The government has ordered an SFIO probe into now defunct Jet Airways and its group companies for alleged fund diversion, indulging in malpractices and other large-scale irregularities found during an inspection. There have been allegations of fund diversions of more than £500 million out of the airline by promotor Naresh Goyal through questionable transactions. In fact, several instances have come up in the MCA investigation where Jet is suspected to have written off investments in various subsidiary companies without any apparent reason, sources close to the development pointed out. SFIO has been directed to complete the investigation within six months and submit its report to the government. The cash-strapped company became the first domestic airliner to go into bankruptcy after the Mumbai bench of the National Company Law Tribunal (NCLT) admitted an insolvency petition filed by SBI on behalf of 26 lenders on June 20.
UK's Revolut to enter India next year
Revolut, founded by Nikolay Storonsky and Vlad Yatsenkothe, is looking to enter India next year. Being one of the fastest growing fin-tech companies in the European market, it has listed two new openings for India market - head of country operations and head of legal. London-based branch-less banking Unicorn said it is planning to enter India in 2020 as part of its international expansion plan. Currently, it is exploring options for licensing and is actively hiring a broad range of roles, the startup said. As a digital-only bank, Revolut targets the tech-savvy millennials to whom it offers pre-paid debit card for cash withdrawal in over 100 countries, money transfer, savings tools and insurance for smartphones and overseas travel. Revolut had raised $250 million led by DST Global at a valuation of $1.7 billion last year. The startup declined to comment on its discussions with regulatory authorities like RBI.
US hauls India to WTO for duty hike on 28 goods
Weeks after India raised duties on 28 American goods, the United States has dragged India to the World Trade Organisation requesting dispute consultations on the 'retaliatory duties' imposed by the country. The US alleged that the additional duties are inconsistent with provisions of the WTO’s general agreement on tariffs and trade (GATT) by unfairly discriminating against US imports vis-a-vis those from other WTO members and by according less favourable treatment to US goods than that provided for in India’s schedule of concessions. According to a communication of the Geneva-based WTO, the US said that the additional duties imposed by India “appears to nullify or impair the benefits accruing to the US directly or indirectly” under the General Agreement on Tariffs and Trade (GATT) 1994.
Industry doyen B K Birla passes away
Basant Kumar Birla, patriarch of the Birla group and doyen of Indian industry passed away at the age of 98 at his Mumbai residence on 3 July. He was cremated on 4th July at his birth place – Kolkata. His family said Birla had been suffering from age-related ailments. Fondly called ‘B K Babu’ or ‘Basant Babu’, was the last surviving member of a generation of industry stalwarts, who included JRD Tata. Besides being among post-Independence India’s first generation of key industrialists who helped shape India Inc’s growth, the Birla family patriarch also enjoyed close personal relationships with the tallest of national leaders, including Mahatma Gandhi and Sardar Vallabhbhai Patel, right from his teens. President Ramnath Kovind and Bengal CM Mamata Banerjee were among the first to condole the death. Ratan Tata led the tributes from Indian industry.