The Supreme Court stated last week that concealment of facts from an arbitrator is an act of fraud and new facts which have a bearing on the award should be allowed to be brought before him. The court stated so while allowing the appeal of US-based Venture Global Engineering against the ruling of the Andhra Pradesh high court in its dispute with Satyam Computer Services.
Attention of the members is invited to the announcement regarding requirement relating to mentioning the firm registration number in the audit reports and resolution passed by the company for appointment of statutory auditors, published on page 1312 of the February 2010 issue of the Journal.
The Supreme Court of New York has asked Upaid Systems Ltd to cooperate with IDBI Bank, the Escrow Agent, and allow it to withhold any applicable taxes from the $70-million settlement amount. This might result in savings of taxes for the scam-hit company.
A representation has been received seeking clarification whether donations and grants-in-aid received from different sources by a charitable Foundation imparting free livelihood training to the poor and marginalized youth, will be treated as ‘consideration’ received for such training and subjected to service tax under ‘commercial training or coaching service’.
The Government has said statutory auditors for Government Companies are appointed by the Comptroller & Auditor General of India (C&AG) in exercise of the powers conferred under section 619(2) of the Companies Act, 1956 as amended vide Companies (Amendment) Act, 2000.
The Government has said that the Department of Public Enterprises has so far not issued any guidelines regarding the assessment of working of non-official Directors on the Board of Central Public Sector Enterprises (CPSEs).
Regulation of Tariff has been mandated to Telecom Regulatory Authority of India (TRAI) vide the TRAI Act of 1997. As per the extant TRAI guidelines, there is no bar on offering tariff plans such as Zero Rental Plans provided that there are no fixed monthly charges applicable in such plans.
Composite FDI (Direct + Indirect) in telecom sector is 74%, which is sectoral cap. After increase of FDI limit from 49% to 74% in November 2005, the companies as per list given in the Annexure have utilized increased FDI ceiling for telecom services.
The Government has said that the Institute of Chartered Accountants of India (ICAI) has not reported any irregularities in the accounts and violations of auditing norms by some Indian Premier League (IPL) teams. This information was given by Shri Salman Khurshid, Minister of Corporate Affairs, in written reply to a question in the Rajya Sabha today.
Concerned over brokers misusing the funds lying in investors’ trading accounts, market watchdog SEBI has asked the brokerage entities to return the clients’ un-utilised cash at the end of every month or quarter.
