Dear friends,
I think most of us are taking a breather after the busy month of September. Many of you would have successfully concluded the Annual General Meetings while others would be through with their audits and filings. I feel every day should be busy and challenging to meet the changing demands. I recall the caption very recently shared by one of my colleagues which says, ‘Life throws many things in our Path, it’s our choice on how we respond…….. We have the options of becoming Better or Bitter…. Only difference is “I”’.
Today, one of the most important issues facing modern India and in particular, the state of Andhra Pradesh is the Telangana issue. Telangana is an issue that has been brewing for a long time, but highlighted and exploited by numerous political parties for petty political motives. Hyderabad, which is one of the top five IT hubs in the country, could lose the advantage of being a favoured destination if the pro-Telangana strife and uncertainty continue to cripple the city. People are now fed up with agitations and the bandhs as they affect their daily life. The sooner the issue ends the better for the state.
As known to all of us, India is moving towards the revolution in Financial Reporting process as practiced globally. MCA had mandated select class of companies to file their annual accounts in XBRL mode and the last date is November 30, 2011. It has now issued the revised taxonomy, validating tool, etc., We need to gear up to this challenge. XBRL is a welcome measure by the MCA, the benefits of which should be accruing in the days to come.
On the other hand, market watchdog i.e. SEBI has issued the revised Takeover Code i.e. SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 incorporating the suggestions made by TRAC. The new code is effective from 22nd October, 2011 and has far reaching implications on the securities market. The initial trigger point is now at 25% of shares or voting shares and now the promoters can consolidate their holdings upto 75% in the company without issuing public announcement.These changes are meant for better governance of the securities market and should improve the liquidity in the market.
R & A has been the Knowledge Partner together with Deloitte for the seminar organised on Proposed Companies Bill in Mumbai and Delhi by Achromic Point, an event management company. The event discussed on the proposed changes in the Companies Bill, 2009 and was well appreciated by the delegates. These initiatives of knowledge sharing will be taken up by R & A from time to time with the objective of value creation.
With regards
CS R. Ramakrishna Gupta
Partner
Ramakrishna@rna-cs.com
+919848019915