PMO to seek Modi's views on disclosing his letters with Atal

April 13, 2014

New Delhi, Apr 13: The Prime Minister's Office will take the nod of Gujarat Government and Chief Minister Narendra Modi for releasing the correspondence exchanged with the then Prime Minister Atal Bihari Vajpayee after the post-Godhra riots in 2002.

The information was earlier denied by the Central Public Information Officer of the PMO S E Rizwi citing section 8(1)(h) of the RTI Act, without giving any reasons, which exempts information that would impede the process of investigation or apprehension or prosecution of offenders.

Modis_viewsThe decision was overturned during the appeal before his senior Krishan Kumar, Director PMO, where the applicant had objected to the response of the CPIO saying he failed to give germane reasons behind denial of information.

The applicant had also underlined that the correspondence was 11 years old and was not likely to have an impact on the investigation, apprehension and prosecution of offenders.

Upholding the reasons given by the applicant, the appellate authority directed the CPIO to provide additional details with regards to the case.

"As regards contention that the grounds for exemption claimed under section 8(1) (h) are not tenable, CPIO PMO is directed to obtain fresh inputs in this regard and provide the same to the applicant within 15 working days," Krishan Kumar, Director and Appellate authority had decided.

In the latest response to six-and-a-half month old RTI application, Rizvi said after the appeal decision that the matter was referred to the office for fresh inputs.

"It is informed that third party (Gujarat Government and Modi in the present case) consultation under Section 11(1) of the RTI Act is underway on a similar request and response regarding disclosure of information in this regard will be provided to you after due process as envisaged in section 11 of the Act is completed," he said.

According to the section 11 of the RTI Act, a notice seeking views of the third party have to be taken with in five days of filing request but CPIO did not issue any such letter within the period.

The matter of third party consultation was raised citing an existing process which has been on seeking the views.

"The Central Public Information Officer or State Public Information Officer, as the case may be, shall, within five days from the receipt of the request, give a written notice to such third party of the request...," the Act says.

The RTI applicant had sought copy of all communications exchanged between the PMO and the Gujarat government between February 27, 2002 and April 30, 2002 on the law and order situation in the state.

The applicant had also sought copy of the communication exchanged between Vajpayee and Modi during that period which saw tense atmosphere in the state.

While refusing disclosure of information, the country's top office did not give any reasons as to how disclosure of information would attract section 8(1)(h) even though Delhi High Court has made it clear that cogent reasons be given while denying information under the clause.

"It is apparent that the mere existence of an investigation process cannot be a ground for refusal of the information; the authority withholding information must show satisfactory reasons as to why the release of such information would hamper the investigation process.

"Such reasons should be germane, and the opinion of the process being hampered should be reasonable and based on some material. Sans this consideration, Section 8(1)(h) and other such provisions would become the haven for dodging demands for information," Justice Ravindra Bhat had held.

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News Network
June 4,2020

New Delhi, Jun 4: India's Defence Secretary Ajay Kumar tested positive for COVID-19 on Wednesday, following which the defence ministry carried out a massive contact-tracing exercise, official sources said.

Kumar's condition is stable and he is currently under home-quarantine, they said.

At least 35 officials working at the ministry's headquarters in South Block in the Raisina Hills have been sent on home quarantine after reports of Kumar testing positive for the infection emerged on Wednesday morning.

There was no official comment on Kumar's health condition. The defence ministry spokesperson refused to comment on the issue.

It is learnt that Defence Minister Rajnath Singh did not attend office as part of a precautionary measure.

The offices of the defence minister, the defence secretary, the Army Chief and the Navy Chief are on the first floor of the South Block.

The sources said all laid down protocols on contact-tracing and quarantining of people are being scrupulously followed.

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News Network
March 6,2020

New Delhi, Mar 6: Shares of YES Bank and State Bank of India came under huge selling pressure on Friday as developments unfolded regarding SBI picking stake in the private lender. Shares of the lender hit record low of Rs 5.55, plunging 85 per cent, and were trading below its previous low of Rs 8.16 hit on March 9, 2009.

SBI, on the other hand, slumped 11 per cent to Rs 257.35 on the BSE. The benchmark S&P BSE Sensex was trading with a cut of over 3 per cent at 37,251.37 level.

In the past three months, share price of the private lender has plunged 41 per cent, while the state-owned lender has slipped 14 per cent. In comparison, the S&P BSE Sensex has dipped 5.6 per cent till Thursday.

On Thursday, the Reserve Bank of India superseded the board of troubled private sector lender YES Bank and imposed a 30-day moratorium on it “in the absence of a credible revival plan” amid a “serious deterioration” in its financial health.

During the moratorium, which came into effect from 6 pm on Thursday, YES Bank will not be allowed to grant or renew any loans, and “incur any liability”, except for payment towards employees’ salaries, rent, taxes and legal expenses, among others.

This is the first time that a bank of this size will be put under a moratorium by the RBI.

“The financial position of YES Bank had undergone a steady decline “largely due to inability of the bank to raise capital to address potential loan losses and resultant downgrades, triggering invocation of bond covenants by investors, and withdrawal of deposits,” RBI said in a statement.

“After the moratorium, the next step will be to infuse to money and keep the bank afloat. So from shareholders’ point of view, the future is certainly hazy as the capital requirement is huge. The good part, however, is that the RBI has stepped in and depositors don't have to worry,” says Siddharth Purohit, a research analyst at SMC Securities.

Meanwhile, analysts at Nomura believe that placing the Bank under moratorium implies that equity value in the bank would be negligible, and that the chances of private capital participating in future capital raising plan are near zero.

"Any resolution for Yes Bank is more proposed from the perspective of deposit holders and systemic stability, and not from the perspective of Yes Bank equity investors or even perpetual bond holders," they wrote in a note dated March 6.

In another development, SBI’s Board Thursday gave in-principle approval to consider an “investment opportunity” in YES Bank, even as it said “no decision had yet been taken to pick up stake in the bank”.

According to a  report, highly-placed sources indicated a rescue plan involving SBI and Life Insurance Corporation of India (LIC) was being discussed and an announcement in this regard might be made soon.

“While the finer details of the deal are being worked out, it is anticipated that both SBI and LIC together will take a 51 per cent stake in the bank, with a one-year lock-in period,” the report said.

Most analysts believe it is a positive step for the Indian financial sector as the government has tried to avoid a repeat of IL&FS-like crisis.

“The move is a positive step for the financial sector as a whole. By this, the government has tried to avoid a repeat of IL&FS-like crisis and has saved the depositors,” said AK Prabhakar, Head of Research at IDBI Capital. While we know that YES Bank has a huge pile of bad loans, SBI is the only bank that has the capacity to absorb it, he added.

However, the valuation at which YES bank would be taken over remains a cause of concern.

Global brokerage firm JP Morgan Thursday cut its target price for YES Bank on Thursday to Rs 1 per share, taking into account the potential fall in the lender’s net worth due to stressed assets.

“We believe forced bailout investors will likely want the bank to be acquired at near-zero value to account for risks associated with the stress book and likely loss of deposits. We think the bank will need to be recapitalised at nominal equity value and could test dilution of additional tier 1 (AT1) capital. We remain underweight and cut our target price to Rs 1 as we believe net worth is largely impaired,” JP Morgan said in a note.

Global brokerage firm Nomura estimates a need of Rs 25,000-44,000 crore and adjusted for Rs 7,400 crore of current coverage, if the current stress of Rs 65,000-70,000 crore faces 70 per cent loss given default (LGD).

"It implies Rs 18,000-37,000 crore needed for provisioning against the current net worth of Rs 25,700 crore Also, to run as going concern, the bank would require over Rs 20,000 crore of CET-1 capital as well," the note said.

YES Bank has registered slippages of Rs 12,000 crore so far in FY20, while it has placed Rs 30,000 crore of loan assets under the watch list. Its deposits stood at Rs 2.09 trillion on September 30, 2019, while its advances totalled Rs 2.24 trillion. The bank has delayed publishing its December quarter results by a month to March 14.

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January 31,2020

New Delhi, Jan 31: The central government has decided that pensioners' life certificates will be collected from their doorstep, saving them from hassles of visiting pension disbursing banks.

The service will be charged an amount not exceeding Rs 60, according to a statement issued on Thursday by the Department of Pension and Pensioners' Welfare (DoPPW).

Every year a pensioner is required to give proof of him being alive to banks in order to ensure continued pension. These certificates can be submitted online or by visiting the bank.

"The department has taken a landmark step to make life easier for senior citizens to submit their annual life certificate for continued pension," it said.

Directions have been issued to all pension disbursing banks to send SMS or emails to all their pensioners on October 24, November 1, November 15 and November 25 every year reminding them to submit their annual life certificates by November 30, the statement said.

"The bank in addition will also ask such pensioners through SMS/email as to whether they are interested in submission of life certificate through a chargeable doorstep service, the charge not exceeding Rs 60, it said.

The department for stricter monitoring and in order to ensure that no pensioners are left out has also directed the banks to make an exception list on December 1 every year of those pensioners who fail to submit their life certificate and issue another SMS or email to them for submitting it.

The Central Pension Processing Cells (CPPC) of the pension disbursing banks shall now be duty bound to submit a report to the DoPPW in January, February and March.

The report will indicate the total number of pensioners who have not given their life certificate along with a breakup of the certificates submitted physically and through digital means, the statement said.

This is a landmark step from the side of the central government showing due care for pensioners, it said.

This step is in addition to the order issued in July last year, vide which all pensioners aged 80 years and above have been given an exclusive window to submit their life certificate w.e.f. 1st October every year instead of 1st November every year, the statement added.

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