QBiz: Govt Asks for Jet Audit Report; Air India Sale Back on Table
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1. Govt Asks Jet Airways’ Lenders to Share Audit Report
Lenders of Jet Airways (India) Ltd were asked by the government to share findings of a forensic audit report of the grounded airline in March, around the same time the company’s founder, Naresh Goyal, quit all executive roles, two people directly aware of the matter said.
Though the contents of the forensic audit conducted by accounting firm EY have not been made public, the people cited above said the audit had cast doubts on several transactions that were carried out with entities related to Goyal, the airline’s founder and then chairman.
(Source: Livemint)
2. Vistara Promoters Infuse More Than Rs 4,000 Cr Over 12 Months
Tata Sons Ltd, the holding company of Tata group, and Singapore Airlines Ltd—the two promoters of Vistara—have infused total capital of over Rs 4,000 crore into the airline in the 12 months to April, according to documents filed with the corporate affairs ministry.
The large capital infusion is related to the airline’s expansion plans over the next few months.
The paid-up share capital of Vistara increased by Rs 600 crore in fiscal year 2018 and stood at Rs 1,620 crore as on 31 March 2018. With the capital infusion of Rs 4,020 crore since April 2018, the paid-up capital of Vistara now stands at Rs 5,640 crore.
(Source: Livemint)
3. Jaypee Infra Insolvency: Creditors’ Meet on 30 May to Discuss NBCC Bid
Debt-laden Jaypee Infratech’s financial creditors, which include bankers and home buyers, will meet on 30 May to discuss state-owned NBCC’s bid to acquire the realty firm and complete stuck housing projects. A meeting of Committee of Creditors (CoC) has been called on 30 May, sources said. As many as 13 banks and 23,000 homebuyers have voting rights in the committee. Earlier this month, creditors rejected a bid by Mumbai-based Suraksha Realty through a voting process.
Later, the CoC decided to put on vote the NBCC’s offer even as bankers were opposed to this move citing certain conditions in the resolution plan submitted by the public sector firm.
(Source: Financial Express)
4. Power Producers Outstanding Dues on Discoms up 63% in March
The outstanding dues of power producers on distribution utilities soared by 63 per cent to Rs 38,696 crore in March 2019 compared to the same month year ago, reflecting stress in the sector. According to PRAAPTI portal, distribution companies owed a total of Rs 23,699 crore to power generation companies in March 2018.
The portal was launched in May 2018 to bring in transparency in power purchase transactions between generators and discoms. In March this year, total overdue amount, which was not cleared even after 60 days of grace period offered by generators, stood at Rs 24,689 crore against Rs 15,585 crore in the same month in 2018.
(Source: Financial Express)
5. Air India Sale Back on Table, Govt May Divest Entire Stake in Carrier
Air India strategic sale is back on the table after a failed attempt last year. And this time, the government may consider 100 percent divestment of its stake in the airline, Business Standard has learnt.
Big businesses are being approached all over again to assess their interest in Air India and convince them to bid once the divestment process takes off, according to sources in the know. The civil aviation ministry and the Department of Investment and Public Asset Management (DIPAM) in the finance ministry are already on the job.
(Sources: Business Standard)
6. L&T Picks up Additional Rs 316 Cr Mindtree Shares
Infrastructure major Larsen and Toubro (L&T) has raised its stake in IT firm Mindtree by about 2 percent between 20 and 24 May by picking up shares worth over Rs 316 crore, according to regulatory data.
The development assumes significance as L&T has already acquired around 20 percent stake in the mid-sized IT firm from V G Siddhartha and Cafe Coffee Day and is keen to increase its shareholding up to 66 percent.
(Source: Business Standard)
7. Commerce Ministry Proposes to Reduce Compliance Time for Startups
The Commerce and Industry Ministry has proposed cutting down compliance time significantly to just one hour per month for startups as part of measures to ease regulatory requirements for budding entrepreneurs, an official said.
The proposal is a part of 'Startup India Vision 2024', prepared by the Department for Promotion of Industry and Internal Trade for the new government to promote the growth of budding entrepreneurs.
(Source: BloombergQuint)
8. Top-Level Appointments To Financial Institutions Expected Soon
With the new government taking charge this week, top-level and senior appointments to financial institutions that are pending for months are expected to be cleared soon, sources said.
A government-appointed panel had conducted interviews to fill top positions at National Housing Bank and India Infrastructure Finance Company Ltd. The names of shortlisted candidates are before the Appointments Committee of Cabinet, sources said.
(Source: BloombergQuint)
9. NITI Aayog For Revamp Of Indian Statistical System
NITI Aayog’s Vice-Chairman Rajiv Kumar has stressed on the revamp and modernisation of the Indian statistical system so that real-time data is captured and used for policy analysis.
The Aayog, Kumar says, is in touch with the World Bank for modernising the country's statistical system.
"One thing that I am clear about is that our statistical system needs to be revamped, modernised and get aligned with the statistical system in the world," he said.
(Source: BloombergQuint)
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