Sunday, February 9, 2003, Chandigarh, India






National Capital Region--Delhi

THE TRIBUNE SPECIALS
50 YEARS OF INDEPENDENCE

TERCENTENARY CELEBRATIONS
B U S I N E S S

Flight of industry from Punjab to Himachal
Chandigarh, February 8
Mr Simranjit Singh Mann, MP, has written to the Punjab Chief Minister, Capt Amarinder Singh, drawing his attention to flight of industry to neighbouring Himachal Pradesh. He has made pointed reference to hosiery units from Ludhiana, which have been offered better incentives than available in Punjab.

Capt blames Centre for sugar arrears
New Delhi, February 8
Punjab Chief Minister, Captain Amarinder Singh, who is under pressure from the sugar mill owners and farmers, over the increasing sugar stocks and arrears, has accused the Centre for not allowing the state to sell its sugar stocks in other states.

Implementation of ST laws
C
an the sales tax authorities compel the units to opt for lump sum composition in lieu of sales tax payable by them under the provisions of the Haryana General Sales Tax Act, 1973? This precisely appears to constitute one of the important questions that now-a-days form subject matter of discussion amongst the trade, industry and the tax experts in the context of the recent decision of the state government introducing system of lump sum composition in relation to plywood units.



EARLIER STORIES

 
A Kolkata hotel decorated like a cricket ground
A Kolkata hotel decorated like a cricket ground for the forthcoming cricket World Cup, which will start from Sunday in South Africa. — PTI

Drive against fake auto parts
New Delhi, February 8
With a view to combat the growing market for fake automotive components, the automotive parts manufacturing companies are now focussing on creating consumer awareness regarding benefits of usage of original products.

Business confidence up: NCAER survey
New Delhi, February 8
The business confidence level in the country has seen an upswing even as the Central Statistical Organisation has pegged 4.4 per cent GDP growth for the current fiscal 2002-03.

Seminar on biotech
Chandigarh, February 8
“We need to diversify into medical and aromatic plants and cash crops,” said Mr N.S. Tiwana, Executive Director, Punjab State Council for Science and Technology, at a seminar on Agri-Food Biotechnology organised at the CII heaquarters here today.

BSNL customers pay 10 times more in Sirsa
Sirsa, February 8
BSNL announced that its landline customer here could have access to mobile holder without dialling zero, which was essential earlier for STD. But the call costs more in Sirsa. According to the information gathered by this correspondent out of 19 districts of Haryana only BSNL customer here is being discriminated.

RENT CASES

Permanent structure
Q:
Whether it can be said that the permanent construction raised by the tenant was with consent of the landlord in writing, as the law requires?

AVIATION NOTES

Changes in A-I on the cards
A
ir-India has always been in news — more for negative doings than for achievements. This has been the saddest chapter in the national carrier’s existence which, during the past few years, has seen more downs than ups.Top







 

Flight of industry from Punjab to Himachal
Tribune News Service

Chandigarh, February 8
Mr Simranjit Singh Mann, MP, has written to the Punjab Chief Minister, Capt Amarinder Singh, drawing his attention to flight of industry to neighbouring Himachal Pradesh. He has made pointed reference to hosiery units from Ludhiana, which have been offered better incentives than available in Punjab.

He has asked the Chief Minister to outline steps that the state government has taken or proposed to take against such flight of industry as well as on designs of “ultra right-wing Hindu forces” that are out to create communal wedge in the state.

Mr Mann expects ‘Maharaja Sahib’, as he has addressed him, to take concrete steps in this direction because he (Capt.) has the mandate of the people to run the government and the “responsibility falls squarely on you and your government”.

In fact, Capt has already drawn the attention of the Prime Minister and requested that “special economic package” be given to Punjab on the same lines as applicable to Himachal Pradesh, J and K and Uttranchal to arrest the flight of industry as well as to promote economic development in Punjab.

Mr Mann told TNS from New Delhi today that yet another factor that will add to industry taking to wings is the Friday raids by the enforcement wing of the Punjab State Electricity Board on the factories and residence of the relatives of Himachal Pradesh Chief Minister Mr P.K. Dhumal, whose family is a business-partner in them in Jalandhar.

Condemning such “political vendetta”, Mr Mann has said such poll-eve gimmicks would send wrong signals to other industrial entrepreneurs, as well, and also give a deadly blow to efforts of the state to attract industry to Punjab.

When MPs meet here on February 10 to receive “agenda brief” on Punjab’s pending issues with the Centre that they will be required to raise in the Parliament in the ensuing session, delay in release of the Punjab industrial policy and also conducting of such raids at the the instance of the ruling Congress would also find a mention.
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Capt blames Centre for sugar arrears
Tribune News Service

New Delhi, February 8
Punjab Chief Minister, Captain Amarinder Singh, who is under pressure from the sugar mill owners and farmers, over the increasing sugar stocks and arrears, has accused the Centre for not allowing the state to sell its sugar stocks in other states.

“We are not in the position to clear the arrears of sugarcane farmers estimated at Rs 70 crore, but the Central Government is doing politics at our cost,” he told newspersons here on Friday.

More than 3 lakh tonne of sugar stocks, worth Rs 383 crore, are now lying with the sugar mills in Punjab. By the end of the ongoing sugar year (September-October) the stock is likely to touch the four lakh tonne mark, valued at Rs 500 crore.

The Chief Minister said he had already taken up this issue with Prime Minister Atal Behari Vajpayee at the recent National Development Council and also met Union Food Minister Sharad Yadav in this connection.

The Punjab Government should be permitted to supply sugar in Punjab and adjoining States as the restrictions ultimately hit the resource-poor farmers.

As the country is saddled with surplus sugar production with slim prospects of exports in the wake of surplus stocks in the world, the millers and sugar industry lobbies are jostling to get rid of accumulated stocks posing liquidity problem to them.

With a carryover of stock of 103 lakh tonnes, India will have production of around 180 lakh tonnes with consumption estimated at 160 lakh tonne and export expected at 15 lakh tonnes during the year.
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Implementation of ST laws
A.K. Sachdeva

Can the sales tax authorities compel the units to opt for lump sum composition in lieu of sales tax payable by them under the provisions of the Haryana General Sales Tax Act, 1973? This precisely appears to constitute one of the important questions that now-a-days form subject matter of discussion amongst the trade, industry and the tax experts in the context of the recent decision of the state government introducing system of lump sum composition in relation to plywood units. It is true the state government is competent to accept from any class of dealers, in lieu of the tax payable under the Act, for any period, by way of composition, a lump sum determined under section 26 of the Haryana General Sales Tax Act, 1973. A plain reading of the provisions of section 26 governing the procedure for lump, sum however, shows they do not make it mandatory for every dealer constituting specified class liable to pay tax to give option for lump sum.

Having regard to the scheme of the Act envisaged in aforesaid provisions a dealer may or may not exercise the option of making payment in the form of lump sum composition. However, the sales tax authorities do not possess with any powers to compel them to switch over to lump sum composition. Obviously, therefore, the exercise being undertaken by the sales tax authorities in the State calling upon the plywood units to opt lump sum composition in lieu of sales tax they already have been paying on the sale or purchase of goods under the general laws entirely is inconsistent with the statutory provisions.

Another significant aspect of the matter is that in consequent upon the directions the taxing authorities issued on January 08, 2003, the plywood units immediately had to deposit the amount of lump sum composition despite even when the decision of the state government of introducing lump sum composition was yet to be given a shape of a legislation in the form of a notification in terms of section 26 of the Act, 1973. The question is how the taxing authorities could proceed ahead of the legislation in this context having been passed? This procedure adopted is also violative of Article 265 of the Constitution of India, which says, no tax shall be levied or collected except by authority of law.

What more is of interest to note is that the lump sum composition has been realized by the instrumentalities of the State even before the amount had become due for payment? There is no denying the fact that the quarter for which the payments have been charged as per the existing provisions come to an end on March 31, 2003. The approach, therefore, in recovering the payments proceed contrary to what expressly is provided in the provisions of sub-rule (4) of rule 29 of the Haryana General Sales Tax Rules, 1975 that lays down in unambiguous terms “Every dealer liable to pay lump sum by way of composition under section 26 shall pay it in four equal quarterly instalments within one month from the end of the quarter and shall furnish the proof of payment viz treasury receipt to the appropriate assessing authority within ten days after the close of the specified period.
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Drive against fake auto parts
Tribune News Service

New Delhi, February 8
With a view to combat the growing market for fake automotive components, the automotive parts manufacturing companies are now focussing on creating consumer awareness regarding benefits of usage of original products.

While Mico has established an 'Anti-spurious' cell to tackle the problem of fake products, companies like Fenner India are conducting road shows etc whereas many others are also educating the dealers to campaign against fake automotive parts available in the market.

"Spurious parts are today capturing even more than half of the total market. It is the products of the market leaders that are imitated, and are thus sold to the consumer at the same price as that of an original product", said Mr Deepak Bhagat, Senior Sales and Service Engineer of Lucas Indian Service.

The damage done to the vehicle when one uses a fake product is not only in terms of paying the same price for an inferior product, the wear and tear of the vehicle is much more, which also reduces the vehicle's life.

To distinguish between the original and the spurious product, packaging, company's stamp, aesthetics of the product have to be focussed upon. In case of shockers (Gabriel) , for instance, while the original shocker will have a smooth finish, current date code and stamping on inner tube with name and part number, the fake product, will lack consistency in shades, have a date code that is three - four years old or sometimes absent and bear stamping sometimes on both the tubes.

Despite such differences, it is very difficult for a consumer to make out if the product is original or not because the consumer is not supplied both fake and original parts at a given point of time, said a TVS official.

To create awareness , Lucas TVS is conducting campaigns at dealer points and also issues instruction notes to the dealers, Mr Bhagat said. 
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Business confidence up: NCAER survey
Tribune News Service

New Delhi, February 8
The business confidence level in the country has seen an upswing even as the Central Statistical Organisation has pegged 4.4 per cent GDP growth for the current fiscal 2002-03.

According to the latest Business Expectation Survey of the National Council of Applied Economic Research (NCAER), the upswing in the current round is a reflection of business sentiments finally overcoming the adverse impact of macro factors, particularly the delayed monsoon and a confusing outlook due to the government’s disinvestment process.

The survey said the Business Confidence Index (BCI) recorded an impressive gain of 12.4 per cent over its level of 102.4 in the previous round, the rise more palpable with the index jumping 36 per cent over last year’s level.

These factors, among others, had pegged the BCI at 102.4 in the last round in October 2002 and almost similar (102.3) in June 2002.

“The major components contributing towards this upward revision of expectation are increased capacity utilisation and improvement in investment climate,” it said.
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Seminar on biotech
Tribune News Service

Chandigarh, February 8
“We need to diversify into medical and aromatic plants and cash crops,” said Mr N.S. Tiwana, Executive Director, Punjab State Council for Science and Technology, at a seminar on Agri-Food Biotechnology organised at the CII heaquarters here today.

The seminar was a joint effort of CII Northern Region and the Canadian High Commission, Chandigarh.

He said the Punjab Government was setting up a centre of excellence for growth of biotechnology, where thrust areas would be agriculture, healthcare and environment. The Punjab Government is also keen on setting up R&D facilities. For commercialisation of activities, setting up of a biotech part is also being proposed,” he said. 
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BSNL customers pay 10 times more in Sirsa
Our Correspondent

Sirsa, February 8
BSNL announced that its landline customer here could have access to mobile holder without dialling zero, which was essential earlier for STD. But the call costs more in Sirsa. According to the information gathered by this correspondent out of 19 districts of Haryana only BSNL customer here is being discriminated.

Sources in BSNL revealed that landline customers here will have to pay Rs 1.26 for a call of 18 seconds on a mobile even if mobile holder is in Sirsa, whereas if a landline customer of Sirsa contacts a person at Faridabad by using 95 facility will have to pay Rs 1.26 for 30 seconds. In any other district headquarter there is no such disparity and landline customers can have access to any mobile holder at the local rates — 180 seconds for Rs 1.26.

A senior officer of BSNL admitted this disparity and said this a technical matter due to which customers will have to pay 10 times more for contacting a mobile holder.
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RENT CASES

by Praful R. Desai

Permanent structure

Q: Whether it can be said that the permanent construction raised by the tenant was with consent of the landlord in writing, as the law requires?

Ans: In Vithal N. Shetti v Prakash N. Rudrakar [2002 (2) RCJ 213] The S.C. expressed the views thus: The plaint makes a positive averment of a negative fact, that is, the absence of consent in writing of the landlord to raising the permanent structure by the tenant over the tenancy premises.

In the wake of such averment in the plaint, it was necessary for the tenant to have raised specific pleading in the written statement, setting out the particulars of the consent in writing. Not only the particulars are not pleaded but even the factum of the landlord having given consent in writing to the permanent construction is not stated. There is not even a whisper in the written statement of such consent, on which the tenant relies, having ever given by the landlord and forming part of the record of Municipal Corporation.

If the Municipal Corporation had expressed its inability to make available certified copies of relevant records to the appellants the appelate should have taken steps before the trial court for summoning theoriginal records from the custody of the Municipal Authorities, which could have shown the bonafides of the plea raised by the tenant appellant. Nothing such was done.

In this background the H.C. rightly declined to show its indulgence to a belated prayer for summoning the record from the custody of the Municipal Corporation. No fault can be found with the view taken by the H.C., said the S.C. in the opinion of the S.C. thus, the appeals are held avoid of any merit and liable to be dismissed. They are dismissed accordingly.

However, in view of the fact that the tenant has remained in occupation in the suit premises for a long time and is running his commercial activities therefrom, the appellant is allowed 12 months time for vacating the suit premises subject to his filing usual undertaking within a period of four weeks from today.

That way this appeal came to be dismissed. 

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AVIATION NOTES

by K.R. Wadhwaney

Changes in A-I on the cards

Air-India has always been in news — more for negative doings than for achievements. This has been the saddest chapter in the national carrier’s existence which, during the past few years, has seen more downs than ups.

Had Anurag Goel or V.K. Verma or some “favourite” official been appointed the Managing Director, the CBI case against J.N. Gogoi, Aruna Mascarenhas and nine others would not have been highlighted at this juncture. It shows a handiwork of an insider who has their own “hidden agenda”.

The wrongdoings in the Caribjet wet leasing took place in 1994 and 1996. According to news, the loss to Air India for this highly corrupt deal has been more than Rs 100 crore.

Three of the 11 alleged officials are no longer on the roles of the national carrier. Michael Mascarenhas and Capt A.K. Mathur have retired while Brijesh Kumar has reverted to his parent unit many years ago. While Gogoi is on a six-month extension under the direction of the PMO, Aruna, wife of Michael, is the only senior serving official.

The CBI investigations, initiated more than five years ago, had been known to ministry. Why did the ministry delay in sending Gogoi’s file for clearance to the Central Vigilance Commission (CVC)? It could have been sent much ago, at least much before PMO granted him extension. Again, if there were investigations against Aruna, why was she interviewed for the post of the Deputy Managing Director? All this and many other developments reveal that there seems to be sinister designs to malign or retire some officials and instal “favourites” at key positions.

According to aviation circles, the news has deliberately been released at the time when the Civil Aviation Minister Shahnawaz Hussain has been out of the country. He is currently on the 10-day trip to Jeddah and the decision about the changes will be announced on his return. Some officials, who are in the race for the elevation, are said to be in close touch with him.

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BIZ BRIEFS

Nabard
Chandigarh, February 8
A leadership development programme for volunteers and members of Farmer Clubs was conducted by NABARD in association with the Krishi Vigyan Kendra, Bahowal in Hoshiarpur district. The programme was inaugurated by Mr Raghbir Singh, AGM, Nabard, Hoshiarpur. Dr M.S. Maskina, Associate Director, KVK, S.P. Bhagtiar, Manager, Nabard, Chandigarh, also attended the programme. TNS

Hero Honda sales
Chandigarh, February 8
Hero Honda Motors has registered an impressive increase of 22.68 per cent in cumulative sales for April 02-January 03, as compared with sales during the corresponding period in the last financial year. The company has achieved a total sale of 14,27,052 units during April, 2002-January, 03, which is up from 11,63,219 units sold during April 2001-January, 2002. Hero Honda sold 1,45,708 units of its motor cycles during January, 2003, which is also up by 16.45 per cent as compared with sales achieved during the previous month. TNS

Pension denied
Chandigarh, February 8
A number of pre-1986 retirees of banks and other organisations like insurance corporation have decided to move to Supreme Court as they were denied the benefit of pension. They will meet here tomorrow to discuss the issue. The government, rather, gave an ex-gratia of a measly Rs 330 per month for pre-1986 retirees who were still living on November1, 1997. TNS

Indian Bank
Chandigarh, February 8
The government today released a sum of Rs 770 crore as further capital to Indian Bank after the turn arround of the bank to enable it to meet the capital adequacy norms. With the infusion of these funds, Indian Bank meets the required capital adequacy norms of 9 per cent. TNS

Spice Telecom
Chandigarh, February 8
With the World Cup cricket tournament commencing today Spice Telecom, today announced the launch of a mega “Spice 2003 Champion Kaun contest”. To participate in the contest subscribers need to dial 2003, select the team whom they think will win the World Cup and thus win mega prizes. TNS

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