ISSUE - 128 28th SEPTEMBER [THURSDAY]
SYNOPSIS - KRITIKA SETHI
This week through our cover story we are trying to throw light on the culpability of our Ex finance minister P. Chidambaram on the issue of 2G spectrum and the heat faced by him in this regard by the opposition party. BJP wants to call on for the further investi-gation in this context as this can further tarnish the governments image
Every human has an urge to create a piece of history for themselves, they want to be im-
mortalized in the golden pages of history. For this they resort to any means which is quite
evident in Telengana issue or any other issue in recent times. All the news channels are
cluttered with the corruption instances of our country. What is making our Prime Minis-
ter to sit back blindfolded. Get our writers opinion in this regard in our Opinion Forum this week.
Rolex, an epitome of luxury is truly an legendary collection of watches which becomes
fantasy of every watch owner is discussed about in our brand track section. Rolex is a
timeless and eternal piece for its owner.
As our Focus of the Week this time the gradual shift in the financial system in the world
from GAAP to IFRS. India is one of the over 100 countries that have or are moving to-
wards IFRS convergence with a view to bring about uniformity in reporting systems
globally, enabling Businesses, finances and funds to access more opportunities. Get to
know more about them here this week.
Moreover we have our regular sections of Fast Track, Quick Bites, Market Watch and a
special dose of News @ IBS to give all of you a glimpse of the happenings last week on
EDITOR 1 OPINION 5 FOCUS 8
COVER 2 BRAND 6 NEWS @ IBS 9
FAST-TRACK 3 QUICK BITES 7 MARKET 10
COVER STORY FINANCE MINISTER ON THE HOT SEAT - AVINASH ROY The Bhartiya Janata Party (BJP) on Friday 23 Sept, 2011 said the culpability of P. Chidambaram was evident in the 2G spectrum scam and demanded a fair investigation into his role as the finance minister in
allocation of the scarce spectrum in 2008. Adding up to the attack on Chidambaram, BJP spokesperson
Ravi Shankar Prasad said the governments image will be further tarnished if it does not order an investi-gation into his role. Reiterating its demand for the resignation of Chidambaram, BJP wanted to know at
whose behest was the much publicized note by the finance ministry prepared? BJP alleged that even in
the case of former telecom minister A Raja, who is now in jail in connection with 2G scam case, the
Prime Minister had initially said twice that he is not guilty. Is the same story going to repeat itself in the case of P Chidambaram? Prasad said. He said the government cannot get away by saying this new de-velopment is also due to coalition politics as the source of exposure has come from the finance ministry itself.
However Congress rejected the oppositions demand for the resignation of Home Minister P Chidambaram on 2G spectrum allocation. As the united
opposition gunned for his resignation, both Prime Minister Dr. Manmohan
Singh and Congress-led UPA Government on Thursday (22 Sept, 2011)
threw their weight behind Home Minister P Chidambaram, who is facing
the heat after a secret note to the Prime Minister by Finance Minister Pranab Mukherjee, raised questions over his alleged role in the 2G spectrum
allocation controversy. Mr. Mukherjee had sent a note to Dr. Manmohan
Singh in March 2011 saying Chidambaram (as then Finance Minister) could
have prevented the scam. An official Finance Minister document has raised
doubts over the role of Chidambaram, in January 2008 decision of former
telecom minister A Raja to issue 2G spectrum licenses.
Regarding the recent activities in the 2G spectrum case, the CBI however on Tuesday (20 Sept, 2011)
said Supreme Court did not have the jurisdiction to entertain Janata Party president Subramanian
Swamys plea for a probe into the then Finance Minister P Chidambarams alleged role in fixing spec-trum prices along with ex-telecom minister A Raja as the 2G scam trial had started. Senior advocate K.
K. Venugopal, appearing for CBI, told a bench of Justices G S Singhvi and A K Ganguly that since trial
had commenced after filing of charge sheets on completion of probe into the spectrum scam, only trial
court had jurisdiction to decide whether further probe on any aspect or against any person be carried out.
The bench also said, Swamy has shown documents to allege that it was a joint decision (pricing of spec-trum). His application is to find out whether the other gentleman had any meeting of mind in that decision
making. Swamy alleges that CBI failed to proceed as per the apex courts December 16 order and wants a direction for further investigations in view of the subsequent facts.
In the midst of this fresh controversy in the 2G spectrum case, the current national hero and social activist
Anna Hazare said that Home Minister P Chidambaram would have been behind bars had the Jan Lokpal
legislation been in existence. Had there been a Jan Lokpal now, Chidambaram would have been in Jail, Hazare, who earlier branded the Union Minister as a mischievous person, said. Meanwhile, Congress chief Sonia Gandhi has directed top leaders to put up a joint defense, party insiders said. Mrs. Gandhi,
who has recently returned after a surgery abroad, is learnt to have stepped in to resolve the crisis involv-
ing one of the governments most high profile ministers.
This tenure of the UPA Government has been full of challenges which they have not been able to handle
sincerely. Inflation and corruption charges against many Congress lawmakers had already hampered the
Congress partys image during the Assembly polls in West Bengal, Tamil Nadu, Assam, Kerala and Pondicherry. Scams like the 19th Commonwealth Games, Adarsh Housing Society Scam, the multi-billion
dollar telecom scam and the most recent actions against the anti corruption movement has left the ruling
Congress Party in a humiliating position. It is high time for the UPA government to pull up its socks and
try and improve their image or else they may have to face severe consequences in the upcoming Elections
THE IBS TIMES
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An official Finance
Minister document has
raised doubts over the
role of Chidambaram, in
January 2008 decision
of former telecom minis-
ter A Raja to issue 2G
Mr. Mukherjee had sent
a note to Dr. Manmohan
Singh in March 2011
could have prevented the
FAST-TRACK NEWS - KRITIKA SETHI
Quorum- The minimum acceptable level of individuals with a vested interest in a company needed to make the pro-
ceedings of a meeting valid under the corporate charter.
THE IBS TIMES
Former cricketer Mansoor Ali Khan Pataudi passes away Mansoor Ali Khan Pataudi better known to cricket lovers as the legendary TIGER PATAUDI got his final farewell on Friday at the Pataudi house in South Delhi. He was suffering from lung infection and was admitted to Sir Ganga Ram Hospital. Close friends and acquaintances poured in their condolences to the family.
Yet another question mark- WTO losing credibility It is prospected that WTO is on the edge of losing its credibility due to the deadlock of Doha round of talks from the past 2 years. The main agenda of the talks were the development issue of global trade. USA is considered to be a spoilsport in this matter due to the political pressure from the Obama gov-ernment. The rescue is expected only in 2012 when fresh elections of the US government take place.
PPP under review Government aims at transparency in road and highway sector The Govt. is being optimistic in meeting the magical figure of $ 1 trillion in the Infrastructure sector- road and highway. It is ready to amend the Public Private Partnership RFQ and model Concession agreement. Suggestions are being invited from industry experts to bring more competitiveness and private sector participation.
US stocks end on a quiet note The brutal week for the US markets ended on a quiet note but worries about the economy are still splurging worldwide with special reference to Copper, Gold and other commodities. US is supposedly heading for another recession as Federal Reserves efforts to make to regain its foothold go in vain. Recession soars Asian market With global recession underway, Asian stocks faced a sharp decline. The precipitous session of trad-ing at Wall Street sparked fear everywhere. Hong Kong's Hang Seng index plummeted 3.6 per cent to 18,138.32, with blue chip property developers among the biggest losers. China Resources Land Ltd. tumbled 10.1 per cent while China Overseas Land & Investment slid 7.9 per cent. China Vanke Co. lost 3.8 per cent.
P. Chidambarams involvement in 2G Spectrum case Opposition party leader Yashwant Sinha said that P. Chidambaram should be put in Tihar jail with A. Raja for his alleged involvement in the 2G spectrum scan. He also expressed his concern regarding the unresponsiveness of PM Manmohan Singh in this respect.Opposition members in JPC termed it as a serious lapse non-submiss