21-may

Brussels migrant plan : EU

1)      Brussels may have to water down controversial plans for quotas to spread Mediterranean refugees around Europe amid growing opposition led by France, Spain and Britain.

2)      European Commission chief Jean-Claude Juncker unveiled the plan last week in a bid to make the rest of the 28-nation EU share the burden of frontline states like Italy, Greece and Malta.

3)      EU ministers approved an EU naval force to fight people smugglers and possibly destroy their boats in Libyan waters.

4)      The plan would see binding quotas for redistributing asylum seekers based on national criteria such as economic size, population, unemployment and the number of refugees already taken.

5)      10 EU nations out of 28 say they oppose the quotas. It includes Britain, France, Spain, Hungary, Poland, the Czech Republic, Estonia, Hungary, Latvia, Lithuania and Slovakia.

6)      The quotas are part of a wider package rushed through by Brussels after nearly 800 migrants died in April in the deadliest shipwreck since the Syrian war triggered the refugee crisis.

7)      In an unprecedented crisis on Europe's southern shores, around 5,000 people have died in the past 18 months attempting to cross the Mediterranean in flimsy dinghies and rickety fishing boats in a bid to flee war and poverty.

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Migrant crisis in South-East Asia

1)      Malaysia and Indonesia would no longer turn away boat-people, a breakthrough in the region’s migrant crisis.

2)      Myanmar, whose policies toward its ethnic Rohingya minority are widely blamed for fuelling the human flow, also softened its line by offering to provide humanitarian aid to stricken migrants.

3)      Both the countries also agreed to offer them temporary shelter provided that the resettlement and repatriation process will be done in one year by the international community.

4)      Thailand did not sign on to the offer but the government said that they are still considering the plans.

5)      The Crisis :

                                i.            Malaysia, Indonesia and Thailand had sparked growing international outrage for driving off boats overloaded with exhausted and dying Rohingya, as well as Bangladeshis.

                              ii.            Nearly 3,000 boatpeople have swum to shore or been rescued off the three countries over the past 10 days after a Thai crackdown on human-trafficking threw the illicit trade into chaos.

http://www.thehindu.com/todays-paper/tp-international/boat-migrants-to-get-temporary-shelter/article7228895.ece

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20-may

India-EU Free Trade Agreement talks

1)      India has concluded agreements with ASEAN, Japan, Singapore and Korea.

2)      The meeting of the OECD countries scheduled for June offers an opportunity for both sides to draw up a road map.

3)      Chronological events :

                                i.            The EU identified India as a ‘strategic partner’ in 2004

                              ii.            A Joint Action Plan was signed in 2005

                            iii.            Negotiations on the proposed Broad-based Trade and Investment Agreement (BTIA) were launched in June 2007

                             iv.            Eight years down the line, some contentious issues still remain

4)      India-EU trade :

                                i.            The EU is one of India’s largest trading partners and a major source of FDI.

                              ii.            The value of EU-India trade grew from €28.6 billion in 2003 to €72.5 billion in 2014, while trade in commercial services rose from €5.2 billion in 2002 to €23.7 billion in 2013.

5)      Areas of disagreements :

                                i.            EU is unhappy with India’s protectionism in the automobile sector.

                              ii.            EU wants steep cuts in duties, and tariff cuts in things such as wine, spirits and dairy products.

                            iii.            But tariff cuts in the agricultural sector would mean Europe’s heavily subsidised agro industry will dump its surplus here, hitting Indian farmers.

                             iv.            India’s generic drug market also raises intellectual property concerns for European pharmaceutical corporations.

                               v.            On the other hand, India is unhappy with the EU not recognising it as a “data secure nation”, and with what the EU has to offer in the area of IT/BPO/ KPO services (Mode 1) and the movement of skilled professionals (Mode 4).

6)      Another criticism levelled against the FTA talks has been over lack of transparency and inadequate consultations with civil society participants.

http://www.thehindu.com/opinion/editorial/go-forward-on-indiaeu-talks/article7224441.ece

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Draft guidelines on Gold Monetization Scheme

1)      The  union govt. is considering allowing banks to utilise gold mobilised under the monetisation scheme for meeting mandatory liquidity requirements set by RBI, according to a draft guidelines on the scheme.

2)      To incentivise banks, it is proposed that they may be permitted to deposit the mobilised gold as part of their CRR/SLR requirements with RBI.

3)      Benefits to banks : CRR is 4% and SLR is 21.5% i.e. 25.5% of cash deposit mobilised by banks are locked in these two statutory ratios. So, if mobilised gold is considered for meeting the CRR and SLR requirements, then banks would have additional cash for lending purpose.

4)      The value of gold will be considered as deposits for meeting the reserve ratios.

5)      Benefits to depositors : The interest earned the gold deposit would be exempt from income tax as well as capital gains tax.

6)      The scheme is proposed to be initially introduced only in selected cities.

7)      How the scheme works?

                                i.            A customer brings in the gold to the counter of specified agency or bank.

                              ii.            The purity of gold is determined from BIS-approved hallmarking centres and exact quantity of gold is credited in the metal account.

                            iii.            Customers may be asked to complete KYC (Know-Your-Customer) process.

                             iv.            The deposited gold will be lent by banks to jewellers at an interest rate little higher than the interest paid to customer.

                               v.            Customer will have the choice to take cash or gold on redemption, but the preference has to be stated at the time of deposit.

8)      How is the interest rate calculated?

                                i.            Both principal and interest to be paid to the depositors of gold, will be valued in gold.

                              ii.            For example, if a customer deposits 100 gm of gold and gets 1% interest, then, on maturity he has a credit of 101 gm.

9)      Basic Facts :

                                i.            minimum tenure of 1 year

                              ii.            minimum quantity of deposits - 30 gm

                            iii.            The gold can be in any form, bullion or jewellery

http://www.thehindu.com/business/using-gold-deposit-to-meet-crr-slr-needs/article7224430.ece

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19-may

Good Governance : System of Application of Technology for Human Resources Improvement (SATHI) application

1)      The Department of Personnel and Training (DoPT) has undertaken a pilot project to implement the Gujarat human resources management model in two Central govt. agencies : Food and Drugs Administration and the Enforcement Directorate; to check its efficacy at the national level.

2)      The proposal for System of Application of Technology for Human Resources Improvement (SATHI) application was approved by the then Gujarat Chief Minister Narendra Modi in 2012, developed by IT major Infosys, and launched in August 2014.

3)      Objective : Aimed at improving the process for

                                i.            recruitment

                              ii.            avenues for training

                            iii.            skill based job allocations

4)      The system proposes :

                                 i.            10 years' recruitment calendar for government offices

                               ii.            It provides for online examinations for inductions and departmental promotions

                             iii.            A system of pre-recruitment eligibility test

5)      Applications :

                                i.            As part of personnel management, the application creates a manpower database showing real-time vacancies and human resource availability.

                              ii.            It also maintains individual profiles of all employees for instant access by the managerial level officials.

                            iii.            It will help identify capable officers on the basis of their talent profiles, which would also provide information about their previous postings.

                             iv.            The system provides online connectivity among all offices within the agency, both horizontal and vertical, through various communication devices.

                               v.            Employees can have access to all the latest government circulars and notification of their interest through the application. It also provides a platform for interaction among them.

6)      The system extends various services to employees, including online learning, skill position matching and feedback on performance besides motivation and empowerment.

7)      From the manager’s perspective, it makes available data on

                                i.            day-to-day manpower availability

                              ii.            filled-in positions in subordinate offices

                            iii.            online communication to pre-designated mailing list

                             iv.            review of pending administrative process

                               v.            pending work process monitoring

                             vi.            talent management

                           vii.            human resource budgeting

http://www.thehindu.com/todays-paper/tp-national/work-begins-on-hr-management-project/article7221470.ece

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18-may

Undertrial Review Committee

1)      67 per cent of those lodged in the prisons in the country are undertrials who are too poor to get bail.

2)      The Supreme Court has directed the National Legal Services Authority to coordinate with the Union Home Ministry to ensure urgent review of their cases for granting them bail.

3)      SC has given one month to ensure the functioning of the Undertrial Review Committee in every district in the country. The committees will now meet on June 30. The Supreme Court has ordered that the committees be revived in one month.

4)      The idea of forming the committees came in an advisory issued by the Home Ministry on January 17, 2013.

5)      Section 436A of Cr. PC : Undertrials can be released on bail on personal bonds if they have spent in jail half the maximum period of punishment for the offence they are charged with.

6)      The objective of the Undertrial Review Committee in every district in the country is to implement Section 436A of the Code of Criminal Procedure, which allows this concession.

7)      Composition of URC :

                                i.             District Judge

                              ii.            Superintendent of Police

                            iii.            District Magistrate,

8)      SC observed that a large number of prisoners are continuing in custody only because of their poverty. This is certainly not in the spirit of the law and poverty cannot be a ground for incarcerating a person.

9)      The Home Ministry was asked to direct the Bureau of Police Research and Development to review within three months a model prison manual which was circulated in 2003, keeping in mind the huge change in circumstances and availability of technology.

http://www.thehindu.com/todays-paper/tp-national/undertrials-languishing-in-jails-can-be-released-on-personal-bonds/article7217572.ece

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Validity of National Company Law Tribunal (NCLT)

1)      The Supreme Court has upheld the constitutional validity of the National Company Law Tribunal (NCLT) and its appellate forum under the Companies Act of 2013.

2)      SC however, quashed Section 409(3)(a) and (c) and Section 411(3) of the Act providing for qualifications of technical members.

3)      It held that for appointment of technical members to NCLT, directions contained in the 2010 judgment should be “scrupulously followed.”

Ø  The 2010 decision held that persons below the rank of a Secretary or Additional Secretary should not be appointed as a technical member to NCLT.

http://www.thehindu.com/news/national/sc-upholds-validity-of-company-law-tribunal/article7216796.ece

NCLT

1)      National Company Law Tribunal (NCLT) is a proposed quasi-judicial body that will govern the companies.

2)       It will be established under the Companies Act, 2013 and is a successor body of the Company Law Board.

3)      The principal bench of NCLT is expected to be established in New Delhi.

4)      NCLT will have the same powers as assigned to the erstwhile

                                i.            Company Law Board (which are mostly related to dealing with oppression and mismanagement)

                              ii.            Board for Industrial and Financial Reconstruction (BIFR)(revival of sick companies)

                            iii.            powers related to winding up of companies (which was available only with the High Courts)

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