Spicejet plane. File
| Photo Credit: PTI

SpiceJet on FridayOn Friday (December 13, 2024), SpiceJet said it cleared all employee provident fund (PF) dues worth ₹160.07 crore that were pending for over two years.

The low-cost carrier, which has been facing multiple headwinds, recently raised ₹3,000 crore, following which it has been clearing statutory, GST (Goods and Services Tax) and other dues.

“Employee PF dues amounting to ₹160.07 crore, spanning over two years, have been cleared,” the airline said in a release.

According to the release, since October, SpiceJet has been utilising its internal cash flows to meet its statutory obligations, including provident fund and TDS (Tax Deduction at Source) payments, the release said.

The airline has also resolved various disputes with aircraft lessors and other creditors.

Shares of SpiceJet rose 1.38% to close at ₹58.59 apiece on BSE.

Gupta won the Shanti Swarup Bhatnagar Prize in Mathematical Sciences in 2019, the Nari Shakti Puraskar in 2021, and the DST-ICTP-IMU Ramanujan Prize in 2021.
| Photo Credit: Infosys Science Foundation

On the way to a conference dinner in Bengaluru in 2014, Neena Gupta, then a postdoctoral student, was discussing a fundamental problem in algebraic geometry with a field expert, another student, and her grand supervisor, S.M. Bhatwadekar. 

The expert said the problem had already been solved by an Indian. Bhatwadekar pointed at Gupta and said, “You are sitting beside that Indian.”

“That kind of recognition is rare,” Gupta, currently a professor in the Theoretical Statistics and Mathematics Unit at the Indian Statistical Institute, Kolkata, and the recipient of the 2024 Infosys Prize 2024 in mathematics.

She won the prize for her groundbreaking work on a fundamental problem in algebraic geometry called the Zariski cancellation problem, posed in 1949 by Oscar Zarsiki.

Gupta also won the Shanti Swarup Bhatnagar Prize in Mathematical Sciences in 2019, the Nari Shakti Puraskar in 2021, and the DST-ICTP-IMU Ramanujan Prize in 2021.

“It was a long journey to arrive at the solution. When I first encountered the problem, I thought I could solve it. My supervisor, Dr Amartya Kumar, very kindly told me that it is a very difficult problem. I spent a lot of time reading research papers and took some time to solve it. It was the first time I tried an innovative approach,” she told The Hindu.

That wasn’t the end. As questions poured in regarding the solution, she dived deeper into the problem. With the help of her then PhD students Parnashree Ghosh and Ananya Pal, she developed a theory around the solution that could then be used to find a solution in a higher dimension.

“In this field there is no end to learning,” Gupta said. “One of the best ways to enhance your knowledge is to collaborate with people. You can learn from papers and books but when you collaborate your learning multiplies.”

She said her mentor played an important part in her success. “I came to know of this area of my research from Dr Kumar’s lecture series that he was giving in the department. After I started working with him, he suggested papers and relevant research to further my knowledge. Mathematics is not a subject you can pursue alone. You need to talk to people, even to know what to read and how to proceed in research. He has been patient and kind with my questions and always encouraged me to pursue my interests.”

“You have to really like what you are doing. Academia can get quite depressing. Not every problem will give you a eureka moment, but you have to persevere and work hard to stay on in this field,” she added.

Gupta supports the same mantra when speaking to young female researchers who want to pursue a career in mathematics. “Every person is different, they think in their own unique way. Their background and thought process often bring a different perspective which may actually help solve problems,” she said. “This is not just in the case for women but for men, too: you need to have perseverance and put in hard work.”

She also acknowledged women in mathematics face unique difficulties. “Thirty years back you would find almost nobody’s studying beyond class 10 or 12 but now things have changed and there are is a lot of participation of women, at least until graduation, but really few of them continue for PhD and continue, decide to do research.”

“Very often, women will leave in between because [they have] the dual responsibility of taking care of the family as well as excelling in their careers. That makes it very difficult. So having a supportive family is very important.”

“Things are changing now. We have professors (Raman) Parimala and Sujatha (Ramdorai) showing us the way. The government has several scholarships and fellowships for women who want to get back into research,” she added.

She also said institutions such as the Infosys Science Foundation are playing a role. According to her, the recognition they confer through their awards recognises the hard work of researchers as well as popularises their work, which fosters more interest and collaboration.

Switzerland cited a ruling by Indian Supreme Court in a case relating to Nestle for its decision to withdraw the MFN. File
| Photo Credit: Reuters

In a development that could hurt India’s investment climate and affect firms’ international taxation math, Switzerland has decided to suspend the Most Favoured Nation (MFN) treatment for India under the two countries’ 30-years old double-taxation avoidance agreement (DTAA), citing an October 2023 ruling against its validity by the Supreme Court on 11 petitions that were combined with a Nestle plea.

A statement by Swiss authorities dated December 11, said the MFN clause under the DTAA will no longer hold from January 1, 2025, considering that India’s apex court had said it does not get automatically triggered until notified under the Income Tax Act.

“On the basis of the Indian Supreme Court ruling, the Swiss competent authority acknowledges that its interpretation of para. 5 of the Protocol to the IN-CH DTA is not shared by the Indian side. In the absence of reciprocity, it therefore waives its unilateral application with effect from 1 January, 2025,” a Swiss government communiqué stated.

Terming this as a significant shift in bilateral treaty dynamics, Nangia Andersen’s tax partner Sandeep Jhunjhunwala said this would mean increased tax liabilities for Indian entities operating in Switzerland and increases the complexities of navigating international tax treaties in an evolving landscape.

“Previously, Indian companies benefited from a reduced tax rate of 5% on dividends and other incomes, thanks to Switzerland’s earlier application of MFN benefits. With the reversion to a 10% residual rate starting January 1, these firms face higher tax liabilities, reducing their competitiveness compared to businesses from countries still benefiting from MFN provisions,” reckoned Ajay Srivastava, director of the Global Trade Research Initiative (GTRI).

“Beyond its immediate fiscal impact, this development reflects broader trends in international taxation, with countries like India increasingly asserting stricter interpretations of treaty provisions to protect domestic tax revenues,” Mr. Jhunjhunwala noted, adding this underscores the need to align treaty partners on the interpretation and application of tax treaty clauses to ensure predictability, equity, and stability in international tax framework.

Sameer Gupta, national tax leader at EY India, indicated that all may not be lost in this bilateral economic tangle. “As per the Court’s decision, the MFN clause will only take effect once both countries issue notifications… once India provides the required notification, Switzerland can reactivate the treaty provision,” he averred.

Mr. Srivastava, however, warned that this suspension not only brings tax challenges for Indian firms in sectors like financial services, pharmaceuticals, and IT, that have operations in Switzerland, but also introduces frictions with other trade and investment partners over the MFN clause interpretations that could hurt inbound and outbound investment flows. If disputes over reading MFN clauses persist, Indian businesses could face similar hurdles in other jurisdictions as well, he said.

“Proactive negotiations to clarify and harmonize interpretations of treaty provisions are essential to safeguard Indian firms’ interests abroad. Additionally, India must ensure that its treaty frameworks reflect contemporary business realities, particularly in the digital and service sectors, to reduce tax uncertainties and promote global competitiveness,” Mr. Srivastava underlined.

Deepak Sood, Secretary General of the Associated Chambers of Commerce and Industry of India (ASSOCHAM). Photo: Deepak Sood via @Deepaksood69/X

Deepak Sood, Secretary General of the Associated Chambers of Commerce and Industry of India (ASSOCHAM) is moving on from the Chamber to pursue other interests, the Chamber said in a press release.

President of ASSOCHAM, Sanjay Nayar said, “Mr. Sood made important contributions to rebuilding a healthy balance sheet, delivering quality and a better national footprint for the chamber in recent years. The past presidents and I thank and wish him the best for the next phase.”

Speaking about his decision to step down from his post, Mr. Sood said, “I have decided to move on to pursue other interests, leaving behind more than five years of impact work at ASSOCHAM. After unlocking significant value following recent collaborations with Startup Mahakumbh 2024 and working on the Bharat@100 initiative, there is great satisfaction in ending the association with the chamber on a high. With guidance from Union and state governments, we have delivered insights into key growth areas. I thank the Presidium, Directors and members for their unwavering support.”

Before joining ASSOCHAM in 2019, Mr. Sood served as the CEO of Invest Karnataka, Government of Karnataka, and Executive Director at CII, among other roles with global organisations like ABB, Elf Lubricants (now called Total Fina Elf) and Larsen & Toubro.

A quartz mineral quarry in Nellore district. Photo: Special Arrangement..

The Federation of Minor Minerals Industry (FEMMI) has expressed grave concern over the alarming state of the mining sector in Andhra Pradesh, which has been grappling with several issues for years.

According to the association, the situation is dire, with 50% of the minor mineral mines —approximately 2,000 out of 4,000 — shutting down operations. This stark reality presented by the Principal Secretary during the recent Collectors’ conference in the presence of Chief Minister N. Chandrababu Naidu, underscores the dismal condition of the sector. FEMMI lamented that no discussion on the reasons behind the closure took place in the meeting, leaving critical issues unaddressed.

FEMMI secretary-general Ch. Rao has written a letter to the Chief Minister explaining the reasons for the unprecedented closure of mines and denial of livelihood opportunities for lakhs of people. According to him, a staggering 300-450 per cent taxation on minor minerals was making the leaseholders from A.P. lose the competitive edge with their counterparts from other States, the shift from the successful first come first serve (FCFS) system to an auction based allocation and issues of Environmental Clearances (ECs) have also put the industry in a precarious position. 

FEMMI also registered its protest strongly over the involvement of political leaders who are reportedly insisting for supply of minerals of their cartels in districts like Nellore where quartz mining was almost stopped in the last 6.5 months. The government’s Online Mineral e-Permit System (OMPS), which ensured transparency and efficiency, remains non-operational, leaving miners at the mercy of opaque processes controlled by political interests. Adding to their woes, the government has not even filed a counter to the writ petition on the permits issue in the High Court leaving the mine owners in a bleak situation.

“Mr. Chandrababu Naidu has the vision and authority to enact reforms and rescue this sinking industry. It’s time for the government to walk the talk on zero tolerance for corruption and rebuild a sustainable mining sector that generates wealth and livelihood for the State,” Mr. Rao stated. He escalated these issues to the Prime Minister’s Office (PMO), NITI Aayog, and the Ministry of Mines, seeking urgent intervention to protect the sector in Andhra Pradesh.

For representative purposes.
| Photo Credit: iStockphoto

The story so far: COP29, the ongoing climate conference in Azerbaijan’s capital Baku, has given a fillip to the idea of using carbon markets to curb carbon emissions by approving standards that can help in the setting up of an international carbon market as soon as the coming year.

Also read: A guide to COP29 climate jargon

What is a carbon market?

A carbon market is a market that allows the buying and selling of the right to emit carbon into the atmosphere. Suppose a government wants to limit the amount of carbon emitted into the atmosphere. It can issue certificates called carbon credits that allow the holder of the certificate to emit a certain amount of carbon into the atmosphere. One carbon credit is equivalent to 1,000 kilograms of carbon dioxide. By limiting the number of carbon credits that are issued, governments can control how much carbon is released into the environment. It should be noted that anyone who doesn’t hold carbon credits to their name would not be allowed to emit any carbon into the atmosphere. Carbon credits were first used in the 1990s in the U.S., which introduced the cap-and-trade model to control the emission of sulphur dioxide.

Individuals and firms that hold carbon credits but don’t actually need them for any reason can sell their credits to interested buyers. The price at which these carbon credits are traded is determined by market forces, which in this case are the supply of carbon credits and the demand for these certificates. A carbon market can also include the trading of carbon offsets. In this case, a business that pollutes the environment for example, can purchase carbon offsets sold by an environmental NGO that promises to plant trees that suck a certain amount of carbon emissions out of the atmosphere for each offset that it sells.

What is good about carbon markets?

Pollution of the environment and climate change caused by carbon emissions is a classic case of what economists call an externality. An externality is caused when the cost of an economic activity is not properly accounted for (or internalised) by the market price system due to the absence of well-defined property rights. For example, a business that uses raw materials such as iron will have to pay the supplier who owns the iron to be able to procure and use it, thus incurring a certain cost. But when the same firm emits carbon into the atmosphere, it doesn’t usually have to pay any money to anyone. In other words, firms are generally able to emit their waste into the atmosphere for free. This of course leads to unhindered pollution of the atmosphere as firms in this case have no financial incentive to curb their carbon emissions. Carbon markets in which the right to pollute is traded for a price can solve the problem by imposing a certain cost on firms for polluting the atmosphere, helping to curb emissions in the process.

Also read: Takeaways from COP29 

The intersection of standardised accounting frameworks and technological advancements has improved the ability of corporations to monitor and report their carbon emissions. While, this is difficult for the vast majority of small businesses in the developing world, particularly in accurately capturing supply chain emissions, ongoing developments, like real-time data tracking of the energy sector, continue to enhance the granularity and reliability of corporate carbon accounting. However, corporations have preferred a voluntary reporting system, like the Carbon Disclosure Project. They have been loathe to government interventions limiting carbon emissions, arguing that such budgeting may lead to output restrictions or rise in costs. They also point to varied production processes, some that might have diverse supply chains that might make it difficult to find the optimal carbon budget for their facilities. Large multinational corporations such as ExxonMobil and General Motors have advocated for carbon markets that allows free trading of carbon credits among firms at a price determined by market forces, that would allow these firms to purchase carbon credits from other firms, which don’t need them as much. This they say, helps allocate carbon credits more efficiently than government diktat.

What can go wrong?

Even when there is a functioning carbon market, a government that is not very keen on reducing emissions may increase the supply of carbon credits and drive down the price of the right to pollute, leading to no noticeable drop in emissions. Others may keep a strict cap on the supply of carbon credits but allow firms to cheat by allowing them to illegally emit carbon. The success of carbon offsets also depends on the degree of personal incentive that firm owners possess to care about carbon emissions, which may often be very little. Critics claim that firms that purchase carbon offsets often do it for the sake of virtue signalling and may have little incentive to ensure that their investments in these instruments are actually helping offset carbon emissions. Meanwhile, other critics have raised more fundamental questions regarding how exactly a government would be able to arrive at the optimum supply of carbon credits. They argue that politicians, who do not incur any personal economic cost when they legislate emission reductions, may restrict the supply of carbon credits more than what is really necessary, leading to slower economic growth.

Only 34% said they were satisfied or very satisfied with their new head of government. File
| Photo Credit: Reuters

France’s new Prime Minister Francois Bayrou, who is still scrambling to name his government before Christmas, faced a fresh challenge Sunday (December 22, 2024): a historically low poll rating.

Even before he has properly started his job, a new poll carried out by Ifop for the French weekly Journal du Dimanche found 66% of respondents were unhappy with his performance.

Also Read: On French President Macron and his politics

Only 34% said they were satisfied or very satisfied with their new head of government.

Going back decades to 1959, Ifop said it had not seen such a low rating for a Prime Minister getting started in the job.

They questioned 2,004 people representative of the French population between December 11 and 18.

Mr. Bayrou is the sixth Prime Minister of President Emmanuel Macron’s mandate, and the fourth of 2024. Each has served for a shorter period than the last one.

Mr. Bayrou’s predecessor Michel Barnier was France’s shortest-serving premier, lasting only three months.

Appointed on December 13, Mr. Bayrou has yet to submit his cabinet choices to Macron.

But he told France 2 television on Friday (December 20, 2024) that he hoped his new team would be finalised over the weekend or “in any case before Christmas”.

Bazel International Ltd, a Non-Banking Financial Company (NBFC), has announced the acquisition of SR Industries Ltd. through the corporate resolution process facilitated by the National Company Law Tribunal (NCLT).

“With this acquisition, Bazel becomes the majority shareholder of SR Industries and takes full ownership of its advanced footwear manufacturing plant in Una, Himachal Pradesh,” the NBFC said in a statement. 

This acquisition was financed through equity sales and contributions from Bazel’s associates, it said.

Post-acquisition, Bazel has restructured the board of SR Industries by appointing new directors and reviewing the shareholding pattern to align with long-term strategic goals.

The company said it would capitalise on the growing demand for stylish, comfortable, and sustainable footwear. 

“Plans include launching a new footwear brand to capture significant market share in the evolving industry landscape,” it said.

Union Minister of State for Finance Pankaj Chaudhary speaks in Lok Sabha.
| Photo Credit: ANI

There is no timeline for introduction of comprehensive regulatory guidelines for the Virtual Digital Assets (VDA) industry, Parliament was informed on Monday (December 16, 2024).

Virtual Digital Assets (VDAs) are by definition borderless and require international collaborations to prevent regulatory arbitrage.

Therefore, any comprehensive regulatory framework on the subject can be effective only with significant international collaborations on evaluation of the risks and benefits and evaluation of common taxonomy and standards, Minister of State for Finance Pankaj Chaudhary said in a written reply in the Lok Sabha.

Further, he said, the need to balance investor protection and innovation must be assessed in light of the broader objective of protecting the Indian economy from the risks posed by the VDA sector while maintaining the financial and monetary stability of the economy.

Moreover, he said, due to the cross-border and digital nature of this sector, investor protection measures can only mitigate certain risks to a limited extent and cannot entirely eliminate them.

The government has undertaken formal and informal consultation with stakeholders including industry and with relevant international organisations from time to time on policy formulation of crypto assets.

“There is, however, no timeline anticipated for introduction of comprehensive regulatory guidelines for VDA industry in India,” he said.

Replying to another question, Mr. Chaudhary said debt-to-Gross State Domestic Product (GSDP) ratio is the highest for Arunachal Pradesh at 50.4%.

It is followed by Punjab at 47.6% and Nagaland 44.3% in debt to GSDP ratio, he said.

In terms of performers, he said, debt-to-GSDP ratio is the lowest for Odisha at 13.9 per cent, followed by Gujarat at 18.2 per cent and Maharashtra at 18.6 per cent at the end of March 2024.

In a separate reply, Chaudhary said, the Reserve Bank of India (RBI) has been working towards linking Unified Payments Interface (UPI) with the Fast Payment Systems (FPSs) of other countries to facilitate cross-border payments.

Such facility has already been made live with Singapore effective February 2023, he said.

This has helped Indian customers to send and receive money directly through UPI, which in turn brings down the average cost of these cross-border remittances from Singapore to India and vice-versa, he said.

Interlinking of UPI with fast payment systems of other countries may aid in strengthening the remittance economy of India.

It provides a 24×7 real-time, transparent, accessible, and cost effective mobile app-based alternative for making remittance payments to India, thereby enhancing the convenience compared to the traditional modes of making remittance payments, he said.

नई द‍िल्‍ली. एडल्‍ट वेबसाइट पोर्नहब ने घोषणा की है कि 1 जनवरी 2025 से यह फ्लोरिडा राज्य में उपलब्ध नहीं रहेगी. इसके साथ ही यह अमेरिका का 13वां राज्य बन जाएगा जहां प्लेटफॉर्म ने सख्त एज वेरिफिकेशन आवश्यकताओं के कारण सेवाएं वापस ले ली हैं.

दरअसल, फ्लोरिडा में HB3 कानून लागू है. इसके अनुसार नाबालिगों के लिए हानिकारक कंटेंट वाली वेबसाइटों को सरकारी पहचान के ज‍र‍िए ऐज वेर‍िफ‍िकेशन करना होगा. लेक‍िन वेबसाइट ने राज्य के आयु सत्यापन कानूनों का पालन नहीं करने का फैसला ल‍िया है और इस तरह वह राज्य में अपने यूजर्स के लिए पोर्नहब के दरवाजे बंद कर रही है. इस प्लेटफॉर्म पर आने वाले फ्लोरिडा के यूजर्स को अब वेबसाइट पर ये ल‍िखा हुआ मिल रहा है क‍ि “आप 14 दिनों में पोर्नहब तक पहुंच खो देंगे.”

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पोर्नहब की मूल कंपनी आयलो का तर्क है कि डिवाइस के स्‍तर पर होने वाला वेर‍िफेकेशन ज्यादा प्रभावी है. कंपनी ने अपने फैसले के पक्ष में कहा क‍ि इंटरनेट को सुरक्षित बनाने, यूजर्स की गोपनीयता को बनाए रखने और बच्चों को एडल्ट कंटेंट तक पहुंचने से रोकने का सबसे अच्छा तरीका यही है क‍ि ड‍िवाइस पर उम्र का वेर‍िफ‍िकेशन हो.

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पोर्नहब की पैरेंट कंपनी आयलो ने कहा क‍ि अन्य राज्यों में भी इसी तरह के कानूनों ने यूजर्स को जोखिम भरे विकल्पों की ओर धकेल दिया है. लुइसियाना में आईडी वेर‍िफ‍िकेशन लागू करने के बाद पोर्नहब के ट्रैफ‍िक में 80 फीसदी गिरावट दर्ज की गई. आयलो ने कहा क‍ि इन लोगों ने पोर्न देखना बंद नहीं किया. वे बस इंटरनेट के अंधेरे कोनों में चले गए, जहां यूजर्स से एज वेरिफिकेशन करने के लिए नहीं कहा जाता, जो कानून का पालन नहीं करते, जो यूजर्स सुरक्षा को गंभीरता से नहीं लेते और जो अक्सर कंटेंट को मॉडरेट भी नहीं करते.

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