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IPO to attract huge response from investors: CIL chairman - Economic Times
Source: Business - Google News | 18 Apr 2010 | 4:03 am HDFC Bank FY10 retail loan growth at 25%Mumbai: The country’s second largest private sector lender HDFC Bank saw its retail loan book growing by a smart 25% in the past fiscal on the back of healthy demand from home, auto and personal loan segments. In March alone, the lender disbursed around Rs4,000 crore retail advances, out of which auto loan comprised Rs1,300 crore, home loan Rs1,200 crore and personal loan around Rs600 crore, HDFC Bank country head for retail assets & credit cards Pralay Mondal told PTI. “Overall there is a pick-up in demand for retail loans. Clearly, the consumer confidence has come back and we expect to sustain the growth momentum in the current fiscal as well,” Mondal told PTI in an interview. During the past fiscal, HDFC Bank is understood to have clocked a growth of 30-35% in its total loan book, which is way above the average growth achieved by the industry during the period. The credit growth in the banking industry in last year stood at 16.7% just above the 16% credit growth target set by the Reserve Bank. On Friday, private sector lender IndusInd Bank announced a 30% loan growth in FY10 and said the growth in FY11 is likely to be 25-30%. Promoted by mortgage lender Housing Development Finance Corporation, HDFC Bank has total gross advances of Rs1,21,051 crore and total deposits stood at Rs1,54,789 crore as on 31 December 2009. As of now, nearly 55% of its loan book comprise retail assets and the rest corporate advances. Moving ahead, the lender would focus equally on both portfolios, Mondal said. Mondal said considering a visible return of credit demand in the market, even an expected upward movement in lending rates during this year, is unlikely to impact the credit offtake of banks. The industry will see a 0.50-1% hike in lending rates in this fiscal and the rates are likely to start rising in the next quarter. “I expect a 50-100 basis points increase in lending rate during the course of this year. It could start happening in the next quarter,” Mondal said. The Reserve Bank which will announce its annual monetary policy on Tuesday is widely expected to hike its short-term lending and borrowing rates--repo, reverse repo--which may prompt banks to pass on the burden to their customers, if not in the immediate future. Source: LatestNews-Home - Livemint.com | 18 Apr 2010 | 3:20 am British FSA launches probe into Goldman ops: ReportThe British financial regulator FSA has started a probe into the London operations of Goldman Sachs, following the charges of fraud slapped by the US markets watchdog against the Wall Street giant.Source: HindustanTimes.com - Top Business News Headlines | 18 Apr 2010 | 3:11 am India to be among top five aviation markets in 5-years: PatelIndia is poised to emerge as one of the top five aviation markets in the next five-years, a senior Central Government Minister said.Source: HindustanTimes.com - Top Business News Headlines | 18 Apr 2010 | 3:07 am Petrol pumps may serve as information kiosks during the Games - Economic Times
Source: Business - Google News | 18 Apr 2010 | 2:49 am Management Guru CK Prahalad passes away - Moneycontrol.com
Source: Business - Google News | 18 Apr 2010 | 2:40 am Markets to remain edgy on Goldman, RBI policy: analystsMumbai: The domestic stock market is likely to remain under pressure on concerns of a possible rate hike by the apex bank on 13 April and the lawsuit by the US markets regulator against Goldman Sachs for securities-related fraud, say analysts. The market is likely to open on a week note reflecting the steep fall on the Wall Street last weekend after US Securities and Exchange Commission charged Goldman Sachs with fraud on sub-prime mortgages, they point out. “There will be a weak opening for the markets on Monday. It will then look at global cues for direction and is expected to move sideways from there on,“CNI research managing director Kishor P Ostwal said. Interest rate-sensitive sectors like banking, realty and auto would be watched during the week as any interest rate hike would bring down the shares of the companies in these sectors. “The RBI policy announcement on 13 April will further tighten the liquidity or interest rates, which will dampen markets,” HDFC Securities head for private broking and wealth management Vinod Sharma said. Marketmen, however, expects that the decline will be short-lived and later on buying will emerge at lower levels. The course of the market will be decided by the earnings and guidance by TCS and Reliance Industries. “The market will take cues from the result performances of TCS and RIL which is due to come in the next week and especially the outlook of these companies for the current fiscal,” SMC Capital vice-president Rajesh Jain said. This week the BSE Sensex dropped nearly 2% to close at 17,591.18 points. The barometer index snapped nine consecutive weeks of gains, during which it gained 11%. On Friday last, the US market regulator had charged investment banking major Goldman Sachs with fraud and causing an loss of over $1 billion to investors by misrepresenting facts about a financial product tied to sub-prime mortgages. Following this, the Dow Jones declined 132 points or 1.13% to close at 11,018.66 and S&P 500 ended down by 1.61% to 1,192.13. During the week foreign funds put in over Rs10,881.5 crore in the domestic market. So far in 2010, the foreign funds have put in Rs21,887.30 crore in the primary and secondary markets. Source: Home - Livemint.com | 18 Apr 2010 | 2:34 am Petrol pumps may serve as information kiosks during the Commonwealth GamesNew Delhi: After doubling up as convenience stores, petrol pumps are set to serve as information kiosks also during the Commonwealth Games in October. During the largest multi-sport event to date in India, Delhi’s 400-odd petrol pumps will, besides selling fuel, provide visiting sportspersons information on the Commonwealth Games events, their timing and venues, logistics and other tourist information. Besides being easily accessible, petrol pumps are almost evenly spreadout in the entire national capital and can serve as one-stop information point for athletes from 72 nations, a senior official said. The idea of using fuel stations for benefit of visiting sportspersons is a brainchild of minister of state for petroleum and natural Jitin Prasada who is likely to make a formal proposal to the CommonWealth Games Organising Committee shortly. Under the proposal, specially trained persons will man the information kiosks at the petrol pumps during sports extravaganza from 3-14 October. The outlets may also sell tickets for the 19th edition of CommonWealth Games, he said. State-owned Indian Oil Corp (IOC) has 199 petrol pumps in Delhi, Bharat Petroleum Corp Ltd (BPCL) 105 and Hindustan Petroleum Corp Ltd (HPCL) 96 retail outlets. This is the first time the CommonWealth Games are being held in India and the second time the event has been held in Asia (after 1998 in Kuala Lumpur, Malaysia). “Delhi Government is putting in extra effort to make the historic city look its best for the visitors during the Games. And Prasada is now offering his help to make it sportsperson- friendly,” the official said. The kiosks would also provide information on shopping areas, tourism attractions, airline and train timings and assist in travel ticketing. Besides selling petrol, diesel and lubricants, fuel dispensers already offer non-fuel convenience stores or superstores and food joints. Source: LatestNews-Home - Livemint.com | 18 Apr 2010 | 2:34 am Sunanda offers to surrender ‘sweat equity’New Delhi:In the midst of controversy involving her and union minister Shashi Tharoor over Kochi IPL, Sunanda Pushkar has offered to surrender her equity of Rs 70 crore in the franchise. She has offered to give up her ‘sweat equity’ of nearly 19% in the IPL Kochi franchise, a source close to the developments told PTI. However, no comments could be obtained from Sunanda on her offer. The move comes at a time when Tharoor is facing a tough time with opposition demanding his sacking from the government and the Congress party, which has already ordered a probe to look into his role in the entire controversy, contemplating future course of action. The source said that Sunanda was not directly in touch with the IPL officials regarding the offer. The offer is being made through Rendezvous Sports World. The new Rendezvous chairman Harshad Mehta is in touch with the IPL officials regarding the matter. Interestingly, senior union minister Sharad Pawar, IPL commissioner Lalit Modi and I S Bindra are in Dubai currently to attend an ICC meeting. Source: LatestNews-Home - Livemint.com | 18 Apr 2010 | 2:26 am Tharoor meets PMNew Delhi: Minister of state for external affairs Shashi Tharoor, who is embroiled in a row over the ownership of IPL’s Kochi franchise, met Prime Minister Manmohan Singh apparently on 18 April to explain his position on the issue. The meeting took place hours before the Congress Core Group is scheduled to decide the issue of Tharoor’s continuance in the government amid a clamour from the opposition ranks for his removal. Tharoor is understood to have explained his position to the Prime Minister in the wake of allegations that he helped his friend Sunanda Pushkar acquire a sweat equity in the Kochi IPL franchise. The Congress Core Group headed by Gandhi, who is also the UPA chairperson, would be meeting at the Prime Minister’s residence to take a call on Tharoor’s fate this evening, party sources said. Singh returned from his two-nation tour yesterday. Finance minister Pranab Mukherjee, defence minister A K Antony, home minister P Chidambaram and political secretary to Congress president Ahmed Patel are other members of the key group which deals with major issues. The party has already distanced itself from Tharoor on the IPL issue, saying it was for him to explain. The minister’s statement in the Lok Sabha on 16 April did not appear to have changed the position of the party. The controversy centres around the allocation of sweat equity valued at Rs70 crore by the IPL Kochi franchise to Pushkar. However, Tharoor has denied the charge that he intended to get any financial gain for him or his friend. The opposition is gunning for the removal of 54-year-old first-time MP from Thiruvananthapuram on the ground that he misused his office to get pecuniary gains for his friend. Senior leaders L K Advani and Prakash Karat joined the chorus for Tharoor’s sacking on 17 April. Source: Home - Livemint.com | 18 Apr 2010 | 2:15 am IPL: Mallya’s daughter questioned by I-TNew Delhi/Mumbai: The Income Tax department plans to enlarge its current inquiry into the IPL’s financial transactions to cover all the franchises amidst allegations of murky deals even as it questioned the ‘mystery’ woman and Vijay Mallya’s daughter who works for IPL Commissioner Lalit Modi. Laila Mahmood, the step daughter of Mallya who owns the Royal Challengers Bangalore team, was identified as the woman who exited Modi’s office in a plush hotel in Mumbai minutes before I-T officials visited it for probe on 15 April. The IT authorities probing various aspects of the Indian Premier League controversy have been able to ascertain the identity of the ‘myster’ woman as Laila, a source in the department told PTI. Mallya also said in a statement that “my step daughter Laila Mahmood works for Lalit Modi. I know nothing about this. I called Lalit Modi and he confirmed that she has given a statement to Income Tax.” Suspecting that the woman, who was seen carrying what appeared like a laptop and some documents, might have carried away some important documents, the IT authorities got into action and identified her. Notwithstanding claims by IPL commissioner Lalit Modi that it was routine questioning on 15 April by officials at the premises of BCCI and his office in umbai, I-T department sources said the special team has prepared a voluminous report on the operations and sent it to the Finance Ministry in Delhi. Top sources said that in the wake of the report, plans were afoot to summon representatives of the various IPL team owners for questioning and for production of teams. It may also include search operations on their officials premises, the source said adding it could be a long process, the sources said. Officially there has been no word on the operations in Mumbai but sources said the department in Mumbai has been asked to carry out further inquiries and, if necessary, even surveys and raids on IPL premises and those of its franchises. “We are widening our inquiry. However, it will take some time before we obtain all details about IPL’s transactions,” the sources said. Earlier indications were that only the new franchisees Kochi and Pune could be investigated but now the department may be expected to scrutinise the bid process of all the franchises in the wake of allegations about the sourcing of the funds of the teams. Asked about the ’mystery’ woman, Modi suggested that his staff could have brought papers for him from a hotel room which was caught on close circuit TV before tax officials went there. “All I know is I was not at the hotel (Four Seasons where he reportedly has a temporary office). They (staff) do bring things to me in my office... because the I-T has asked us to bring some documents, it must be...,” he said when asked about reports that a woman removed important documents from the hotel in Mumbai before the I-T officials came there. To another query, he said did not know whether his lap-top has been taken away by officials. “I have no idea about it, who has taken what,” he said. Modi said the I-T officials were doing a job and he had no problems with that. “We have nothing to hide. The I-T has asked us information, that’s fine. There is no reason to be upset about”. He reiterated the charge that union minister Shashi Tharoor stepped into the picture and asked him not to go into the details of the shareholders when he had put some questions to those who had come on behalf of the bid. “I was just sitting in the room and asking all shareholders who the shareholders are. It became an issue when the shareholders did not know the names of other shareholders. That’s when the red flag was raised, when I asked who these people are. “At that point of time they said they did not know who they were. They made a call to their father. Shailendra Gaikwad made a phone call to his father. At that point of time, he said he will get back to us. Then the phone call that came back to us was that of Mr Tharoor who said why are you inquiring into these items. At that point of time I still did not know whether these four people were linked or not”, Modi said. The IPL commissioner said he was signing the documents subject to confirmation but next day he saw in a Mumbai newspaper a news item (appararently referring to a reported proposal of Tharoor marrying his friend Sunanda Pushkar). Asked how the conversation ended, he said the conversation did not end and he told Tharoor that he was recording the conversation. “We have minuted it. It is in black and white. There is nothing to worry”, he said. Source: LatestNews-Home - Livemint.com | 18 Apr 2010 | 2:04 am RBI likely to raise policy rates, but only moderately: Bankers - Hindustan Times
Source: Business - Google News | 18 Apr 2010 | 1:31 am RBI to raise policy rates again to tame inflation: analystsMumbai: India’s central bank is set to hike interest rates this week for a second time in just under a month in an attempt to check near double-digit inflation, analysts say. Annual wholesale price inflation, the main cost-of-living measure, is riding at a 17-month high of 9.90%, exceeding the Reserve Bank of India’s forecast of 8.5 %, well above its preferred 5.5% pace of increase. India’s central bank “is virtually certain to tighten again” at its policy meeting on 20 April, said Kevin Grice, economist at Capital Economics. Economists fear inflation in Asia’s third-largest economy could accelerate as demand for cars, appliances and manufactured goods rebounds with economic growth gaining pace, shaking off the effects of the global slump. Indian inflation has been rising in past months due to spiralling food costs after farm output was hit by the country’s worst monsoon in nearly four decades last year. But now food inflation is spilling over into the general economy as activity accelerates, pushing the central bank to act, anlaysts says. Economsts expect the Reserve Bank to raise two key short-term interest rates by 25 basis points at its policy meeting on 20 April. The interest rate cycle is turning in Asia as the region’s economies recover from the deep global recession. A tightening of liquidity through raising cash reserves which commercial banks must set aside is also not ruled out, but this may not happen immediately, analysts say. “The bank needs to stabilise market expectations,” said Dipankar Mitra, economist at London-based investment bank Execution Noble. “The direction is for rates to go up further,” Mitra told AFP. On 19 March, India’s central bank, which has joined its peers in such countries as Australia and Malaysia in starting to unwind stimulus aimed at shielding the economy from the downturn, hiked interest rates from record lows. It raised the repo, the rate at which it lends to commercial banks, by 25 basis points to 5% and also hiked the reverse repo, the rate it pays to banks for deposits, by 25 basis points to 3.5%. It was the first rise in benchmark rates since 2008. The Asian Development Bank (ADB) said India’s economic rebound from the global financial crisis will gain pace in 2010, but inflationary pressures will require special attention, a report released last week said. Inflation is a politically sensitive issue in India and the left-leaning Congress-led government has been under attack from opposition parties for its inability to control food prices. “Some amount of tightening is required,” government financial services secretary R. Gopalan told reporters last week. Analysts say inflation could peak at near 11% by June, after which the rate could slacken but still be at “uncomfortable levels.” Goldman Sachs has raised its forecast for inflation for the fiscal year to March 2011 to 7.5% from 6% earlier, stoked by rising consumer and commodity prices. “Inflation will be high and sticky in 2011,” said Goldman Sach economist Tushar Poddar, forecasting the central bank could hike rates by 150 basis points in 2010. Growth has been robust in India after last year’s slowdown with industrial output expanding for a sixth straight month. Output by factories, mines and utilities grew 15.1% year-on-year in February, latest data showed, lifted by fiscal stimulus, cheap borrowing costs, resurgent consumer consumption and growing export demand. India’s economy may expand by as much as 8.75% in the financial year that began 1 April, from an estimated 7.2% in the last 12 months and be back at pre-financial crisis levels of 9% next year, the government says. Source: Home - Livemint.com | 18 Apr 2010 | 1:21 am ZTE to launch CDMA, GSM handsets in India in next 2-3 months - Economic Times
Source: Business - Google News | 18 Apr 2010 | 1:08 am Algeria sees no scope for OPEC to curb oil pricesORAN, Algeria (Reuters) - Algerian Energy Minister Chakib Khelil said on Saturday he believed OPEC could do nothing at this stage to restrain rising oil prices, despite concerns the high cost of energy could hurt the economic recovery.Source: Reuters: Money News | 18 Apr 2010 | 12:34 am Bisleri to launch flavoured water soonBottled water major, Bisleri International, plans to launch water with fruit flavours this summer or in the coming festive season, a top company official said.Source: HindustanTimes.com - Top Business News Headlines | 18 Apr 2010 | 12:23 am Indian expats remittances increase despite global slowdownMumbai: Remittances by Indian expatriates rose by over $1 billion to $27.51 billion (around Rs1,22,420 crore) during April-September 2009, unfazed by the global financial meltdown, a RBI survey has said. The remittances increased from $26.37 billion during the same period in the previous year, as India provided much better returns. “... inward remittances in India have not been impacted significantly by the global economic crisis,” RBI said in its latest monthly bulletin. It further said that the rise in remittances may be attributed to a number of factors, including depreciation of rupee resulting in the rise in inflows through rupee denominated NRI accounts to take advantage of the depreciation and hike in interest rate ceilings on NRI deposits since September 2008. RBI said that it was feared that the global recession could impact migrant workers more severely. “Even if there is no lay-off, workers would often have to accept lower wages as employers worldwide are seeking to cut costs in an attempt to cope with the financial crisis,” it said. The survey, which was conducted in November 2009, said that North America continues to be the most important source region of remittances to India despite its share in total remittances falling to 38% (44% during the 2006 Survey). This is in line with the fact that a large proportion of migrants to North America (US and Canada) work in software and other Information and Communication Technologies (ICT) related areas which have relatively higher average earning levels. The Gulf region accounts for an average of 27% of the total remittance inflows to India, with major source countries being the UAE and Saudi Arabia. While Kochi and Mumbai receive above 50% of their remittances from the Gulf region; Ahmedabad, Bangalore, Chandigarh, Delhi, Hyderabad and Kolkata received more than 60% of their inward remittances from North America and Europe together. It further said that while the larger numbers of the bank branches that were surveyed have reported negligible impact of global crisis on flow of remittances, responses have been mixed across the regions. “Majority of the respondents in Delhi and Chandigarh centres said that ongoing recession led to decline in the remittances, while in Ahmedabad centre, the majority of the respondents did not see any significant decline in the flows of remittances in the region,” RBI said. Source: Home - Livemint.com | 18 Apr 2010 | 12:22 am Selling car above actual price is unfair trade practice: NCDRCThe National Consumer Commission has upheld an order of a state forum directing an authorised car dealer to pay Rs 30,000 to a person for selling the vehicle above the price mentioned in the bill.Source: HindustanTimes.com - Top Business News Headlines | 18 Apr 2010 | 12:18 am Europe's air travel crisis enters fourth dayLONDON (Reuters) - Air travel across much of Europe was paralysed for a fourth day on Sunday because of a huge cloud of volcanic ash, but Dutch and German test flights carried out without apparent damage seemed to offer hope.Source: Reuters: Money News | 18 Apr 2010 | 12:04 am Recognising the emerging entrepreneurs of Tamil NaduAn idea that was sown almost five months back will germinate on Sunday evening when nine winners of the CII Tamil Nadu Emerging Entrepreneurs Awards, given in association with The Hindu Business Line are announced. The nine will have beenSource: Business Line - Home Page | 18 Apr 2010 | 12:00 am 3G: Day 7 sees highest jump in price yetThe fight for third generation (3G) spectrum intensified on Saturday with the price for pan-India air waves going up by Rs 614 crore to touch Rs 5,710.36 crore. This is the highest increase in price on a single day since the auction began onSource: Business Line - Home Page | 18 Apr 2010 | 12:00 am Management guru C. K. Prahalad passes awayEminent thought leader and management guru Prof C. K. Prahalad passed away this morning in San Diego, US, after a brief illness. He wasSource: Business Line - Home Page | 18 Apr 2010 | 12:00 am Goldman fallout: No major impact seen on Indian marketIndia's stock markets are unlikely to be significantly impacted by the sharp fall in US and European markets on Friday following the US Securities and Exchanges Commission's decision to sue Goldman Sachs, according toSource: Business Line - Home Page | 18 Apr 2010 | 12:00 am Retail investors exit secondary market to enter primary offersAre retail investors taking money out of the secondary market to subscribe to Initial Public Offers? Data from the secondary market seem to suggestSource: Business Line - Home Page | 18 Apr 2010 | 12:00 am Corporate financial distress on the riseMore number of companies with larger debt knocked on the doors of the Corporate Debt Restructuring Cell for being nursed back to health in fiscal 2010 than in the previous year as India Inc began to feel the ripples of the global economicSource: Business Line - Home Page | 18 Apr 2010 | 12:00 am JHS Svendgaard Laboratories targets Rs80 crore revenue in FY 11The BSE-listed company is in the business of manufacturing oral-care products for Elder Pharma, Cipla, Dabur, Big Bazaar, Wal-Mart and the US-based Church and Dwight.Source: Daily News & Analysis: Money News | 17 Apr 2010 | 11:48 pm Allow pvt players in nuclear power generation: AssochamIndustry body Assocham on Sunday said the government should take a "simple policy decision" of allowing private firms to hold minority stakes in the sensitive nuclear power generation sector.Source: HindustanTimes.com - Top Business News Headlines | 17 Apr 2010 | 11:44 pm Development Credit Bank eyeing Rs150 cr through QIP in H2, aims for profit in Q3Development Credit Bank (DCB) plans to raise Rs 150 crore through a QIP after six-months by which time it expects to return to profitability, a top bank official said.Source: Daily News & Analysis: Money News | 17 Apr 2010 | 11:42 pm Goldman case likely to unleash torrent of lawsuitsWashington: The fraud charges against Goldman Sachs & Co. that rocked financial markets on 16 April are no slam dunk, as hazy evidence and strategic pitfalls could easily trip up government lawyers. Yet that hardly matters, experts say, because the allegations will kick off a new era of litigation that could entangle Goldman and other banks for years to come. The charges against Goldman relate to a complex investment tied to the performance of pools of risky mortgages. In a complaint filed Friday, the Securities and Exchange Commission alleged that Goldman marketed the package to investors without disclosing a major conflict of interest: The pools were picked by another client, a prominent hedge fund that was betting the housing bubble would burst. Goldman said the charges are “unfounded in law and fact.” In a written response to the charges, the bank said it had provided “extensive disclosure” to investors and that the largest investor had selected the portfolio not the hedge fund client. Goldman said it lost $90 million on the deal. That doesn’t contradict the SEC complaint, which says the largest investor selected the mortgage investments from a list provided by the hedge fund. And the fact that Goldman lost money has no impact on the fraud charges. The charges will unleash a torrent of lawsuits, and likely signal that the government is prepared to file more lawsuits related to the overheated market that preceded the financial crisis, experts said. “This is just the tip of the iceberg,” said James Hackney, a professor at Northeastern University School of Law. “There are a lot of folks out there in different deals who played similar roles, and once it starts building steam, plaintiffs’ lawyers will figure out this is where the money is and there should be a lot of action.” Among the legal action expected in the coming months: Class-action suits by Goldman shareholders who believe Goldman alleged misconduct made their stakes less valuable could come as early as Monday. Such suits are common when companies are accused of wrongdoing. Goldman shares fell almost 13% on16 April as the bank lost $12.5 billion in market capitalization. Suits by investors who believe Goldman sold them on deals that were doomed to fail. The investors in the transaction at the heart of the SEC case could sue first, followed by others who believe their losses were similar. Possible criminal charges, if the SEC’s civil case reveals evidence that meets the higher standard of “proof beyond a reasonable doubt.” Experts said it’s unlikely the company as a whole will face criminal charges, but evidence could emerge that would expose the Goldman executive named in the SEC complaint, 31-year-old Fabrice Tourre, to criminal prosecution. Charges by regulators about other mortgage investments at Goldman and elsewhere. SEC enforcement chief Robert Khuzami told reporters Friday the agency is racking up evidence on other deals in the overheated market that preceded the financial crisis. Already the case has provoked legal questions from foreign governments, according to published reports. That’s because the financial crisis forced many countries to bail out banks that lost money on investments arranged by Goldman. German regulators are considering legal action against Goldman, newspaper Welt am Sonntag reported, quoting a spokesman for Chancellor Angela Merkel. The charges would be on behalf of IKB Deutsche Industriebank AG an early victim of the financial crisis that was rescued by the state-owned KfW development bank among others. IKB invested in the deal regulators are targeting. The flurry of legal activity is likely to proceed separately from the SEC’s case against Goldman, which experts said faces numerous pitfalls. To prove its fraud case against Goldman, the government must show that Goldman misled investors or failed to tell them facts that would have affected their financial decisions. The government’s greatest challenge, experts said, will be boiling the case down to a simple matter of fraud. The issues involved are so complex that Goldman may be able to introduce enough complicating factors to shed some doubt on the government’s claims. “If you wanted to go after Goldman with a complaint that wouldn’t stick, this would be perfect,” said Janet Tavakoli, president of Tavakoli Structured Finance, a Chicago consulting firm. “If you look at these products, almost all of them look like hoaxes because of the junk inside.” Legal experts pointed to the paucity of evidence in the government’s lawsuit, which contains short excerpts from e-mails but lacks key information about what the various investors knew and what actions they took. The quality of the evidence was not clear from the complaint, said Jacob Frenkel, a former SEC enforcement lawyer now with Shulman, Rogers, Gandal, Pordy & Ecker PA. Frenkel said there’s been an uptick in “cases where the government chooses select excerpts from e-mails as the basis for its allegations only to find the balance of the text or other e-mails prove otherwise.” For example, prosecutors last fall tried unsuccessfully to use a series of e-mails to convict two Bear Stearns hedge fund executives. They wanted to convince jurors that there was behind-the-scenes alarm at the hedge funds as investments in complex securities tied to mortgages began to slide. The jurors were not swayed. After the verdict, some jurors told reporters they found the evidence against the two executives flimsy and contradictory. Others suggested the pair were being blamed for market forces beyond their control. Goldman already has advanced a similar argument. “Any investor losses result from the overall negative performance of the entire sector, not because of which particular securities” were in the investment pool, the bank said in a written response to the charges Friday. That’s part of a time-honored tradition of defusing accusations by bringing in details that may or may not be relevant, said James Cohen, a professor at Fordham University School of Law. “Traditionally it’s in the interest of the party that has Goldman’s role to muddy the waters it’s rarely in their interest to have the picture as sharp as HDTV,” Cohen said. Several legal experts suggested Goldman and the SEC had reached an impasse over a settlement before the charges were announced. They speculated that Goldman was unwilling to admit that it allowed the hedge fund to create a portfolio of securities that was designed to fail because that admission could do irreparable harm to Goldman’s reputation. “Goldman could’ve easily paid a fine already,” said John Coffee, a securities law professor at Columbia University. “So I don’t think it’s money they’re fighting over.” The case has been assigned to US District Judge Barbara Jones of New York. Jones is the federal judge who five years ago presided over the $11 billion criminal fraud case that toppled WorldCom Corp. and sent its former CEO Bernard Ebbers to prison for 25 years. AP Business Writer Stevenson Jacobs in New York and AP Real Estate Writer Alan Zibel in Washington contributed to this report. Source: Home - Livemint.com | 17 Apr 2010 | 11:37 pm Ten wounded in Chinnaswamy stadium blastBangalore: At least 10 people were wounded when two bombs exploded on 17 April outside a packed cricket stadium in the southern Indian city of Bangalore, stirring fears about more militant attacks, police said. Police said a third bomb was found and defused outside the stadium, and preliminary investigations showed that a timer device may have been used. “It was a huge noise and people started to run. We were really scared,” Arun Kumar, a witness, told television channels. The explosions came a day after the US State Department issued a travel alert in which it said: “The US government continues to receive information that terrorist groups may be planning attacks in India”. India is further tightening security before the October Commonwealth Games after the United States issued its warning about possible militant attacks on hotels and markets in India. Several cricket-playing countries had warned their players in advance about participating in the Indian Premier League (IPL) about security threats in India. The blasts blew off portions of an outer wall of the stadium, packed with people who had come to watch a match in the popular tournament. Bangalore police commissioner Shankar Bidari said the two bombs that exploded may have been hidden behind a plastic board. “It is a minor bomb blast, but investigations are in full swing to find out who is responsible,” Bidari told reporters. The Twenty20 cricket match between Mumbai Indians and the home team Bangalore Royal Challengers, featuring top foreign players started an hour late at (1130 GMT) after police secured the area and assured players of proper security. The Bangalore team includes Kevin Pietersen from England, Jacques Kallis and Dale Steyn from South Africa, while Mumbai has star batsman Sachin Tendulkar and Kieron Pollard from West Indies in their playing 11. Indian Home Ministry officials said cities had been asked to bolster security in key installations after the Bangalore blast, the second bomb attack since the 2008 Mumbai raid in which 166 people were killed in a three day carnage. In February, a powerful blast ripped through a restaurant in the western city of Pune, killing 17 people. India has blamed the Indian Mujahideen, a homegrown militant group with links to militants in Pakistan, for the Pune attack. India’s Congress-led government is under increasing pressure from the opposition for failing to tackle issues such as security and food inflation as it heads into eight key state polls over the next two years. INDIA JITTERY India remains jittery about a perceived threat of Islamist attacks from Pakistani territory. It accuses its neighbour of failing to act against militant groups which have threatened to disrupt the cricket tournament and the Commonwealth Games. New Delhi has called a pause in peace talks with Pakistan since the 2008 Mumbai attacks by Pakistani-based militant group Lashkar-e-Taiba. It wants “credible steps” by Islamabad to bring the suspects to justice. There was no immediate claim of responsibility for the Bangalore blast. Police commissioner Bidari said forensic science experts were scouring the area for clues. In 2008, one woman was killed and several wounded in several low-intensity blasts in Bangalore, which were blamed on homegrown militant groups from southern India. Source: Home - Livemint.com | 17 Apr 2010 | 11:15 pm India 3G bids up 63 pc from base on auction 7th day - Economic Times
Source: Business - Google News | 17 Apr 2010 | 10:50 pm China 2020 foreign trade vol seen hitting $5.3 trlnSHANGHAI (Reuters) - China's foreign trade volume is expected to hit $5.3 trillion in 2020, a government researcher said on Sunday.Source: Reuters: Money News | 17 Apr 2010 | 10:41 pm How the deal workedThe US Securities and Exchange Commission is accusing Goldman Sachs Group Inc of committing fraud in a complicated transaction involving securities known as collateralized debt obligations.Source: HindustanTimes.com - Top Business News Headlines | 17 Apr 2010 | 10:19 pm Goldman Sachs charged with fraud by SECNEW YORK (Reuters) - Goldman Sachs Group Inc was charged with fraud by the U.S. Securities and Exchange Commission over its marketing of a subprime mortgage product, igniting a battle between Wall Street's most powerful bank and the nation's top securities regulator.Source: Reuters: Money News | 17 Apr 2010 | 9:53 pm BRICs take baby steps toward greater global cloutBRASILIA (Reuters) - The world's leading emerging powers found little new to agree on in their summit in Brazil, but their assertive tone in demanding more clout in global financial institutions and setting of a deadline for the reforms shows they are slowly becoming a more potent group.Source: Reuters: Money News | 17 Apr 2010 | 9:53 pm Mahindra to buy out Renault stake in JVMUMBAI (Reuters) - France's Renault is bailing out of a loss-making joint venture with India's Mahindra & Mahindra after disappointing Logan sales, and is expected to focus on other projects in the potentially high-growth market.Source: Reuters: Money News | 17 Apr 2010 | 9:47 pm Obama pushes bank reform, lashes out at RepublicansWASHINGTON (Reuters) - U.S. President Barack Obama accused opposition Republicans on Saturday of spreading misinformation about a Democratic bill that aims to tighten oversight of Wall Street banks and their practices.Source: Reuters: Money News | 17 Apr 2010 | 9:46 pm ANALYSIS - Goldman CDO case could be tip of icebergBOSTON/NEW YORK (Reuters) - The case against Goldman Sachs Group Inc over a 2007 mortgage derivatives deal it set up for a hedge fund manager could be just the start of Wall Street's legal troubles stemming from the subprime meltdown.Source: Reuters: Money News | 17 Apr 2010 | 9:44 pm EXCLUSIVE - Goldman knew for months charges were possibleNEW YORK (Reuters) - Goldman Sachs Group Inc learned it was facing potential civil liability in the Abacus CDO case sometime in the past six months when it received a "Wells Notice" from the U.S. Securities and Exchange Commission, sources said on Friday.Source: Reuters: Money News | 17 Apr 2010 | 9:44 pm India 3G bids up 63 pct from base on auction 7th dayNEW DELHI (Reuters) - One provisional winning bid for national cover in India's third-generation (3G) spectrum auction rose 63 percent from the base to 57.10 billion rupees ($1.3 billion) on the seventh day of the auction, government data showed.Source: Reuters: Money News | 17 Apr 2010 | 9:42 pm Goldman case likely to unleash torrent of lawsuitsThe fraud charges against Goldman Sachs & Co rocked financial markets on Friday. Hazy evidence and strategic pitfalls could easily trip up government lawyers and the allegations will kick off a new era of litigation that could entangle Goldman and other banks for years to come. How the deal workedSource: HindustanTimes.com - Top Business News Headlines | 17 Apr 2010 | 9:15 pm Go green, Gujarat tells industriesMinister says industries are welcome but not at cost of environmentSource: Daily News & Analysis: Money News | 17 Apr 2010 | 9:08 pm IT officers held for taking Rs 1.5 cr bribe - Times of India
Source: Business - Google News | 17 Apr 2010 | 3:55 pm Overseas passengers stranded in Mumbai - The Hindu
Source: Business - Google News | 17 Apr 2010 | 3:38 pm Pan-India 3G bid price up 63 pc, Delhi regains top slotThe seventh day of 3G spectrum auction saw a huge jump of 63 per cent in the bid price of all-India licence at Rs 5,710.36 crore over the base price, taking the total minimum revenue to Rs 22,841.44 crore.Source: HindustanTimes.com - Top Business News Headlines | 17 Apr 2010 | 2:30 pm Airlines cancel flights to the West till MondayThe thick volcanic smoke and flying ash choking European airspace continued to disrupt flights leaving passengers stranded for the third consecutive day on Sunday. Source: HindustanTimes.com - Top Business News Headlines | 17 Apr 2010 | 1:59 pm Don’t get fooled by private banksOnce upon a time, one associated manipulation of interest rates and similar machinations with the private moneylender. Today, such unfair trade practices have become the forte of banks, particularly private banks. Take, for example, this complaint that came up before the Banking Ombudsman. Source: HindustanTimes.com - Top Business News Headlines | 17 Apr 2010 | 1:08 pm Visa on arrival soon for 16 more countriesThe ministry of external affairs may soon extend visa-on-arrival to 16 more countries including France, Germany, South Korea, Belgium, Sweden, Vietnam, Chile, Mexico, Argentina, Brazil, Spain and the Netherlands. This facility, introduced in January 2010, is at present available to tourists who arrive from Finland, Japan, Luxembourg, New Zealand and Singapore.Source: Business Standard | Front Page Headlines | 17 Apr 2010 | 1:03 pm Manmohan, Sonia to decide Tharoor's fate soonWith Prime Minister Manmohan Singh back in the capital from his visit to USA and Brazil, the Congress leadership is likely to decide the fate of Shashi Tharoor, the junior foreign minister, in the next couple of days.Source: Business Standard | Front Page Headlines | 17 Apr 2010 | 1:02 pm 'We will miss you, our great guide'On the 60th anniversary of Indias Independence, C K Prahalad shook the celebrations by Indian business leaders. He challenged them to envision what the country should be at its 75th anniversary. And he asked them to determine what they must do to realise that vision. Liberalisation had helped Indian businesses: Their achievements were noteworthy; but what about the masses of India, he asked.Source: Business Standard | Front Page Headlines | 17 Apr 2010 | 12:57 pm Stranded fliers cause 10% rise in hotel pricesAs forecasters said the haze over Europe will stay for five more days, stranded passengers have caused hotel rates in New Delhi and Mumbai to climb 10 per cent. Travellers in large numbers have cancelled their tickets on flights to Europe, USA and Canada, rather than extend them to a later date.Source: Business Standard | Front Page Headlines | 17 Apr 2010 | 12:50 pm What to do with your ULIPs - Hindu Business Line
Source: Business - Google News | 17 Apr 2010 | 12:30 pm Wkly Tech Analysis: Nifty may slip to 5100 level - Business Standard
Source: Business - Google News | 17 Apr 2010 | 11:42 am Mobile Commerce to be next driver of growth: eBayIn an interview with CNBCTV18, Lorrie Norrington, President, eBay Marketplaces spoke about business at eBay and the road ahead for the global online auctioneer.Source: Moneycontrol Top Headlines | 17 Apr 2010 | 10:43 am Pan-India 3G bid price up 63%, Delhi regains top slotThe seventh day of 3G spectrum auction saw a huge jump of 63% in the bid price of all-India licence at Rs 5,710.36 crore over the base price, taking the total minimum revenue to Rs 22,841.44 crore.Source: India Business News | Business News - Times of India | 17 Apr 2010 | 10:40 am Trade ministers to review WTO talks in May in ParisOver 150 World Trade Organisation members have been negotiating a new agreement for liberalising the world trade since 2001 without a breakthrough.Source: Daily News & Analysis: Money News | 17 Apr 2010 | 10:22 am Will 3G bidding pick up pace next week?It has been one week of hectic auctioning of 3G spectrum. Thirtyfour auction rounds have been completed and the governments revenues have been jumping by thousands of crore everyday.Source: Moneycontrol Top Headlines | 17 Apr 2010 | 9:48 am Praful Patel: Clearing clouds surrounding Air IndiaPraful Patel has been responsible for more revolutions in the aviation ministry than perhaps any of his predecessors. In a special show, Off The Record, on CNBCTV18, Praful Patel, Minister of State for Civil Aviation, talks about Air India and various other issues.Source: Moneycontrol Top Headlines | 17 Apr 2010 | 9:05 am Eight flats of Adnan Sami may be seized by Enforcement DirectorateThe ED has slapped a show-cause notice on the Pakistani singer, charging him with falsely declaring that he was Indian while seeking a Rs1.5 crore loan from a bank to buy the flats.Source: Daily News & Analysis: Money News | 17 Apr 2010 | 7:46 am Gold falls by Rs 225; silver sheds Rs 650 on weak global cuesGold lost a whopping Rs 225 to trade at Rs 16,850 per ten grams in the bullion market on frantic selling sparked by negative global cues, while silver also nosedived by Rs 650 to Rs 27,400 per kg.Source: India Business News | Business News - Times of India | 17 Apr 2010 | 6:54 am Management guru CK Prahalad dies at 69The globally renowned management expert passed away after a brief illness at a San Diego hospital.Source: Daily News & Analysis: Money News | 17 Apr 2010 | 6:44 am IndusInd Bank aims at 2530% loan growth in FY11: MDPrivate sector lender IndusInd Bank is aiming at 2530% loan growth in 2010/11 on expected demand from both the corporate and vehicle finance sectors, a top official said on FridaySource: Moneycontrol Top Headlines | 17 Apr 2010 | 6:12 am Sanwaria sees FY11 earnings boost on retail thrustEdible oil maker Sanwaria Agro Oils expects FY11 revenue to rise by more than half as it pushes sales in the retail market and forays into high margin valueadded business, a senior official said on FridaySource: Moneycontrol Top Headlines | 17 Apr 2010 | 6:12 am Bajaj Auto ups stake in Austria\'s KTMIndia\'s No. 2 motorcycle maker, Bajaj Auto, said on Friday it has invested 20 million euros to raise its shareholding in Austrian power bike maker KTM to 35.7% from 31.9%Source: Moneycontrol Top Headlines | 17 Apr 2010 | 6:12 am Nuclear Power Corp to boost capacityIndia\'s Nuclear Power Corp plans to ramp up generation capacity to 7,000 megawatts (mw) by 2012, and will launch projects of 10,00012,000 mw capacity in 34 years, a top official said on FridaySource: Moneycontrol Top Headlines | 17 Apr 2010 | 6:12 am Ansal properties to raise Rs 70 croresAnsal Properties and Infrastructure is set to sign a private equity deal to raise Rs 70 crores for one of its residential projects, a top official said on FridaySource: Moneycontrol Top Headlines | 17 Apr 2010 | 6:12 am Indian Pharma\'s Second LifeNot long ago, innovator pharma companies considered Indian generic drug makers parasites. And then they had a change of heartSource: Moneycontrol Top Headlines | 17 Apr 2010 | 6:12 am LIC raises stake in Welspun Gujarat by 5%Welspun Gujarat Stahl Rohren said on Friday staterun Life Insurance Corp of India (LIC) has raised its stake in the steel pipemaker by nearly 5%Source: Moneycontrol Top Headlines | 17 Apr 2010 | 6:12 am European Central Bank 's Noyer says Greek aid plan 'very credible'The European Central Bank council member said that Greece had a 'very rigorous budget plan' and that the decision taken by the other members of the eurozone is 'a very strong one.'Source: Daily News & Analysis: Money News | 17 Apr 2010 | 6:08 am L&T evince interests to put up power shop in JharkhandLarsen & Toubro has evinced interest to put up a thermal power plant in Jharkhand, deputy chief minister Raghuvar Das said.Source: Daily News & Analysis: Money News | 17 Apr 2010 | 5:57 am Rajaratnam faces new charges in Goldman Sachs `fraud`!Prosecutors alleged Galleon Group founder Raj Rajaratnam had received confidential tips about Goldman`s stock from three Indian American executives.Source: Zee News : Business | 17 Apr 2010 | 5:30 am Australian regulator gives Rio Tinto, BHP Billiton extra time on dealOn March 30, the Australian Competition and Consumer Commission (ACCC) requested new information from the companies regarding the planned deal.Source: Daily News & Analysis: Money News | 17 Apr 2010 | 5:01 am Blast at Bangalore’s Chinnaswamy stadium; IPL match to go onBangalore: An explosion occurred at one of the gates of the M Chinnaswamy cricket stadium here barely an hour before the start of an IPL match on Saturday, leaving at least two persons, including a policeman, injured. A policeman and a private security guard posted at gate No. 11 were injured and immediately rushed to hospital, fire brigade officials said. “It’s a minor incident in the generator room. No need to worry. We will have a delayed start though... may be of 10-15 minutes,” Sudhakar Rao, assistant secretary of the Karnataka Cricket Association said. The cause of the blast is being ascertained. The explosion triggered panic as it came an hour before the start of the IPL match between Royal Challengers, Bangalore and Mumbai Indians. Source: LatestNews-Home - Livemint.com | 17 Apr 2010 | 5:00 am Nitish for fresh entrance for IIT-JEE 2010Patna: Bihar chief minister Nitish Kumar demanded holding of fresh entrance test for IIT-JEE 2010 following detection of alleged mistakes in the Hindi version of the question paper. “A fresh entrance test is the only solution following reports of mistakes in the Hindi version of the IIT-JEE paper,” Kumar told reporters on 17 April. He said he spoke to union human resource minister Kapil Sibal and wrote a letter seeking his immediate intervention. Kumar said he was not satisfied with the reasons given by the incharge of the IIT-JEE 2010 entrance test and the Centre should initiate an enquiry into the mistakes in the Hindi version of the IIT-JEE paper. The chief minister said a delegation led by director of a coaching institute led by mathematic wizard Anand Kumar met him last evening and had sought his intervention in the matter. A Professor from IIT Kharagpur Rajiv Kumar recently alleged that the Hindi version of the paper-II of the test carried wrong instructions which could have misled students in the Hindi heartland. However, IIT-JEE organising chairman Prof T S Natarajan later said, “There are certain minor mistakes in the papers here and there. But I can assure the candidates that these mistakes will not affect their performance. They will be taken care of during evaluation of papers.” Source: LatestNews-Home - Livemint.com | 17 Apr 2010 | 3:50 am Lenovo India makes key additions to India teamNew Delhi: PC maker Lenovo announced on 17 April key appointments to its India team in a bid to strengthen operations in the country. It has appointed Rahul Agarwal, who is the architect of Lenovo’s global marketing communications and services business, as executive director for Key Account Business (KAB) in India, Lenovo India said in a statement. Prior to Lenovo, Agarwal managed the commercial desktops business at IBM. The company has also appointed Rajesh Lakhani as head (services support) and he would be responsible for service delivery operations, parts management and service sales. Lakhani would also be responsible for growing and overseeing Lenovo’s services network in India. “We are focused on driving speed, performance and efficiency with a corporate structure that makes us even faster and even more customer-focused. Going forward, we will continue to introduce game-changing products, quality service and support and enhance our go to market strategy through channels,” Lenovo India managing director Amar Babu said. Over the last couple of quarters, Lenovo has achieved considerable success in terms of market share and product innovation and with the new executive team in place, it is poised for growth in the Indian PC market, the statement added. Source: Tech News - Livemint.com | 17 Apr 2010 | 2:57 am Lenovo India makes key additions to India teamNew Delhi: PC maker Lenovo announced on 17 April key appointments to its India team in a bid to strengthen operations in the country. It has appointed Rahul Agarwal, who is the architect of Lenovo’s global marketing communications and services business, as executive director for Key Account Business (KAB) in India, Lenovo India said in a statement. Prior to Lenovo, Agarwal managed the commercial desktops business at IBM. The company has also appointed Rajesh Lakhani as head (services support) and he would be responsible for service delivery operations, parts management and service sales. Lakhani would also be responsible for growing and overseeing Lenovo’s services network in India. “We are focused on driving speed, performance and efficiency with a corporate structure that makes us even faster and even more customer-focused. Going forward, we will continue to introduce game-changing products, quality service and support and enhance our go to market strategy through channels,” Lenovo India managing director Amar Babu said. Over the last couple of quarters, Lenovo has achieved considerable success in terms of market share and product innovation and with the new executive team in place, it is poised for growth in the Indian PC market, the statement added. Source: LatestNews-Home - Livemint.com | 17 Apr 2010 | 2:57 am
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