• PRESS INFORMATION BUREAU

Dated 24.07.2008 Amendments to the State Bank of India ( Amendment) Bill, 2006 and State Bank of India ( Subsidiary Banks) Act, 1959

The Union Cabinet gave its approval for carrying out the amendments to the State Bank of India (Amendment) Bill, 2006 with a view to provide clear provision to enable Reserve Bank to prescribe 'fit and proper' criteria for elected directors, to replace the provisions of the existing section 19(f) relating to RBI Nominee Director, and to drop amendments proposed in Clause (i) of sub-section (2) of Section 50 and also for amending certain provisions of the State Bank of India (Subsidiary Banks) Act 1959 consequent upon the transfer of ownership of the State bank from the Reserve Bank to the Central Government.

• RESERVE BANK OF INDIA

Circular No. DBOD.FSD.BC.23/24.01.011/2008-09 Dated 23.07.2008 Credit Card Operations of Banks

Banks have been advised that unsolicited credit cards should not be issued and that in case an unsolicited card is issued and activated without the consent of the recipient and the latter is billed for the same, the card issuing bank shall not only reverse the charges forthwith, but also pay a penalty without demur to the recipient amounting to twice the value of the charges reversed. In cases where the banks are offering any insurance cover to their credit card holders, in tie-up with insurance companies, the banks may consider obtaining in writing from the credit card holder the details of nominee/s for the insurance cover in respect of accidental death and disablement benefits. Banks may ensure that the relevant nomination details are recorded by the Insurance Company. Banks may also consider issuing a letter to the credit card holder indicating the details regarding the name, address and telephone number of the Insurance Company which will handle the claims relating to the insurance cover.

Press Release No. 2008-2009/122 -Dated 29.07.2008 -First Quarter Review of the Annual Statement on Monetary Policy for the Year 2008-09

RBI releases First Quarter Review of Annual Statement on Monetary Policy for 2008-09.The main sections covered in the review of annual statement include assessment of macroeconomic and monetary developments, stance of monetary policy and monetary measures. Keeping the Bank Rate and Reserved Repo Rate unchanged; the Repo Rate and Cash Reserve Ratio has been increased by basic points of 50 & 25 respectively from 30 Aug, 2008. The GDP is revised around 8.0 % and also policies are made to bring down the inflation to a tolerable level of below 5.0 % now and 3.0 % over the medium-term.

It has been assessed that policy action intending to bring down the current intolerable level of inflation to a tolerable level of below 5.0 per cent as soon as possible should be to bring down inflation from the current level of about 11.0-12.0 per cent to a level close to 7.0 per cent by March 31, 2009. In view the current assessment of the economy the overall stance of monetary policy in 2008-09 will broadly aspire to accord price stability and continuation of the growth momentum by building up sustaining monetary and interest rate environment, barring adverse and unexpected developments in various sectors of the economy.

• LABOUR AND EMPLOYMENT

Notification No. SO1543(E) Dated 24.06.2008 -Declares Specified Industry to be a Public Utility Service for the Purpose of the Industrial Disputes Act, 1947

Coal Industry which is covered by item 4 of the First Schedule to the Industrial Disputes Act, 1947 had been declared to be a Public Utility Service for the purpose of the said Act for a period of six months. Same has been extended for another period of six months from the 28th December, 2007.

• SECURITY EXCHANGE BOARD OF INDIA

Circular No. MIRSD/ DPSIII/ Cir-24/2008 Dated 25.07.2008 - Designated e-mail ID for regulatory communication with SEBI

SEBI has put in place a system for issuance of digitally signed circulars with respect to stock exchanges, depositories and merchant bankers. Therefore, Merchant Bankers are also advised to create a designated e-mail id for regulatory communications. This e-mail id shall be an exclusive e-mail id only for the above purpose and should not be a person-centric e-mail id.

• ENVIRONMENT AND FORESTS

Draft Notification Dated 09.07.2008 - Draft Notification on 'Regulatory Framework for Conservation of Wetlands'

Recognizing the value of wetlands and taking cognizance of the fact that there does not yet exist a formal system for conservation and management and wise-use of wetlands, the National Environment Policy (NEP), 2006 seeks to set up a legally enforceable regulatory mechanism for identified valuable wetlands to prevent their degradation, enhance their conservation and wise-use by all the stakeholders. In pursuance of the policy resolution, a multi-disciplinary expert group was set up in the Ministry of Environment and Forests under the chairmanship of Secretary (E&F).

• HUMAN RESOURCE DEVELOPMENT

Notification No. SO1630(E) Dated 07.07.2008- Appointed date for enforcement of India Gandhi National Tribal University Act, 2007

The date of enforcement of the Indira Gandhi National Tribal University Act, 2007 has been declared as 8th day of July, 2008.