Vinod Kothari & Company –September, 2012

Sparsh.. touches..

Vinod Kothari & Company Vinod Kothari Consultants P Ltd Academy of Financial

Services P Ltd 1012 Krishna 224 AJC Bose Road Kolkata – 700017 91-33-22817715/ 1276/ 3742 Also at: 222, Ashoka Shopping Centre 2nd Floor, LT Road Near GT Hospital Mumbai- 400 001 91-22-22675600

In this Issue:

Editorial

Our Articles Published

What’s happening at VKC and VK & Co.

Our Corner Contact Us

September, 2012

Vinod Kothari & Company –September, 2012

Highlights of September, 2012:

Articles published in moneylife

Supreme Court’s Sahara Ruling: Salute to the Judges, but a huge question mark before the financial regulators, by Vinod Kothari

FDI in Retail Business: the Key Issues of the New Policy, by Nidhi Bothra

Infrastructure Bonds: Now being eligible for investment by Charitable/Religious Trusts, co-authored by Nidhi Jain and Piyush Sinha

Our Forthcoming Workshops

Leasing Workshop

The 3-in-1 Workshop: Securitisation Covered Bonds and Credit Default Swaps

Our Organisation selected for Campus Placements

EDP sessions undertaken

Birthday Celebrations

“There is no happiness except in the realization that we have accomplished something”

-Henry Ford Our newsletter touches has travelled through sands of time and today we at VK & Co. and VKC are proud to say that our articles, updates and other write-ups are topping the charts. It is the perseverance and strong team support which help us to strive forward and reach the pinnacle of success. Stay in touch with “Sparsh..” and with us!

-Sikha Bansal

sikha@vinodkothari.com

Editorial

Vinod Kothari & Company –September, 2012

Our Articles Published

Supreme Court’s Sahara Ruling: Salute to the Judges, but a huge question mark before financial regulators

-by VINOD KOTHARI published in moneylife

The ruling of the Supreme Court in the Sahara Real Estate Corporation (Sahara) case, issued on August 31, 2012, is a landmark ruling, because of: prudent technical interpretation of apparently unclear and conflicting provisions of the Companies Act, the SEBI Act and the Securities Contracts Regulation Act; extremely candid and sharp observations of the judges on the conduct of the appellants; and for upholding peoples’ pride and faith in the judiciary that legal sophistry cannot obfuscate what is so apparently a gross violation of the regulatory regime of the country. The Apex Court has dealt with several technical issues including jurisdiction of SEBI to deal with Sections 56, 62, 63, 67, 73 and the related provisions of the Companies Act; requirements of public companies to file final prospectus with SEBI under Section 60B of the Companies Act, whether issue of any security to 50 or more people becomes a public issue under Section 67 and obligation of companies to get the securities listed once it collects money from 50 or more persons, applicability of Rules 2003- whether it covers any issue, meaning of “Securities” – whether it will include ‘hybrid’ securities. The Court by giving a complete background of corporate laws, securities regulations in India and comparing the regulatory scenario in India with that in England affirmed the views of SEBI and the SAT that a huge sum of nearly Rs 20000 crores was collected from the public at large through issue of OFCDs and the same would amount to a public issue. The article emerged as lead article in moneylife. The article is also available on our website: see here. Views of Mr. Kothari on the Sahara Ruling were quoted on BBC news.

Vinod Kothari & Company –September, 2012

Our Articles Published

FDI in Retail Business: The Key Issues of the New Policy -by NIDHI BOTHRA published in moneylife

The Government of India recently notified the opening up of FDI (foreign direct investment) in multi-brand retailing in India. The series of Press Notes issued by the Department of Industrial Policy and Promotion is available here. In a snapshot, the changes in the Policy are: FDI in single brand retailing is allowed upto 100% (i.e. same as before), however the conditions for the same has been relaxed; FDI in multi-brand retailing has been allowed upto 51% (which was previously not allowed), subject to certain conditions. The consequences of the opening of FDI in multi-brand retail may be a matter of political debate, but it seems clear that the retail scenario may be due for a facelift soon. The article presented in Q & A format raises and simultaneously answers some key issues arising out of this significant step taken by the Indian Government. The article has been published in www.moneylife.in. See here. The article is also available on our website. Click here to view the same.

Vinod Kothari & Company –September, 2012

Our Articles Published

Infrastructure Bonds: Now being eligible for investment by Charitable/Religious Trusts

-by NIDHI JAIN and PIYUSH SINHA published in moneylife

For attracting investment in the infrastructure sector and in tune with the thrust of promoting investment in the infrastructure sector, a new section 80CCF was inserted in the Income Tax Act to provide that subscription during the financial year 2010-11 made to long-term infrastructure bonds (as may be notified by the Central Government), to the extent of Rs20,000, shall be allowed as deduction in computing the income of an individual or a Hindu Undivided Family. The Income Tax Department came out with a Notification dated 20 September, 2012 in which it extended the exemption facility to charitable or religious trusts or institutions for investment in infrastructure bonds. It is good that the benefit of investment in infrastructure bonds is being extended to charitable/religious trusts. However, a clarification from CBDT is expected as to why the benefit u/s 80CCF is not extended to the current financial year for individuals and HUF. The article co-authored by Nidhi Jain and Piyush Sinha has been published in www.moneylife.in and can be viewed here. The article can also be viewed here.

Vinod Kothari & Company –September, 2012

What’s happening at VKCPL Infrastructure &

Asset Finance Summit:

The Success Story

Infrastructure & Asset Finance Summit: The Indian Infrastructure industry witnessed a gathering of the market players brain storming the prospects, challenges, issues, concerns and way forward of the infrastructure & asset finance industry in India. The Sunville Banquets, in Mumbai on 6th-7th September, 2012 witnessed a critical discussion on the industry scenario by stakeholders concerning the industry. The industry experts expressed their concerns on the current lull in the industry. However, every cloud has a silver lining. The Summit carried the message of positivity in chorus that all the bottlenecks were ephemeral and the infrastructure and asset finance industry would soon set the ball rolling, attaining sustainable development and growth. Click here to see the Report on the Summit and see here for more on the Summit.

Vinod Kothari & Company –September, 2012

What’s happening at VKCPL

OUR FORTHCOMING WORKSHOPS

Leasing Workshop

VKCPL is organizing a 2 day workshop on “Leasing and Asset backed Financing” in Mumbai on 19th-20th November, 2012. Leasing has been the buzzword. There are varied reasons for which leasing has been doing well in India and there are several models floating in the market with more players wanting to understand and tap a share in the market. This Workshop is targeted at exploring all nuances of asset-backed financing. We will start with choosing between several forms of asset-backed financing and the parameters that go in that choice. We explain the legal and tax nuances inherent in different forms of asset – backed financing. To get the details, see here. To get the details, see here.

Vinod Kothari & Company –September, 2012

What’s happening at VKCPL

The 3-in-1 Workshop

Securitisation, Covered Bonds & Credit Default Swaps

6-Day Securitisation School conducted by VKCPL is considered as one of the most comprehensive and complete training program on Securitisation and Covered Bonds anywhere in the world-well established, drawing participants from all over the world every time. Securitisation, Covered Bonds & Credit Default Swaps: the 3-in-1 workshop is a compressed version of the famous world famous Securitisation School to be held on 21st-24th November, 2012 in Mumbai, India. It is an international training course on securitisation, covered bonds and credit default swaps packaged into one. An extremely productive workshop that would give enormous inputs sufficient to go and implement securitisation, covered bonds and credit default swaps. Get to know more here.

Get the details of the Master Class on a single click.

Look forward to “Housing Finance Summit” to be organized and hosted by VKCPL on 22nd-23rd January, 2013 in Mumbai. For more info on our past and forthcoming workshops, explore http://www.vinodkothari.com/secwork.htm

Vinod Kothari & Company –September, 2012

What’s happening at VK & Co.

EDP SESSION undertaken by

NIDHI BOTHRA at ICSI

The Institute of Company Secretaries of India has made EDP and SIP classes mandatory for certain class of students. Our colleagues have been undertaking various sessions of EDP/SIP/OTS classes. Nidhi Bothra undertook Sessions on “The usefulness of reading newspapers” in 21st EDP held on 21st September, 2012.

Our organization had participated in campus placement organized by EIRC of ICSI. This opens the gate for more and more meritorious students and will prosper our organization with deserving talents too.

Participation in Campus Placements

Vinod Kothari & Company –September, 2012

Our Corner

Birthday Celebrations

On 13th September we celebrated Abhijit’s birthday. We enjoyed a lot that day. We clicked lots of pictures, laughed and ate. The day will be cherished forever in our hearts.

Vinod Kothari & Company –September, 2012

1012 Krishna 224 AJC Bose Road Kolkata – 700017, India Ph: 91-33-22817715/ 1276/ 3742 Mumbai office: 222, Ashoka Shopping Centre 2nd Floor, LT Road Near GT Hospital Mumbai- 400 001 022-22675600

Mail to: vinod@vinodkothari.com; nidhi@vinodkothari.com Our Websites: www.vinodkothari.com www.india-financing.com