Government Approves Seven (07) Proposals of Foreign Direct Investment (FDI) Amounting to Rs. 981.15 Crore Approximately

Government Approves Seven (07) Proposals of Foreign Direct Investment (FDI) Amounting to Rs. 981.15 Crore Approximately

Based on the recommendations of Foreign Investment Promotion Board (FIPB) in its 220^th meeting held on 3^rd July 2015, Government has approved 07 proposals of Foreign Direct Investment amounting to Rs. 981.15 crore approximately.

Details of Proposals considered in the Foreign Investment Promotion Board (FIPB) Meeting held on 03.07.2015

Following 07 (seven) pr.oposals have been approved:

S. no.	Name of the applicant	Gist of the proposal	Sector	Proposed FDI (in Rs. )
1.	M/s Celon Laboratories Limited, Hyderabad, Telangana	Approval has been sought by M/s Celon Laboratories Limited, a Brownfield pharma company for downstream investment in another brownfield pharma company.	Pharma	Rs. 16 crore
2.	M/s Keppel Puravankara Development Private Limited, Bangalore	Approval has been sought by M/s Keppel Puravankara Development Private Limited for redemption of preference shares issued to the foreign investor upon the expiry of minimum lock-in period of 3 years.	Real Estate	Nil
3.	M/s Lalea Trading Ltd., Cyprus	Application for obtaining approval for repatriation in terms of clause 6.2.11 of the consolidated FDI policy.	Real Estate	Nil (Rs. 23,27,48,358.02 – Outflow)
4.	M/s Hathway Cable and Datacom Limited	Approval has been sought for increasing foreign investment limit for FIIs, FPIs, etc. under the Portfolio Investment Scheme from 49% of its issued and fully paid up share capital to 74%.	Telecom & Broadcasting	Rs. 963 crore
5.	M/s Cheetah Communications Private Limited, New Delhi	M/s Cheetah Communications Private Limited, a newly incorporated company, is seeking approval to (i) engage in the internet and telecom related services and (ii) to increase foreign equity participation upto 100% by way of fresh issue of shares and transfer of shares from existing resident shareholders.	Telecom	Rs. 2.15 Crore
6.	M/s Destimoney Enterprises Limited	Destimoney Enterprises Limited has sought approval for conversion of from an operating cum investing company to a holding or Investing company.	Investing Company	Nil
7.	M/s Kotak Mahindra Bank Limited, Mumbai	Gist of the Proposal: Approval has been sought for increasing the aggregate foreign investment in M/s Kotak Mahindra Bank Limited to 55% pursuant to a merger between ING Vyasa and Kotak	Banking	Nil

The following 06 (six) proposals have been deferred:

S. No.	Name of the applicant	Gist of the proposal	Sector
1.	M/s DEN Networks Limited	Approval has been sought for increase in foreign investment limit in Den Networks Limited beyond 49% and upto 74% by FIIs, NRIs, FPIs, and other eligible foreign investors through route of Secondary Market/Open Market purchase.	Telecom & Broadcasting
2.	M/s Reliance Globalcom Ltd., Bermuda	Approval has been sought by M/s Reliance Globalcom Ltd. (RGL) to purchase M/s GCX India Ltd. (GCX India), an Indian owned and controlled company.	Telecom
3.	M/s O-zone Networks Private Limited, Delhi	M/s O-zone Networks Private Limited Delhi, engaged in telecom sector and with 33.33% existing FDI from M/s AL Telecom Holdings (India) Limited, Cyprus, seeks approval for upto 100% foreign investment by M/s Ozone BV, Netherlands by way of purchase of the equity share capital existing foreign and domestic shareholders.	ISP
4.	M/s Chorus Call Conferencing Services India Private Limited	Approval has been sought by M/s Chorus Call INC, USA for increase in the foreign equity from 74% to 100% in M/s Chorus Call Conferencing Services India Private Limited engaged in providing services like transmission of voice, video and data.	Telecom
5.	M/s Sistema Shyam TelServices Limited.	Increases in FDI upto 100% in M/s Sistema Shyam TeleServices Limited and its downstream WoS M/s Shyam Internet Services Limited, both engaged in telecom sector, on account of conversion of Redeemable Preference Shares into equity.	Telecom
6.	M/s Indian Rotorcraft Limited, Mumbai	M/s Indian Rotorcraft Limited, Mumbai (Investee Company) has sought approval for (i) to incorporate the helicopter model as AW 119Kx in place of AW 119Ke. (ii) to undertake final assembly of AgustaWestland’s helicopters for export to global customers or offered to Indian Civil market only and (iii) to change the foreign investor from M/s AgustaWestland N.V., The Netherlands to M/s AgustaWestland S.p.A, Italy as M/s AgustaWestland N.V., The Netherlands merged into M/s AgustaWestland S.p.A, Italy, pursuant to an internal re-organization through merger within the AgustaWestland group w.e.f January 01, 2014.	Defence

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Digital Signatures & Electronic Storage of Documents

As part of the Government’s initiative to facilitate trade, Central Board of Excise and Customs has been taking several steps towards ease of doing business. One such recent initiative has been to encourage the trade to replace paper documents required by law to be preserved with electronic documents and to use digitally signed invoices in Central Excise and Service Tax. During the Budget exercise of 2015, legal provisions were amended with twin purpose of providing that the invoices issued by manufacturers or service providers can be digitally signed and to enable manufacturers or a service providers to store legally prescribed documents electronically. Now, a notification and a circular have been issued after due consultation with the trade and to prescribe the procedure and safeguards to be followed. Notification No. 18/2015-CE(NT) and Instruction issued from F.No 224/44/2014-CX.6 are available on the website www.cbec.gov.in. Besides improving ease of doing business and being environment-friendly, these initiatives are also expected to reduce transaction cost for the business.

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Timely Redressal of Tax Payer Grievances and Public Service Delivery

Grievance redressal is a major aspect of citizen centric governance and is an important feature of the activities of the Income Tax Department. The Central Action Plan 2015-16 of the Income Tax Department released during the Annual General Conference of senior officers held on 25-26 May 2015, has stressed on service delivery and timely grievance redressal as a key result areas for the Department. The Income-tax Department is addressing grievances through a multi-layered grievance redressal machinery including Centralised Public Grievance Redress and Monitoring System (CPGRAMS), Aayakar Seva Kendras (ASK), online grievance redressal through Central Processing Centre (CPC), etc. The status of redressal of grievances and initiatives at the end of first quarter of F.Y. 2015-16 was reviewed recently by the Government.

The disposal of grievances received through CPGRAMS has improved considerably. From 1.4.2014 to 22.07.2015 the overall disposal rate of grievances received on public grievances portal of the Government of India works out to 85%.

The Department has established 250 ASK Centres across the country to facilitate delivery of services identified in the Citizen’s Charter to the taxpayers. A road map is being readied for additionally establishing 58 ASK Centres during the current Financial Year. The department is committed to improve the delivery of service through ASK Centres. Towards this end, it has decided to mount proper training and refresher programmes for the officials working in ASK Centres with a certainty of tenure for such officials.

The disposal of Rectification Applications was also reviewed where pendency of cases was considerably high. At the end of first quarter of the current Financial Year 65 percent of the rectification applications received in the Department were disposed off. The Department is working on improving systems to reduce the time taken in disposal of rectification applications.

The Department is committed to the objective of timely delivery of quality taxpayer services and time bound disposal of grievances. This will be closely reviewed from time to time.

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