INDIA BUSINESS UPDATE - Cabinet Reshuffle Disappoints; Malegam Committee For Capping MFI Lending Rates At 24%; Sensex Slips 113 Pts

Wednesday, Jan 19, 2011 SPECIAL LEAD Click here for India Business Update Mobile Version CABINET RESHUFFLE TURNS OUT TO BE A TIMID AFFAIR Prime Minister Manmohan Singh has expanded his Council of Ministers and the swearing-in ceremony of the new incumbents took place at Rashtrapati Bhavan. Praful Patel gets the Heavy Industries and Public Enterprises portfolio, Sriprakash Jaiswal the Coal Ministry, Salman Khurshid gets Water Resources and Minority Affairs, while Vilasrao Deshmukh has been shifted to Rural Development and Panchayati Raj. Murli Deora has been shifted to Corporate Affairs Ministry and CP Joshi is the new Road Transport and Highways Minister. Sharad Pawar will handle the Agriculture and Food Processing Industries portfolio. Three new faces, Beni Prasad Verma, KC Venugopal and Ashwani Kumar have been inducted. read more LEAD STORIES MALEGAM COMMITTEE FOR CAP ON MFI LENDING RATE AT 24% Malegam Committee recommended interest rate cap of 24% to be charged by the MFIs with upper limit of individual loans at Rs 25,000. read more SENSEX SLIPS 113 PTS; INFOSYS, RIL LEAD THE FALL Sensex closed at 18,978.32 points, following late sell-off in some heavyweight on interest rate hike fears. Nifty ended at 5,691.05, down 33 points. read more BLACK MONEY IN FOREIGN BANKS 'PLUNDER OF NATION': SC Supreme Court said that black money stashed by Indians in foreign banks was a theft of national wealth but PM says there is no quick solution to it. read more TOP STORIES • Asia to see soaring prices in 2011: Reuters poll • Major cabinet reshuffle after budget: PM • RBI relaxes norms to enable banks to support MFIs • Essar hits at Vodafone; says it has no locus standi • Iran payment row: RBI team to visit Germany • Tata Steel FPO subscribed 20% on day 1 • BSE refutes reports of legal action against SGX • HCL Tech Q2 net up 34%; scrip hits year-high • Bajaj Auto Q3 net up 40% at Rs 667 cr • Hindustan Zinc Q3 net rises most in 4 yrs, up 12% • IndiGo gets int'l traffic rights; to fly from Aug • Jairam relents, may consider Vedanta refinery plans • Tata Steel-SAIL JV to get coal mine blocks soon: Tata • HCL Infosystems to sell HCL Infinet to Tikona • Rolta India to sell 50% in Shaw Rolta JV for Rs 150 cr • National Broadband Plan blueprint by March 31: Sibal • Give us power to levy tax on services: States to FM • Globsyn-NSDC sign skill development JV • Nomura seeks buyers for $2.5 bn US loan business • Obama invites Ballmer, Blankfein to meet Chinese Prez more stories TOP VIDEOS 2011 Will Be Strong In Demand Terms: Vineet Nayyar, Vice-Chairman & CEO, HCL Technologies See No Budget Flush This Year: Phaneesh Murthy, CEO, IGate There Should Be Some Level Of Compression Of About 100-120 Points On The Nifty From Here: Vineet Bhatnagar, MD, MF Global AT A GLANCE BSE 18978.32 -113.73 NSE 5691.05 -33 TURNOVER Rs. 141,574 cr BSE CASH Rs. 3,442 cr NSE CASH Rs. 13,109 cr NSE F&O Rs. 125,022 cr BULLION GOLD 20395 +61 SILVER 44925 +528 CRUDE WTI 91.78 +0.4 BRENT 4471.22 +11.53 FOREX $ / Re 45.45 +0.03 £ / Re 72.668 +0.2 € / Re 61.328 +0.59 EVENTS 20 January CII Session With South Korean Minister, Taj Mansingh, New Delhi 20 January All India Management Association's 51st Foundation Day, Hotel Le-Meridien, New Delhi 20-22 January Future Of Financial Markets 2011, Leadership Summit, Renaissance, Mumbai 20-24 January 8th Plastivision India 2011, Bombay Exhibition Centre, Mumbai 20-26 January Tooltech 2011, Bangalore International Exhibition Centre, Bengaluru 20-26 January IMTEX 2011, Bangalore International Exhibition Centre, Bengaluru 21 January 2nd National Power Conference, Sheraton, New Delhi 21-22 January 6th North East Business Summit, Intercontinental The Lalit, Mumbai EXPERT VIEWS "It (black money stashed by Indians in foreign banks) is a pure and simple theft of the national money. We are talking about mind-boggling crime. We are not on the niceties of various treaties. We are talking about huge money. That is plunder of the nation." Justices B Sudershan Reddy & SS Nijjar Supreme Court "The reshuffle has failed to show the government's resolve to fight corruption...The only message one gets is that even today, the PM is not able to effect a reshuffle by rising above pressure. He has failed on the expectations of the people. No brave efforts were made to remove those against whom there were talks (of corruption) or those whose names have appeared in (Niira Radia) tapes. The Prime Minister has only sent his ministers from one building to the other." Shahnawaz Hussain BJP Spokesperson "There is no instant solution to bring back what is called black money. We have got some information and that has been provided to us for use in the collection of due taxes. We cannot use the information for any other purposes and that information cannot be made public." Manmohan Singh Prime Minister WATCH OUT Sultans of South He's been called the Henry Ford of heart care, the Robin Hood of medicine and even an operating machine, but all Dr Devi Shetty wants to be known as, is a competent surgeon. A caring doctor and an eccentric businessman in equal parts, his Narayana Hrudayalaya group of hospitals has proved that low cost healthcare can also be profitable. SHOW TIMINGS Thursday 7 pm CNBC-TV18 PROGRAMME SCHEDULE STOCKS & INVESTING INDIA EARNINGS PORTFOLIO