certain

establishments) Act, 1988, will allow thousands of small industries to file just one return for compliance

with a dozen or more labour laws. Once the amendment is passed, it will exempt small industries with

less than 40 workers from the need to comply separately with each of the laws. A single-page return on

compliance will do. The initiative is a fine balance between labour welfare and industry-friendly and job-

oriented reform, said a second labour ministry official, who also declined to be named. Trade unions are

opposed to some of the industry-friendly changes the government is bringing about and will meet in the

first week of August to discuss the proposals, said D.L. Sachdeva, national secretary of the All India

Trade Union Congress. We are opposed to the proposal to put women in the night shift. We are also

opposed to increasing the overtime limit to 100 hours from 50 hours per quarter, he said. The cabinet

also decided to place in Parliament action taken reports on the findings by a commission that s tudied

illegal mining in Jharkhand, Odisha and Goa. [email protected]

Modi Cabinet clears labour reform Bills


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Likely to be tabled in current Parliament session

TheUnion Cabinet on Wednesday approved amendments to three labour laws. Among key

proposals cleared is doing away with the clause that allows arrest of employers for not implementing

the Apprenticeship Act. However, relaxed norms for retrenchment, like those proposed by Rajasthan

in its labour reforms, were not part of these Bills.

Besides the Apprenticeship Act, 1961, amendments to theFactories Act and theLabour

Laws (Exemption from Furnishing Returns and Maintaining Registers by Certain Establishments) Act

were okayed, said officials. These pieces of legislation, according to them, are expected to be tabled

in the current session of Parliament.

There has been a growing feeling that employers tend to avoid hiring apprentices over fear of arrest

under the Act. "Training facilities available with them go unutilised," the labour ministry had saidwhile drafting the proposal.

Amendments to the Act, the ministry said, "would encourage more employers to join the

apprenticeship training scheme and would also remove the fear of prosecution".

Vishnu Deo Sai, minister of state for labour, said in a written reply in the Lok Sabha: "The

apprenticeship regime in India manages to train 282,000 apprentices... against 490,000

apprenticeship seats in the central and state-sector establishments."

To complement Prime Minister Narendra Modi's vision on skill development, theApprenticeship

Actamendments will add 500 new trades. Companies might also be allowed to start new trades

without waiting for the Centre to notify those.

Amendments to the Factories Act include increasing the overtime limit for employees from 50 hours

a quarter to 100 hours, relaxing restrictions on night work for women in factories and empowering

the central government to make rules on health and safety hazards.

Changes in the Labour Laws (Exemption from Furnishing Returns and Maintaining Registers by

Certain Establishments) Act include reducing the need for small firms to maintain registers. The

definition of small establishments has also been proposed to be changed to firms hiring up to 40

employees, against 10 currently.

Industry has blamed India's outdated labour laws as a hindrance to growth. The Bharatiya Janata

Party's election manifesto promised to bring together stakeholders to "review our labour laws, which
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are outdated, complicated and even contradictory".

The Centre was also actively considering amendments to the Child Labour (Regulation and Abolition)

Act, 1986, and the Minimum Wages Act, 1948, officials said.

The government might exempt National Investment and Manufacturing Zones from certain

provisions of the Contract Labour Act. Under the proposal, workers at units in these zones could be

removed without notice or compensation, if the employer provides them with alternative

employment in the same zone at the same pay and conditions of work. Talks with trade unions over

this are on.

EASIER WORK RULES

FACTORIES ACT, 1948

NIGHT WORK:Norms for woman factory workers to be relaxed

OVERTIME:Limit to be raised to 100 hours (from 50) in a quarter

SAFETY & HEALTH:Centre to get power to make rules on key aspects of occupational

safety and health

APPRENTICESHIP ACT, 1961

EMPLOYERS:The clause allowing employers' imprisoned for not implementing the Act to

be dropped; a Rs 500 fine per shortfall of apprenticeship month to be imposed

NEW TRADES:Companies could add new trades under the Act without the Centre's

approval

AMBIT:Contractual workers, daily workers, agency workers and casual workers to come

under Act

PARITY:Holidays, leaves, shift working for apprentices to be made the same as regular


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workers

LABOUR LAWS ACT, 1988

REGISTERS:The need for small firms to maintain registers under the Scheduled Acts to

be lowered to two; very small firms may maintain only one

E-RECORDS:Records to be maintained in electronic media

DEFINITION:'Small establishments' to mean firms employing between 10 and 40 people

SC orders Supertech to refund Noida flat buyersIn an order expected to have wide-spread implications for home buyers who have their savings stuckin litigious property, the Supreme Court has directed Supertech to refund, with interest, those allotted

flats in its Noida twin towers, which are now under threat of demolition.

The realty major must return within 30 days the principal amount paid by those buyers who have

accepted its refund offer, the court ruled Wednesday. They cant wait indefinitely. They are entit led

to their hard-earned money. They cant keep moving court, said a bench headed by Chief Justice

RM Lodha.

The SC also ordered Supertech to pay 14% compoundable interest on the principal amount by

October 30. It clarified that only those who responded to Supertechs refund offer before the cut-offdate of April 30 would be eligible.

Video: SC orders builders to refund buyer's money


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Of 600 buyers allotted flats in two under-construction towers of Supertechs Emerald Court in

NoidasSector 93A, 53 have opted for refund. They will also be paid interest from 2009 onwards, the

year work started on the Apex and Ceyane towers. Buyers had paid between Rs. 70 lakh and Rs. 90

lakh as principal amount.

The bench also said that for those who wanted an alternate flat instead of a refund, Supertech would

accommodate them in its other housing projects. Around 100 buyers have opted for this solution,

though only one approached the court, on whose plea the SC gave relief.

Acting on a petition filed by the RWA of Emerald Court, which houses 15 other residential towers,

the Allahabad HC on April 11 ordered demolition of the twin towers for flouting building norms. The

RWA contended that the builder had changed the plan outlay from the original 11 storeys to 40

storeys without its consent, and that the new height of the towers threatened the safety of other

residents. Subsequently, the Noida authority sealed the twin towers on April 15.

On April 19, Supertech issued a letter to the buyers offering them either a refund or flats in other

projects.


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It also moved SC against the demolition order. But after the top court on May 5 ordered status quo

on the high court ruling, the company seemed to go back on its offer, contending that it wasnt in a

position to refund buyers as the interest was higher than the principal. This prompted the 53 home

buyers to seek redressal from the SC.

It is your obligation to give flats with clear titles but the HC directed you to demolish the buildings.They (buyers) cannot remain in limbo. They cannot remain out of shelter. You cannot say no, the

court told Supertech on Wednesday.

Read more:Allahabad high court orders demolition of two 40-storeyed residential towers

Antibiotics in chicken sold in Delhi-NCR: CSE

development of antibiotic-resistant bacteria inthe body.

According to research by Delhi-based think-tank, Centre for Science & Environment (CSE), 40 per

cent of the chicken samples tested contained antibiotics. It said chickens are fedantibiotics to ensure

faster growth. Antibiotics are no more restricted to humans, nor limited to treating diseases. The

poultry sector, for instance, uses antibiotics as a growth promoter. Birds are fed antibiotics so that

they gain weight and grow faster, said Sunita Narain, director general at CSE.

However, poultry farmers use antibiotics on the pretext of preventing diseases and it is hard to

differentiate between prevention of diseases and growth promotion, theCSE report said.

It would be difficult to comment on the finding without knowing the exact details about the sample.

However, about 94 per cent of the industry is in the unorganised sector, where quality control is an

issue, said Arabind Das, chief operating officer at Godrej Tyson Foods.

The company processes 100,000 birds a day at its plant in Bangalore and Navi Mumbai. We follow

the best global practices to stop any misuse of antibiotics and ensure that every bird goes through a

quarantine process so that there is no residual, Das said.

Bangalore-based Suguna Poultry was not available for comment immediately.

In fact, one-third of the chicken samples tested contained antibiotics generally used for treating

serious bacterial infections and the side-effects include diarrhoea, insomnia and mild skin rash.

CSEs Pollution Monitoring Laboratory (PML) tested 70 samples of chicken in Delhi and NCR. Of

these, half the samples were picked from Delhi, 12 from Noida, eight from Gurgaon and seven each
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from Faridabad and Ghaziabad.

The study showed of the 40 per cent samples found contaminated with antibiotic residues, 17.1 per

cent samples had residues of more than one antibiotic. All the tissues testedmuscles, kidney and

liverhad presence of antibiotics.

Repeated and prolonged exposure to antibiotics lead, by natural selection, to the emergence of

resistant strains of bacteria, Neil Schluger, chief scientific officer at World Lung Foundation, New

York, was quoted as saying in the study report.

The presence of antibiotics not only harms poultry but also poses a threat to humans consuming the

meat as the antibiotic can invade the human body and cause diseases that are difficult to treat, the

report stated.

Chandra Bhushan, CSEs deputy director-general and head of the lab, said the study can

substantiate the growing antibiotic resistance among Indians. Public health experts have long

suspected that rampant use of antibiotics in animals could be a reason for increasing antibiotic

resistance in India. But the government has no data on the use of antibiotics in the country, let

alone on the prevalence of antibiotic resistance. Our study proves the rampant use and also shows

this can be strongly linked to the growing antibiotic resistance in humans in India, according to

Bhushan.

As a consequence, drugs consumed by humans lose effectiveness and, in turn, newer antibiotics

would have to be discovered. However, no new class of antibiotic has come to market since the

1980s. Certain antibiotics detected even had fatal consequences. For instance, an antibiotic named

fluoroquinolone were found in 28.6 per cent of the chicken samples tested.

Resistance to a class of antibiotics, for instance fluoroquinolone, has fatal consequences.

Fluoroquinolone antibiotics are prominently used to combat infections in intensive care units.

Treating fatal diseases like sepsis, pneumonia and tuberculosis (TB) are becoming tough because

microbes that cause these diseases are increasingly becoming resistant to fluoroquinolones, the

survey said.

In value terms, the overall poultry market is estimated at about Rs 58,000 crore at the wholesale

price level, and is growing at around 8 per cent per annum, according to a report released by rating

agency ICRA in 2014. According to Planning Commission documents, the per capita chicken

consumption in India was around three kg in 2010, compared to 0.16 kg in 1961.


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Parsi Punchayet runs out of funds, stops two grants

The Bombay Parsi Punchayet (BPP), one of the city's richest trusts, is facing a severe financial

crunch, the likes of which it has never seen. Two of the community's foremost welfare schemes have

taken a direct hit. The trust is now mulling a last resort - liquidating fixed deposits to the tune of Rs

150 crore.

The BPP, a 350-year-old apex body for the 45,000-strong Parsi Irani Zoroastrian community in the

city, is also contemplating urgent measures, like increasing the rents,parking charges and services

charges in Parsi colonies. The BPP has blamed the prominent Wadia family for the financial crisis, as

its access to Rs 120 crore, which lies with the Wadia Committee of Management, has been blocked

due to an ongoing tussle over five Parsi baugs.

The Wadia Committee of Management, helmed by Nusli Wadia and his son Ness Wadia, looks after

the daily upkeep of the five Parsi colonies -- Nowroz Baug in Lalbaug, Rustom Baug in Byculla,

Cusrow Baug in Colaba, Jer Baug in Byculla, and Ness Baug in Nana Chowk.

The BPP and the Wadias have been at loggerheads after the latter demanded control over the five

colonies. Sources said the Wadias were upset after the BPP allegedly withdrew Rs 2 crore from a

corpus created for the five buildings' maintenance to pay priests' salaries. The Wadias wanted a

return to the arrangement existing till the early 1950s when the colonies were administered by the

RN and NN Wadia Trust. The Wadias also wanted to use the funds exclusively for the housing of

poor Parsis and no other activities. When contacted, a spokesperson for the Wadia group refused to

comment.

Another reason cited for the punchayet's crisis is the ongoing litigation against 'renegade' priests,

due to which the BPP has spent more than Rs 3 crore. The crisis has led to the BPP stopping two of

its more popular schemes, the Mobed Amelioration Scheme, which aims to help priests, and the

Second Child Incentive Scheme. BPP chairman Dinshaw Mehta confirmed that not a single paisa has

been paid to any Parsi under the two community schemes since April.

"We have absolutely no funds to keep these schemes running," said Mehta. "The situation is so bad


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that we will have to liquidate our fixed deposits, which earn us up to 10.5 per cent interest. We are

also considering increasing the rent, services charges and parking charges in our colonies to earn

more money." He added, "Worse is that we cannot touch the Rs 120 crore stuck with the Wadia

Committee of Management, even though it's our money."

The Mobed Amelioration Scheme is a welfare scheme for Parsis who become full-time priests. Rs

10,000 is paid to these priests every month. The Second Child Incentive Scheme is aimed at tackling

the issue of dwindling population in the community. It involves giving Rs 3,000 per month to

couples who have asecond child till s/he turns 18 years old.

Mehta said the priests' scheme had a quarterly expenditure of over Rs 80 lakh, with over 250 full-

time priests benefiting from it. The second child scheme had a quarterly expenditure of over Rs 30

lakh. While four BPP trustees have no objection to restoring the Parsi colonies to the Wadias, the

other three, including Mehta, are against any such move.

Jenangir Patel, editor of community magazine Parsiana, said the BPP's main source of income -- flat

transfers -- has dried up since last year due to a stay on the properties by the charity commissioner.

"Besides staff salaries, upkeep of Doongerwadi and ongoing litigations, the BPP also has many old

age homes and institutions to look after. In a scenario like this, the BPP is definitely going through

financial turmoil," said Patel.

Returning NRIs get tax exemption for two years

I used to work for a bank till December 2013 and then retired. My tax returns are up to date. However, I

got a job in a foreign country in January 2014. Now, as per the income tax rules, the previous year ends

in March 2014 for the assessment year 2014-15. Since according to the income tax rules, I am not a non-

resident Indian (NRI), since I have not stayed out of the country for more than the stipulated number of

days in the previous year, how will my income earned abroad be treated as per the Income-tax Act?

Should I pay tax on my foreign earnings in India? I am paying tax abroad on my earnings. Khetan

Kumar The scope of your taxable income and the consequent tax liability depends upon your residential

status. Considering your stay in India exceeds 182 days during the financial year 2013-14, you will be

treated as a tax resident of India and the entire income earned by you in India or outside India would be

taxable in India. However, depending upon the country in which you are employed, you may be eligible to

claim the credit of taxes paid on the salary earned in the foreign country against your tax liability in India


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under the relevant double taxation avoidance agreement. Further, you should consult a tax adviser with

specific facts. After coming back to India, I have converted some of my foreign currency non-resident

(FCNR) deposits to resident foreign currency (RFC) deposits. How long can I enjoy tax-free interest on

both my FCNR and RFC deposits? Christine DSouza Interest earned on deposits held in foreign

currency with a scheduled bank, by a non-resident or by a person who is not ordinarily resident (RNOR),

is exempt from income tax as per the provisions of section 10(15) of the Income-tax Act, 1961. The

exemption would be available until you are non-resident or a RNOR under the Act. An individual is

considered to be RNOR if she has been a non-resident in India in nine out of the 10 previous years

preceding that year, or has been in India for a period of 729 days or less during the seven previous years.

Typically, a returning Indian who has been a non-resident would continue to enjoy the tax exemption for

two years upon acquiring the status of RNOR. You should consult a tax adviser and determine your

residential status for examining your eligibility to seek exemption. Queries and views at

[email protected]

Govt to fast-track labour law amendments

is opposed to allowing women to work in night shifts. We are opposed to the changes in the labour laws. These

amendments have been made without providing for social security for a majority of workers and it is a move that is

totally towards the corporates, said Nilotpal Basu, a member of the central committee of the Communist Party of

India (Marxist). Now the opposition will be on the streets. With the number of opposition seats, we will have to

oppose outside the Parliament, he added. Pretika Khanna contributed to this story. New Delhi: Business-friendly

legislation aimed at flexibility in hiring will be introduced in the ongoing Budget session of Parliament, the government

said on Thursday, a day after the Union cabinet signed off on the relevant amendments to decades-old laws. The

signal came as Rajasthans Bharatiya Janata Party (BJP) government late on Thursday passed amendments to four

key labour lawsthe Industrial Disputes Act, Factories Act, Contract Labour Act and the Apprentices Act. With this

the BJP-led National Democratic Alliance (NDA) at the centre has not only signalled its willingness to move ahead on

a politically sensitive issue, but also set the context for proceeding on more contentious legislation like the Industrial

Disputes Act. On Wednesday, the Union cabinet approved proposals to amend three labour laws to make it easier for

businesses to hire workersthe Factories Act, 1948, Apprentices Act, 1961 and Labour Laws (exemption from

furnishing returns and maintaining registers by certain establishments) Act, 1988. While Rajasthan has amended four

labour laws, Congress-ruled Haryana too plans a similar proposal, Mint reported on 17 July, implying bi-partisan

consensus on the need for labour reforms and increasing the prospects of the amendments winning approval in the

Rajya Sabha, where the NDA is in a minority. Labour and employment minister Narendra Singh Tomar said the NDA

is reforming the laws without compromising workers welfare and aiming to create better circumstances for


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employment. These Bills will come soon in the Parliament and we are hopeful that it will come in this session of the

Parliament, he said. Labour ministry fundamentally works for the benefit of workers, but when the word labour

comes, then it is linked to industry. So all amendments are being done keeping in mind the welfare of workforce and

keeping in mind the views of the industries, Tomar said, before clarifying that the changes will benefit workers

significantly and create jobs in a big way. Without mentioning any targets for job creation, he said, A lot of jobs will

be created and government is committed to this, adding the reforms will show results over time. People are looking

at the government with hope and aspiration, and the way government is taking quick decisions, it will open the job

market in every sector. The governments move is in keeping with pledges made by the BJP in its manifesto for the

general election, which said it promised to bring together all stakeholders to review our labour laws which are

outdated, complicated and even contradictory. Industry experts welcomed the move to amend the lawsthe oldest

of which dates back 66 yearssaying it will boost manufacturing in India. Sunil Munjal, joint managing director, Hero

MotoCorp Ltd, Indias largest two-wheeler company, said the reforms shall give India a rightful place in the comity of

nations. India needed this for long and we have been asking for it a long, long time. I have not gone through the

details but I can tell you such steps create massive employment. It is not good only from the industry point of view but

also from the workers point of view. The government should make sure that a right balance is there between an

employee and the employer, he said. The proposed changes to the Factories Act centre on five pointsimproved

safety of workers; doubling the provision of overtime from 50 hours a quarter to 100 hours in some cases and from 75

hours to 125 hours in other work of public interest; increasing the penalty for violation of the Act; relaxing the norms

for women to work in some industry segments at night; and reducing to 90 from 240 the number of days an employee

needs to work before becoming eligible for benefits like paid leave. Surinder Kapur, chairman, Sona Group, one of

Indias largest autoparts makers said,This was in the making for long. I am complimenting the government on this.

One can debate on whether 100 hours (of overtime) is sufficient or 80 hours but the good part is these amendments

will ensure that people will be looked after well and manufacturing will get more competitive. He said the

amendments will please the garment and textiles industry as their demand for allowing women to work at night was

being addressed. This shall improve productivity and flexibility at factories. This is a welcome step but a lot needs to

be done, he added. Regarding the Apprentices Act, the government is seeking to expand the scope of employment

for apprentices and is pushing for the induction of more non-engineers as apprentices. It is aimed at allowing young

job seekers and students to gain industry-relevant skills on the shop floor. The compensation segment too has been

liberalized: in the first year, an apprentice will get 70% of what a semi-skilled worker gets, in the second year 80%

and in the third year 90%. For those employed in small-scale industries, the government and managements will

equally share the burden of salaries. The proposal to amend Labour Laws (exemption from furnishing returns and

maintaining registers by certain establishments) Act, 1988, will allow thousands of small industries to file just one

return for compliance with 16 labour laws. The quick action has demonstrated the governments strong commitment

towards pushing key labour reforms to encourage economic growth and generate employment opportunities in the


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country, said Chandrajit Banerjee, director general of the Confederation of Indian Industry (CII), a lobby group. CII

had been recommending key reforms in laws like the Factories Act, Industrial Disputes Act and others for bringing in

simplification and flexibility in engagement and deployment of labour, which should be the two cornerstones of any

labour law reform, Banerjee said. Meanwhile, Vishnu Sharma, additional labour commissioner in the Rajasthan

government, said that the state governments move on Thursday will improve the investment scenario in the state,

boost manufacturing, create more jobs and help the young get skill-trained on the shop floor. Rajasthan became the

first state to approve amendments to labour laws in the first week of June, Mint reported on 9 June. Now the

proposed legislation will be sent to the central government for its final approval. In an interview to Mint, Rajasthan

chief minister Vasundhara Raje said: I believe if you look at reforms in this sector, it doesnt go towards hurting the

labour; it goes towards improving the habitat for employment and that, I think, is very, very important. Like I said in

the bus port business, we are not going to hurt them but we are creating opportunities for others. The Union

governments move was criticised by Left parties and trade unions. D.L. Sachdeva, national secretary of the All India

Trade Union Congress (AITUC), said the government was playing into the hands of industries and that all the reforms

were anti-workers. He said AITUC

Euthanasia needs law, not judgment

Somasekhar Sundaresan

Supreme Court will now consider the legitimacy of a will if a person with sound mind declares that, if he

or she were terminally ill, they should not be kept clinically alive.

The debate over the right to die as an integral component of the right to life is back. In public interest

litigation on the subject, the Supreme Court has issued a notice to the central government and all state

governments to give their views and has also appointed amicus curiae.

Demands for the Indian law to provide for a legitimate right to take one's own life have often been made

in the past. These have ranged from seeking to de-criminalize attempts to commit suicide, to seeking to

legalize mercy killing. So far, there has been no success.

The Supreme Court will now consider the legitimacy of a "living will" whereby a person of sound mind

may will that if she were to get terminally ill with no chance of recovery she should not be kept clinically

alive with just the help of life support systems. Based on such a choice consciously made with a sane mind,

the person making the living will would avoid the pain of having to live in a vegetative or terminally ill

state.


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Aliving will would violate the current Indian law. An attempt to commit suicide is still a crime in India.

Abetment of suicide is also a crime. To be able to make a living will, one would need to decriminalize both.

The choice to end one's own life, i.e. killing oneself, is "suicide". Enabling a person to kill herself is

abetment of suicide. If an attempt to commit suicide were to be successful, only the abetment can be

investigated, since one cannot prosecute a dead person.

The making of a living will would therefore be suicide conditional upon becoming terminally ill. Helping

achieve the intention to take one's own life would be abetment of suicide. Things can get more complex.

Let's say one were to argue that after making a living will, the person making it had a change of heart -

even on bequests of property there are often competing wills that different parties press as being the real

and final reflection of the dead person's intention.

So also, if the author of a living will is placed on life support systems without knowledge of the living will's

existence, upon the document being found, someone would need to follow the instructions to pull the

plug. Those who assist in taking off the life support would be abetting suicide under current law.

If the patient's death would be of immense value to those close to the patient - typically, relatives are those

who inherit property upon death - the suspicion over the validity of the living will would be immense.

Therefore, carefully nuanced terms and conditions under which a living will may be executed would need

to be spelt out. This would obviously be a law-making exercise rather than an exercise of interpreting law.

If the Supreme Court were to agree with the petitioner, it could strike down the criminal law provisions

entirely. Typically, courts would seek to read down the provisions, setting out specific circumstances in

which the actions would not be a crime in order to reconcile the provisions with the constitutional right to

life. Indeed, the court could well speak its mind on the issues involved but leave it to the law-makers, who

have been elected into office to legislate, to write well-considered legislative provisions.

The Attorney General has been quoted stating that "It is for Parliament and the legislature to take a call

Paper Cutting 1

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