New Delhi, Jun 25: The government is working to improve the regulations for auditors and corporate professionals as it looks to strengthen the “fabric of corporate governance” in the country, according to Union Minister P P Chaudhary.
His comments come against the backdrop of some auditing entities coming under the scanner of the Corporate Affairs Ministry following various complaints. Besides, the ministry is also examining recent instances of auditors resigning from companies on various grounds.
In a recent interview to PTI, he said the ministry is working closely with professional regulatory bodies under it to “improve the regulations for the auditors and corporate professionals”.
According to him, the ministry is looking to improve the fabric of corporate governance in the country.
The notification for setting up the National Financial Reporting Authority (NFRA) has already been issued and it would act as an independent regulator for the auditing profession.
“The NFRA can investigate chartered accountants and their firms, and its powers extend to listed companies and large unlisted public companies… recruitment of chairperson/ members for the NFRA has already begun,” the Minister of State for Corporate Affairs said.
Earlier this month, a senior official had said the ministry was inquiring into around 10-15 complaints related to auditors.
To a query about instances of auditors resigning from companies citing lack of access to financial information and other issues, Chaudhary said the ministry is examining such recent cases of resignation.
“However, this is a regular practice and too much should not be read into such cases,” he noted.
In recent months, scores of auditors have left audit work of companies, mostly listed ones, citing various reasons.
The Companies Act, 2013, contains elaborate provisions regarding liability of statutory auditors in case an auditor has contravened the provisions knowingly or willfully with the intention to deceive the company or its shareholders or creditors or tax authorities.
Listing out the immediate priorities, Chaudhary said the ministry would be completing the action against struck off companies and ensure effective working of the Insolvency and Bankruptcy Code (IBC).
The ministry has served notices to around 2.25 lakh companies that have not been carrying out business activities for long and depending on their responses, a final decision on deregistering them would be taken.
The latest exercise comes after the ministry struck off the names of about 2.26 lakh companies from official records for being inactive and not making statutory filings for a long time.
New Delhi, June 23: The Enforcement Directorate (ED) on Friday filed an application before the court for declaring liquor baron Vijay Mallya a fugitive economic offender under newly promulgated Ordinance and sought its intervention in confiscation of his assets worth over Rs 12500 crore, an official statement stated here.
“This is the first case under the newly promulgated Fugitive Economic Offenders Ordinance of Government of India,” the statement said.
The Fugitive Economic Offenders Ordinance, 2018 was promulgated on April 21, 2018. It seeks to confiscate properties of economic offenders who have left the country to avoid facing criminal prosecution under existing legally system.
The probe agency moves comes after the registration of two separate Enforcement Case Information Reports (ECIRs) under Money Laundering Act (PMLA) for investigation into the offence of money laundering, against Mallya, Kingfisher Air Lines (KAL), United Breweries Holdings (UBHL) and others.
The Mumbai court has taken cognizance of both the cases and has issued fresh NBWs against Mallya in both the cases.
The investigation revealed a criminal conspiracy since inception for obtaining and sanctioning of bank loan to KAL in gross violations of established or prescribed procedures with no intention for repayment of loan.
Mallya fled to London without repaying over Rs 9,000 crore of loans to consortium of banks. Effort to extradite Mallya is under process in UK courts.
The extradition hearings against Mallya were conducted before the Westminster Court, London, which is almost complete and the final verdict being expected soon, the officials said.
New Delhi, Jun 22: The first India-US ‘2+2 dialogue’ will be held on July 6 and External Affairs Minister Sushma Swaraj and Defence Minister Nirmala Sitharaman will travel to the US to take part in the meeting that is likely to focus on strengthening strategic and defence ties.
The two sides are expected to share perspectives on strengthening their strategic and security ties and exchange views on a range of bilateral, regional and global issues of mutual interest, the Ministry of External Affairs (MEA) said in a statement.
Swaraj and Sitharaman will take part in the first meeting of the ‘2+2 Dialogue’ with US Secretary of State Michael R Pompeo and Secretary of Defence James N Mattis on July 6, it said.
This new dialogue format was agreed upon between the two sides during the visit of Prime Minister Narendra Modi to Washington in June 2017.
The meeting will focus on strengthening strategic, security, and defence cooperation as the US and India jointly confront global challenges, according to the US State Department.
Earlier this year, the ‘2+2 dialogue’ had been postponed due to uncertainty over the confirmation of Mike Pompeo as President Donald Trump’s new Secretary of State. Pompeo was later confirmed as Secretary of State in April.
The dialogue is seen as a vehicle to elevate the strategic relationship between the two countries.
New Delhi, Jun 22: The Centre has banned new offshoots of terror organisations al-Qaeda and ISIS under the stringent anti-terror law — Unlawful Activities (Prevention) Act, according to an official order
Both al-Qaeda in Indian Subcontinent (AQIS) and Islamic State of Iraq and the Sham-Khorasan (ISIS-K), an Afghanistan-based affiliate of ISIS, have been declared unlawful by the Union home ministry as they were found to be radicalising Indian youths for ‘global jihad’ and encouraging terror acts on Indian interests, it said
The ISIS-K is also known as Islamic State in Khorasan Province (ISKP)/ISIS Wilayat Khorasan, the order said
The AQIS, an affiliate of al-Qaeda, is a terrorist organisation, which has committed acts of terrorism in the neighbouring countries and has been promoting and encouraging terror acts on Indian interests in the Indian Sub-continent, it said
It has been attempting radicalisation and recruitment of youths from India, it said, adding and the outfit has been declared as the banned organisation under the UAPA
The ISKP/ISIS Wilayat Khorasan is also promoting and encouraging terrorism in the Indian Sub-continent, according to the order
It has been committing terrorist acts to consolidate its position by recruiting youths for ?global jihad’ and to achieve the objective of establishing its own ?caliphate’ by overthrowing democratically elected governments, it said
The outfit, which has now been banned, considers India and Indian interests as its targets and is engaged in activities of radicalising and recruiting Indian youth for terror activities, the home ministry order said
Both these outfits were declared as the terrorist organisations as they were recruiting youths from India, it said, adding the radicalisation of the youths was a matter of serious concern for the national security and international peace
The UAPA has strict penal provisions to deal with banned organisations and their members.
Vienna, Jun 20 : Saudi Arabia insisted today it would do “whatever is needed” to avoid oil supply shortages, setting the stage for a showdown with archfoe Iran ahead of crunch OPEC talks on easing a production-cut pact.
“We will do whatever is needed to maintain market stability and ensure that there are no oil supply shortages,” Saudi Prince and minister of state for energy affairs Abdulaziz bin Salman said at a petroleum conference in Vienna.
“Many consumer countries are anxious” about potential oil shortfalls, he said, noting that global oil demand is expected to climb in the coming months.
Along with non-member Russia, oil kingpin Saudi Arabia is pushing hard for OPEC energy ministers and allied countries to agree this week to ease a production cap that has more than doubled oil prices since 2016.
But Riyadh, under pressure from Washington to boost output in order to bring down prices, is encountering stiff opposition from Tehran, which is facing renewed sanctions following Washington’s exit from the international nuclear agreement.
Speaking at the same event, Iranian Oil Minister Bijan Namdar Zanganeh reiterated his country’s resistance to hiking oil output and accused Trump of trying to politicise OPEC.
“The real responsibility for the current oil price hike lies with the US president himself,” Zanganeh told the audience. “You cannot have your cake eat and it too.” Trump has in recent months repeatedly blamed OPEC for a spike in oil prices, but Zanganeh said it was US sanctions on Iran and Venezuela that had fuelled fears of a supply crunch and put pressure on prices.
“You cannot impose unilateral trade sanctions against two founding members of OPEC, two major oil producers… and at the same time expect the global oil market not to show tensions,” he said.
The OPEC cartel is set to discuss possible changes to the supply-cut deal in the Austrian capital on Friday, with 10 non-member partner countries including Russia joining the talks on Saturday.
The gathering is expected to be the most politically charged in years, but OPEC secretary general Mohammad Barkindo said he was confident a compromise could be reached.
“Despite the rising political tensions, as well as the tensions on the international trade side, we will be able to navigate this stormy weather,” he told reporters.
New Delhi, Jun 20 : After BJP withdrew support to the PDP-BJP alliance government and no other party came forward to form an alternative dispensation in Jammu and Kashmir, President Ram Nath Kovind on Wednesday gave his assent to the imposition of Governor’s rule in the state.
Mr Kovind, who is overseas, gave his approval for the Governor’s Rule with immediate effect.
The decision and development come after state Governor N N Vohra forwarded his report to the President for the imposition of Governor’s Rule under Section 92 of the Constitution.
In the wake of BJP’s decision to pull out from the alliance dispensation in the state, Ms Mehbooba Mufti stepped down as Jammu and Kashmir Chief Minister.
Announcing BJP’s decision to pull out of the coalition government, party leader Ram Madhav on Tuesday said it would be proper for the state Governor to take over the reins of administration.
The BJP leader attributed deteriorating law and order situation and “rise in radicalisation” in the state as the chief factor for its decision to snap ties with PDP, with whom it shared power in last three years.
The BJP and PDP had formed a coalition government in 2015 after the state elections threw up a hung Assembly.
The BJP had 25 seats in the 89-member Jammu and Kashmir Assembly, while the PDP had 28.
Since BJP withdrew support on Tuesday, the Congress and National Conference too decided not to try forming any alliance dispensation in the state.
Meanwhile, Union Home Minister Rajnath Singh held a high-level meeting in Delhi to review the situation in the state after BJP’s decision to withdraw support and Ms Mehbooba tendering resignation.
Srinagar, Jun 20: Jammu and Kashmir Governor N N Vohra on Tuesday evening recommended to President Ram Nath Kovind to impose Governor’s rule in the state, where Peoples Democratic Party (PDP) headed coalition government collapsed after partner BJP pulled out from the government.
Mr Vohra has accepted the resignation of Chief Minister Mehbooba Mufti but asked her to continue in office till alternative arrangements are made.
After concluding his consultations with all major political parties, Mr Vohra has forwarded his report to the President for imposition of the Governor’s Rule under Section 92 of the Constitution of Jammu and Kashmir, Public Relations Officer of the Raj Bhavan said here this evening.
Giving details about the developments during the day, the PRO said this afternoon the Governor received a letter by fax, jointly signed by Ravinder Raina and Kavinder Gupta, state BJP president and leader of the BJP Legislature Party, respectively, to withdraw BJP’s support to the coalition government.
Thereafter, Ms Mufti tendered her resignation and the Governor has asked her to continue in office till alternative arrangements are made.
The Governor spoke to Mr Kavinder Gupta and Ms Mufti to ascertain whether their respective political parties intended to explore alternative alliances to form the government. However, both the parties informed in the negative. He also spoke to President J&K Congress G A Mir, who informed that his party did not have the numerical strength to form government on its own or in alliance.
Later, the Governor had a meeting with Omar Abdullah, Vice President, National Conference, who stated that there was no alternative to the Governor’s Rule and elections.