EGoM Okays Cairn Selling Majority Stake To Vedanta; AI Cancels 6 Flights As Oil PSUs Restrict ATF Supply; Sensex Up 221 Pts

Friday, May 27, 2011 BREAKING NEWS Click here for India Business Update Mobile Version EGoM OKAYS CAIRN-VEDANTA DEAL A ministerial panel today agreed to government granting approval to UK's Cairn Energy selling majority stake in its Indian unit to Vedanta Resources apparently without any pre-condition. The recommendation of the Group of Ministers headed by Finance Minister Pranab Mukherjee will go to the Cabinet Committee on Economic Affairs in two weeks time. read more LEAD STORIES SENSEX UP 221 PTS ON STRONG GLOBAL CUES Sensex closed at 18,266.10 as investors bought stocks at attractive low levels amid a firming global trend. Nifty ended at 5,476.10 up 63.75 points. read more AI CANCELS 6 FLIGHTS AS OIL PSUs RESTRICT ATF SUPPLY State-run oil firms have restricted fuel supply to Air India as the carrier has outstanding dues of over Rs 2,220 crore. read more COMMERCE MINISTRY TO FIGHT FOR HIGHER DUTY DRAWBACK Commerce Secretary Rahul Khullar said if the DEPB scheme is terminated, the ministry will fight for a higher drawback and brand rates. read more TOP STORIES • Balwa can't use iPad say Tihar jail authorities • Gold falls to Rs 22,745, silver sheds Rs 1,300 • Rupee up 14 paise to 1-wk high of 45.16/$ • Govt raises ECB limit to $30 bn from $20 bn • Speak Asia's Singapore bank accounts frozen • Banks to reimburse failed ATM transactions in 7 days • Tata JLR opens first assembly plant in India • Tough search for Tata's successor • Vedanta raises $1.65 bn through bonds • ICICI likely to sell off its shares in VA Tech Wabag • Crompton Greaves buys U.S. based QEI for $30 mn • SpiceJet FY11 net up 64% to Rs 101.2 cr • Need FDI in multi-brand retail to tame inflation: Basu • Xerox may move 'few hundred' jobs to HCL Tech • Basab Pradhan to re-join Infosys global head of sales • World recovery is gaining strength, watch debt: G8 • Japan quake halves Toyota, Honda April global output • eBay, PayPal sue Google over mobile phone 'Wallet' • Hillary Clinton pledges U.S. 'commitment' to Pakistan • iPhone 4 launched in India at Rs 34,500 more stories TOP VIDEOS Will Fight For Higher Duty Drawback If DEPB Lapses: Rahul Khullar, Commerce Secretary Expect 15-20% Coal Shortfall This Year: Sriprakash Jaiswal, Coal Minister There Will Be Lot Of Failures In SME Space And People Will Assume That These Failures Are Actually Fraud Cases: Sandeep Parekh, Founder, Finsec Law Advisors There Is Serious Long Term Money Waiting To Enter India: Saurabh Mukherjea, Head Equities, Ambit Capital AT A GLANCE BSE 18266.1 +221.46 NSE 5476.1 +63.75 TURNOVER Rs. 93,082 cr BSE CASH Rs. 3,268 cr NSE CASH Rs. 11,911 cr NSE F&O Rs. 77,903 cr BULLION GOLD 22485 +108 SILVER 57550 +996 CRUDE NYMEX 102.25 -0.08 BRENT 115.16 +0.11 FOREX $ / Re 45.16 -0.14 £ / Re 74.288 +0.19 € / Re 64.267 +0.26 EVENTS 30 May Court To Hear Kanimozhi's Bail Appeal 31 May 46th Meeting Of Board Of Approval For Setting Up New Special Economic Zones 1 June Conference On Biosimilars: Drugs For Life, Chandigarh 2 June Prime Minister To Take Final Call On Manufacturing Policy 2-3 June 26th Skoch Summit, Hyatt Regency, Mumbai 9 June EGoM To Meet On Fuel Prices EXPERT VIEWS "We are taking a clear position on Foreign Direct Investment in multi-brand retail. Of course, it is a recommendation, not policy. There is a need to revise the Agriculture Produce Marketing Committee Act to reduce the price gap between farm gate and consumer prices. We need a model act to be adopted by states." Kaushik Basu Chief Economic Advisor "Oil companies already incur huge losses on selling diesel, domestic LPG and kerosene way below their production cost and to expect them to sell ATF at subsidised rates is not acceptable. Even if this discount is stretched to Rs 5,000 per kl, the Rs 18.5 crore per day fuel bill will not become Rs 13.5 crore. After including some more concessions, the fuel bill at best will come down to Rs 17 crore a day, a far cry from the Rs 13.5 crore paying capacity of Air India." Official Government "It (GoM) has looked at various aspects of the ($9.6 billion Cairn-Vedanta) deal. It has taken a view on the matter. This view will be presented to the CCEA. Traditionally it has been the procedure that proceeding of GoM is not made public. GoM is not going to meet again." Jaipal Reddy Oil Minister WATCH OUT Storyboard Turns 10! This week, Storyboard turns back the lens on its 10 year long journey on CNBC-TV18. Be it reliving favourite moments on the show, to chronicling how the Storyboard decade changed their lives, marketing, media and advertising stalwarts get candid with their views. And take a rare look at the effort and all the people it takes to churn out Storyboard week after week after week. SHOW TIMINGS Sat 2:30pm Sun 11:30am & 9:30pm