• NATIONAL

HC allows petition seeking waiver of interest on tax dues by minor.

The Madras High Court has set aside an order of Chief Commissioner of Income-Tax, Coimbatore, levying interest under Sections 234A, 234B and 234C of the Income-Tax Act for assessment years 1991-92 and 1992-93.

Allowing writ petitions by the assessee, a minor, challenging the order dated December 19, 2002, of the Chief Commissioner, Mr Justice K. Chandru ruled that the petitioner need not pay any interest for the two assessment years.

Citing a circular dated May 23, 1996, of the Central Board of Direct Taxes authorising the Chief Commissioner to grant waiver of interest due, the Judge said where a return of income could not be filed by the assessee due to unavoidable circumstances, and such return was filed voluntarily by the assessee or his legal heirs, the Commissioner may order waiver or reduction of interest under the sections.

In its order in M. Ganesan vs Vice-Chairman, Settlement Commission (IT & WT), reported in (2008) 299 ITR 456 (Mad), the Division Bench of the Court had said that given this power of waiver under the said circular of CBDT, the authority before whom a petition was made was bound to consider circumstances warranting a rejection or reduction.

RNRL wins gas dispute, stock up 23 pct

The Bombay High Court has directed Reliance Industries and Reliance Natural Resources to enter into a gas supply agreement within a month, a lawyer for Reliance Natural said.

The court asked Reliance Industries to supply 28 million metric cubic metres a day for 17 years at $2.34 per million metric British thermal unit, Mahesh Jethmalani said on Monday after the court ruling.

"Within one month's time we have to enter into an agreement ...," he said.

Reliance Industries is controlled by billionaire Mukesh Ambani while Reliance Natural Resources is headed by estranged younger brother Anil Ambani.

On Jan 30, The Bombay High Court had issued an interim order saying Reliance Industries was allowed to sell gas at $4.2 per million British thermal units from its KG-D6 block in the Krishna Godavari basin off eastern India, pending a final judgement.

FIR registered against Paswan for making 'provocative speech'

A local court of Hajipur (Bihar) has ordered registration of an FIR against LJP chief Ramvilas Paswan for making 'provocative' speech and remarks against JD(U) rival Ramsunder Das, who defeated him in the Lok Sabha polls this time.

Acting chief judicial magistrate Prem Mishra took cognizance of the complaint petition fild by a JD(U) minority cell leader Nayeem Akhtar on Wednesday charging Paswan with making the provocative speech and remarks against Das at a workers conference called by LJP to find out reasons behind its debacle in the polls.

Das, a former chief minister, had defeated Paswan by about 35,000 votes in Hajipur L S seat, where the LJP chief had once won by a record margin.

The court ordered issuance of a directive to the Hajipur superintendent of police to lodge the FIR with the town police station here under IPC sections 504 (intentional insult with intent to provoke breach of peace), 510 (misconduct in public) and 500 (defamation) aginst Paswan.

When contacted, SP Prasasnath said he was yet to receive a copy of the court's directive. ''We will work in keeping with the law,'' he added.

• INTERNATIONAL

Boston Globe union, Times Co. say still no deal

The Boston Globe's largest union and ownership failed to reach an agreement on wage and benefit cuts after another all-night negotiating session.A spokesman for the 137-year-old newspaper said a management-imposed pay cut of 23 percent remains in effect following talks that lasted well into Wednesday morning. Spokesman Robert Powers said in a statement that the sides are scheduled to meet again on Monday. Dan Totten, president of the Boston Newspaper Guild, says, "We're making progress."

Globe owner, The New York Times Co., has threatened to shut down the newspaper if its unions did not come up with $20 million in concessions, including $10 million from the Guild.

Management cut pay 23 percent after the Guild rejected a new contract last week.

Wash. High Court: Strict Liability Applies to Old Asbestos Claims

Strict product liability applies to asbestos claims that arose before Washington adopted the standard for suppliers in 1975, the state Supreme Court has ruled.The high court affirmed that a trial judge should not have dismissed strict liability claims against Saberhagen Holdings Inc., a supplier of asbestos-containing insulation. The Washington Supreme Court made the liability standard part of common law when it adopted the Restatement (Second) of Torts (1965) in 1969 as applied to manufacturers and for sellers and suppliers in 1975.

Saberhagen appealed the ruling to the state Supreme Court.

The justices rejected the defendant's claim that Robinson had been overruled.

The high court said that while it recognized that changes in the law can create a hardship for those who have relied on past decisions, "[w]e have chosen to favor equality of litigants over individual equities."

"Our decisions of law apply retroactively to all litigants not barred by procedural requirements unless we expressly limit our decision to purely prospective application," the Supreme Court said.

In a concurring opinion Chief Justice Gerry Alexander and Justices Barbara Madsen and James Johnson said that while retroactivity is the general rule, it must yield to compelling reasons that favor prospectivity.

Lawmakers wonder if Fed is best mega-regulator

Senior lawmakers are questioning the Obama administration's plan to task the Federal Reserve with monitoring firms deemed so big and influential that their demise could hurt the economy.

Sen. Richard Shelby of Alabama, the top Republican on the Senate Banking Committee, sharply questioned Treasury Secretary Timothy Geithner on the proposal, which he says represents a "grossly inflated view" of the Fed's expertise.

Sen. Christopher Dodd of Connecticut, the panel's Democratic chairman, says he hasn't decided yet whether it makes sense. He asked Geithner whether the Fed has too many responsibilities already andif the Fed's "track record" in failing to prevent the economic crisis would be a problem.

Geithner defended the plan, saying the Fed is the best option and that one organization must become accountable.