A day after Reliance Communications announced its biggest loss ever, chairman Anil Ambani and some of the directors have resigned from their positions, the telecom company said in a regulatory filing. Ambani, Chhaya Virani and Manjari Kacker quit their directorships, while Suresh Rangachar and Ryna Karani put in their papers earlier. CFO and director Manikantan V had resigned on October 4, 2019. “Since the company is under the bankruptcy process, all the resignations have been put before the committee of creditors for their consideration,” Reliance Communications said. It added that the appointment of D Vishwanath as the new CFO and director has also been put before the creditors’ committee for approval. Reliance Communications, once the flagship of the Anil Ambani group, posted a loss of £3.01 billion in the second quarter of fiscal 2020.
India to allow foreign cos to bid in oil sector selloff
India will allow global energy companies to bid during the strategic disinvestment of state-run oil companies, oil minister Dharmendra Pradhan has said. He added that the proposed partnership with Saudi Aramco and Abu Dhabi’s ADNOC for building a $44-billion mega refinery complex in Maharashtra was on “right track.” While attending the energy conference and exhibition in Abu Dhabi, Pradhan said that the doors for foreign direct investments in India’s fuel retail market were opened by Prime Minister Narendra Modi when he met oil company bosses in Houston during his recent US visit. Pradhan was quoted as telling that India was “inviting” foreign majors and he was “enthusiastic” about their participation.
Oct WPI inflation over 3-year low
Wholesale price inflation moderated to a nearly three-and half-year low in October, dragged down by a contraction in manufactured product, fuel and power prices, but the fall was limited by an increase in food prices to near double-digit levels. Data released by the commerce and industry ministry showed inflation as measured by the wholesale price index eased to 0.2% in October, slower than 0.3% recorded in the previous month and 5.5% in the year earlier period. Inflation in the manufactured goods segment fell by 0.8% in October, its lowest level since April 2016. The WPI in manufactured goods was 4.6% in the same month a year-ago. Food price inflation shot up to a 63-month high during the month.
SC holds Singh brothers guilty of contempt
The Supreme Court held former Ranbaxy promoters Malvinder and Shivinder Singh guilty of contempt for violating its order that had asked them not to divest their shares in Fortis Healthcare. The apex court had earlier asked the Singh brothers to give it a plan as to how they would honour the arbitral award of £350 million granted by a Singapore tribunal against them, in favour of Japanese drug manufacturer Daiichi Sankyo. A bench comprising former Chief Justice Ranjan Gogoi and Justice Deepak Gupta held them guilty of contempt of court and said that they had violated its earlier order by which the sale of their controlling stakes in Fortis Group to Malayasian firm IHH Healthcare was put on hold. The apex court said it would hear the Singhs on the quantum of sentence later. The Japanese firm had filed contempt petition against them, alleging that execution of their arbitral award had been in jeopardy as the Singh brothers disposed of their controlling stakes in Fortis Group to the Malaysian firm.
Imports decline for 5th straight month
India's exports fell by 1.1% to $26.4 billion in October as shipments of petroleum and leather goods contracted, the third consecutive month of decline for exports while imports dropped sharply indicating demand slowdown. While the contraction was narrower than the previous month, the latest data adds to the raft of economic indicators which have pointed to a slowdown in the economy. Data released by the commerce department showed imports contracted by 16.3% to $37.4 billion, declining for fifth straight month, which helped narrow the trade deficit to $11 billion during the month. The trade deficit in October was $18 billion. The dip in imports was the sharpest in nearly three years.