Indian, EU try to resolve differences over trade pact

India and the EU are making last ditch efforts to resolve differences and conclude negotiations on free trade agreement (FTA), in the runup  to their next month's summit in Brusselss that will be attended by Prime Minister Manmohan Singh.

Commerce and Industry Minister Anand Sharma and EU trade commissioner Karl De Gucht will meet in Brussels (European Union Head Quarters) tomorrow to review the process of negotiations for a broad based pact  to further open up the bilateral trade of USD 75 Billion.

Indian and the 27-nation block have been engaged in negotiations since 2007 for a Bilateral Investment and Trade Agreement (BITA) for opening commerce in merchandise by reducing and eliminating duties. 

Enforcemant Directorate to summon key officials in 2G probe

The Enforcement Directorate is likely to issue summons to some government officials soon, including two who were considered to be close to former Telecom minister A Raja, in the 2G spectrum scam probe. 

According to sources, the ED, which has registered a case under the Prevention of Money Laundering Act (PMLA)

, may summon certain officials including R K Chandolia and A K Srivastava who worked with A Raja.

Chandolia who was personal secretary to Raja at the time of the controversial spectrum allocation in 2008, was sent back to his parent department- Indian Economic Services- within days of new Telecom minister Kapil Sibal taking charge.

The sources said they are likely to be quizzed on the allocation process,the alleged role played by corporate lobbyist Niira Radia and on their income tax returns and investments. The questioning would be based on information collected by various agencies including the CBI , Income Tax Department and the ED itself over the last over one year.

The questions will be about the allocation process, including the controversial first come first serve basis. They said, questions would also be asked about the alleged role played by Radia and her dealing with them if any.

Scandals Weigh Heavy on Markets

A benchmark index of Indian equities markets shed 449 points this week, taking the last three weeks' loss  to 1,868 points as 2G spectrum allocation scam and housing loan bribery scandal dampened sentiments and weighed heavy on the markets.

The 30-share sensitive index ( Sensex ) of the Bombay Stock Exchange (BSE) declined 2.29 percent or 448.83 points to 19,136.61 points in the weekly trade.Indian equity markets have closed deep in the red for the third straight week. The benchmark Sensex shed 1,868 points from its all time closing high of 21,004.96 points reached  on special Diwalitr5ading session Nov 5.

At the National Stock Exchange (NSE), the 50- share S&P CNX Nifty ended at 5,751.95 points, down 2.63 percent in the week's trade.

Nifty declined 560 points its all-time closing high of 6,312.45 points touched on Muhurat trading on Nov 5.

A series of scams weighed heavy on the markets. The country's official audit agency Comptroller and Audit General said early this monththe telecomm minister arbitrarily alloted 2G spectrum licences, resulting in a loss of thousans of crores of rupees to the government exchequer.

The CBI has arrested senior officials from LIC Housing Finance, LIC, Bank of India, Central Bank of India and Punjab National Bank for allegedlyaccepting bribes  to extend loans to realty companies.

Book The Guilty in 2G Scam

Tata Group Chairman Ratan Tata has urged the Indian Govt. to investigateand book the people who are guilty in the 2G spectrum scam. He said in an interview to the NDTV channel that he wished that the Govt. would take a stand, bring an auditor in the thing and had an investigation and would book people who are guilty.

He said that the country has slipped into a series of allegations andthe media furore over the leakage of recorded conversation between Nira and Radia, the owner of a public relations company and prominent corporates and politicians has created a 'smokescreen'.

"We have somewhat slippedinto a series of allegations, unauthorized tapes being flooded , the media going crazy on alleging, convicting, executing. There has been a smokescren behind what is really the so-called scam which really is out of turn allocation of spectrum, hoardeing of spectrumby important players for free and things of this nature", he said.

A CAG report tabled in Parliament November 16 had said the 2G spectrum allotment had cost a notional lost of several crores of rupees to the publec exchequer.

According to sources, Radia has been question by ED officials on several issues including the possible violation of the Prevention of Money LaunderingAct and her firms alleged links with some of the telecom companies that their allocated 2G spectrum in 2008 by former minister a Raja.