Mints, security presses to be merged

These nine different organisations come under the Economic Affairs Department of the Finance Ministry. “It has been decided to corporatise all these nine organisations into one corporation,” Mukherjee said.

The wholly-owned corporation would be tentatively named as the Security, Printing and Minting Corporation of India and be under the Department of Economic Affairs, Finance Ministry, he said. “The corporation will come into effect from October 1 or any other date decided by the government,” Mukherjee said.

The nine organisation comprise four mints, four security presses and one security paper mill, he said.

In a bid to intensify e-governance and other IT initiatives in rural areas, the government also cleared the Rs 212 crore joint venture proposal between French telecom giant Alcatel and state-owned C-DOT for setting up a global broadband wireless research centre in Chennai.

“The company will be a private limited company initially with a shareholding of 51 per cent from Alcatel and 49 per cent from C-DOT,” said Mukherjee.

The Centre would provide opportunities to 300 Indian professionals to take part in advanced global research facilities. The C-DOT Alcatel Research Centre would be set up at a cost of Rs 212 crore, of which Rs 106 crore would be in the form of equity. “The government will provide Rs 54 crore to C-DOT to make equity investment in the proposed joint venture over a period of three years,” he said.

PETROL/DIESEL PRICES: Petrol and diesel prices may go up by Rs 2-3 a litre and LPG by Rs 20 per cylinder next week as the Union Cabinet deliberated on the urgency to raise fuel prices. But the cabinet put off a decision till the return of Petroleum Minister Mani Shankar Aiyar from his foreign tour.

“The Cabinet recognised that there was no alternative but raise fuel prices in view of the spiralling international oil prices. But the hike will not happen just now… not until September 7,” a senior Cabinet Minister, who wished not to be identified, said.

Aiyar is to return on Sept. 7 after his foreign tour. It was not clear if the price hike would be accompanied by a cut in duties to cushion the impact of crude oil prices that crossed $70 a barrel. The finance ministry is opposed to any cut in excise duty on petrol and diesel, claiming tax revenues from the oil sector have grown only 9 per cent this fiscal. (With PTI)

FDI norms relaxed

New Delhi: The government further liberalised FDI norms, allowing all non-resident Indian investment in rupees to be converted into repatriable equity. For this purpose, the government has modified Press Note 4 that gives detailed guidelines on NRI investments, an official statement said today. Earlier, under the Note (in 2001), investments by NRIs made in foreign exchange on non-repatriable basis were allowed to be made fully repatriable whereas investment made in Indian rupees through the rupee account continued to remain non-repatriable. — PTI