Finance Minister Nirmala Sitharaman said today that the economy is facing an extraordinary ‘act of God’ in the form of the Covid-19 pandemic and that it could cause India’s growth to contract. exercise.
“This year we are facing an extraordinary situation … we are facing an act of God that could even lead to a contraction of the economy, to what percentage did not enter this situation,”FM Nirmala Sitharaman
GST Compensation – States have 7 days to choose between two options
The Center on Thursday offered two options for states to borrow to fill the compensation gap. The states will return within seven days, then the GST Council will make the final decision.
“The Center will work with the RBI to facilitate loans so that interest rates do not fluctuate,”said Finance Minister Nirmala Sitharaman after chairing a five-hour meeting of the GST Council.
- The meeting was called to discuss ways to fill the compensation gap. The initial estimate of the total compensation requirement was around 3 lakh crore rupees. The government expects the GST compensation fee to be around Rs. 65,000 crore, while the rest of Rs. 2.35 billion rupees would be the deficit. Therefore, there are now two options to compensate for this deficit.
- Option 1: States, through a special RBI window, will be able to borrow Rs. 97,000 crore at a reasonable interest rate.
- Option 2: The total GST compensation gap of Rs. States can borrow 2.35,000 crore starting this year, again through a special RBI window.
- The reimbursement of the principal and interest would be linked to the indemnities receivable. This means that a fee could be charged for more than five years on 29 items that fall into the 28% category, such as cars, cement, and air conditioners.
- Sitharaman said the goal would be to facilitate loans through a special RBI window. If states were to rush to open the market, then there would be the possibility of varying interest rates.
- She also explained that the additional 0.5% loans under FRBM (Law on Fiscal Responsibility and Budgetary Management) of the Gross Domestic Product of the State (GSDP) as provided in Atmanirbhar Bharat can be used for this purpose.
- These options will only be available during the current year. The situation will be reviewed next year and a decision will be made accordingly.
2004 Verdict on SC / ST Subclassification Must Be Reconsidered, Supreme Court Says
The Supreme Court said today that its 2004 verdict establishes that states do not have the power to follow caste subclasses and registered tribes for granting of Necessary review employment and admissions fees to educational institutions.
- A bench of five judges headed by Justice Arun Mishra declared the 2004 verdict of a constitutional court in EV The Chinnaiah case needs to be reconsidered and therefore the case should be referred to the Chief Justice of India. for the right direction.
- The court, which also includes judges Indira Banerjee, Vineet Saran, MR Shah and Aniruddha Bose, said that, in their opinion, the 2004 verdict was not decided correctly and states can enact laws to grant treatment. preferential sub classifying castes within SC / ST.
- The court referred the case, brought by the Punjab government against a higher court decision, to CJI Justice S.A. Bobde for creating a larger court to review the earlier verdict.
- The Punjab and Haryana High Court had struck down a state law that allowed the government to downgrade the SC / ST rating for quota allocation.
- The High Court relied on the 2004 High Court verdict and found that the Punjab government had no authority to proceed with the SC / ST sub-classification exercise.
The number of reported coronavirus cases in India stood at 33,76,468 at the time of this news summary, with a death toll of 61,623. ‘per day with more than 75,000 new cases.
SC rejects “general instructions” allowing processions of Muharram
On Thursday, the Supreme Court refused to approve “general instructions” to allow Muharram processions across the country amid pandemic restrictions, saying such an order would lead to “chaos” and “attack a particular community.” spread the Covid-19 “.
“It is not possible to give general directions for the whole country … It will lead to chaos. A particular community will be the target of the spread of Covid … As a court we cannot do this, we cannot put you at this risk. We cannot give general instructions, ”said Chief Justice of India Sharad A. Bobde, addressing Advocate Azim H. Laskar, who appeared on behalf of prominent Shiite cleric Syed Kalbe Jawad.
- Just days ago, while allowing prayers at three Jain temples in Mumbai, CJI commented orally on how the court found “strange that [states] are willing to allow activities involving economic interests, but if it’s about religion, they cite Covid to say they can’t open. “
- Laskar noted that the court had allowed worshipers to access places of worship in other cases and authorized the annual float procession in connection with the Jagannath Puri temple festivities amid the pandemic.
- But CJI responded that these permits were granted for specific locations and not for the whole country. “They belonged to specific places and from point to point. The general instructions were not approved. “
Delhi High Court Stops Insolvency Proceedings Against Anil Ambani
Delhi High Court today halted insolvency proceedings against Reliance Group Chairman Anil Ambani under Insolvency and Bankruptcy Code (IBC), and banned it get rid of your assets. Anil Ambani, who runs a business group separate from his billionaire brother Mukesh Ambani, has filed a petition with the Delhi High Court to challenge the appointment of a resolution professional for around Rs. 1,200 crore personal guarantee ($ 163 million) he gave to the State Bank of India (SBI) for loans to his companies.
- Earlier this month, the National Company Law Court (NCLT) appointed a bankruptcy administrator to verify SBI’s claim that Ambani offered Rs 1,200 crore of personal collateral to apply for the loan. Following the order, Ambani filed a petition with the Delhi High Court to challenge it.
Republicans defend cops after shooting of another black man
Republicans aggressively defended law enforcement on the third night of their convention, as the nation faced new tensions after the shooting by the black man police in Wisconsin.
- The Jacob Blake (29) shooting sparked protests in a state that could play a decisive role in the November presidential election, the Associated Press reported.
- US Vice President Mike Pence, keynote speaker for the evening, took advantage of the nation’s racial injustice calculation to claim that Democratic leaders are allowing lawlessness to rule in cities from coast to coast to coast .
- He and others have described the towns as devastated by violence, though protests in most places have been largely peaceful.
- “The American people know we don’t have to choose between supporting law enforcement and supporting African American neighbors,” he said in remarks released before his appearance.
- Blake was shot and injured Sunday in Kenosha, Wisconsin, as he leaned over to his car and his children watched. Within hours of being shot, hundreds of people marched past Kenosha Police Headquarters.
- As the protests progressed, cars were set on fire, armed robberies were reported and a nighttime curfew was eventually imposed. The protests have continued for four days.
TikTok CEO Kevin Mayer has resigned, the company said in a statement. His resignation comes days after the popular abbreviated video-sharing app and one of its employees separately sued the administration of US President Donald Trump over his executive order banning transactions in the United States.
- They have described Trump’s order as a pretext to fuel anti-China rhetoric as he seeks re-election. In a letter to staff, the CEO of TikTok said: “It is with great regret that I wanted to let everyone know that I have decided to leave the company.”
Russia is hopeful of concluding contracts for MiG-29 and SU-30MKI fighters jets and six Ka-31 helicopters by year-end, a representative of the Federal Service for Military-Technical Cooperation (FSMTC) said at the ongoing Army 2020 expo in Russia. Deliveries of S-400 long-range air defence systems would begin by 2021 and could not be accelerated further.