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O HERALD O The Voice of Goa — Since 1900 panjim, tuesday, august 17, 2010
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India: Kangana may star in Hindi remake of Marathi film Pg9
Business: Inflation down to single-digit at 9.97% Pg 13
Cabinet split puts off MPs pay hike PTI NEW DELHI, AUG 16
The strongest principle of growth lies in human choice. —George Eliot.
IN BRIEF SBI, ICICI up loan rates Top lenders SBI and ICICI today hiked their lending rates by 50 basis points, which will make existing home, auto and commercial loans expensive. The decision by the country two largest lenders comes on top of an increase in the cost of funds on account of the RBI’s strong inflation control measures. (Details on Pg 12)
BlackBerry allows security agencies access PTI NEW DELHI, AUG 16
The BlackBerry mobile phone maker Research In Motion (RIM) has agreed to provide security agencies partial access to its messenger services by September 1 and would complete the project by the end of the year. The move by the RIM comes barely within five days after the government conveyed in no uncertain terms to RIM asking them to come up with a technical solution to the issue of interception of its services by August 31 or shut down its shop. However, the Canada-based firm said some more discussions were required for giving access to BlackBerry Enterprise Services (BES), official sources said. Sources said the RIM, which has a subscriber base of nearly one million in India, made this offer to the government in order to end the logjam by agreeing to blink on the issue of providing access to its special services. Initially, the BlackBerry had agreed to provide manual details to law enforcement agencies and the same would be made available by the year-end, the sources said.
Members of Parliament (MPs) will have to wait for a hike in their salaries and allowances as a decision on a proposed threefold increase was deferred today by the Union Cabinet because of differences among its members. Against the backdrop of strong demands by the MPs, the issue was discussed at the cabinet meeting chaired by Prime Minister Manmohan Singh. Due to this deferment, the bill in this regard is unlikely to be tabled in parliament during the current session. The issue is expected to resonate in parliament tomorrow with the proponents of pay hike across parties threatening to raise it strongly. At the cabinet meeting, Home Minister P Chidambaram, Information and Broadcasting Minister Ambika Soni and Overseas Minister Vayalar Ravi opposed the move, on the ground that it would be improper to raise the salaries and allowances of the MPs at the moment as inflation is already high and people are facing difficulties, sources said. Ravi was the most vocal opponent of the move and Chidambaram and Soni supported him. The dissenting ministers also referred to the farmers’ suicide and allegations of corruption in Commonwealth Games while
P Chidambaram, Ambika Soni and Vayalar Ravi opposed the move, on the ground that it would be improper to raise the salaries and allowances of the MPs at the moment as inflation is already high and people are facing difficulties. making the point that hiking the salaries of MPs in these circumstances would be seen in a bad light, sources said. However, Finance Minister Pranab Mukherjee, whose ministry has cleared the proposal, supported the pay hike. As leader of the Lok Sabha, he favoured the increase in salaries to reflect the sentiments of its members, the sources said. Parliamentary Affairs Minister Pawan Kumar Bansal, who has mooted the proposal, also spoke in support of the hike. Others who supported the move were Human Resources Development Minister Kapil
Karnad threatens to quit jubilee council HERALD REPORTER PANJIM, AUG 16
Barely a day after the Chief Minister Digambar Kamat announced setting up of Golden Jubilee Development Council, a member of the council has threatened to withdraw from it for attacks on an artist by a Hindu group. Actor Girish Karnad, who was named as one of the members of the council – which is to be headed by renowned scientist Dr Raghunath Mashelkar— has expressed shock over the attack on Jose Pereira’s exhibition recently. “Let me say how deeply shocked I am to hear of the attacks by self-styled standard-
bearers of Hindu culture on the works of Jose Pereira, a scholar and artist of eminence,” Karnad said in a letter to Chief Minister Digambar Kamat. The Hindu Janjagruti Samiti protested against an exhibition at the Xavier Centre of Historical Research (XCHR) which has on
display some epiphanies of Hindu gods by Jose Pereira. The groups have continued a sustained campaign branding the paintings “obscene and nude pictures” of Hindu gods. Following the protests the paintings were withdrawn. “I am horrified that private vigilante groups should be permitted to take the law into their hands while the State stands mute and the police express inability to protect the exhibition of his work,” he continued. “I would like to withdraw my name from the high level committee which you were kind enough to invite me to serve on since this is not the culture (Continued on page 10)
Sibal and Commerce Minister Anand Sharma. Sibal said the situation warranted a hike in salaries of MPs considering increase in prices of everything. MPs currently get Rs 16,000 per month as salary and there have been demands for raising it to over Rs 80,000, the wages a secretary to the government gets. This much hike was disfavoured and the Parliamentary Affairs Ministry suggested an increase to Rs 50,000. Besides the base salary, an MP gets a daily allowance of Rs 1000 for each day when Parliament is in session or a sitting of a house committee is scheduled. A member is also allowed for a constituency allowance of Rs 20,000 per month and office expense allowance of another Rs 20,000 each month. These apart, he is also entitled to a certain number of air journeys, AC first class train travel, rent free flat or hostel accommodation through out the term of his house. The recommendation to increase MPs’ salary was made taking into account consumer price index and the wage index for skilled urban labour. A Parliamentary Standing Committee headed by Congress MP from Chhattishgarh Charandas Mahant had made a recommendation to fix MPs salary at Rs 80,001, Re one more than that of a secretary.
CWC debates situation in Kashmir PTI NEW DELHI, AUG 16
As alliance partner Omar Abdullah battles unrest in Kashmir, the Congress Working Committee today discussed the “worrisome” situation in the valley. With Home Minister P Chidambaram briefing it on the situation, the CWC called for a “balanced” approach of dialogue and action and expressed concern over the recent spate of violence in the Kashmir Valley. The concern of the Congress leadership over the situation could be gauged from the fact that Chidambaram was specially called to the meeting despite not being a CWC member. Chidambaram is understood to have told the meeting that the situation in the Valley is “worrisome”.
Vedanta in oil business with Cairn PTI NEW DELHI, AUG 16
London-listed mining group Vedanta Resources today entered the oil business by clinching a United States dollars 9.6 billion deal for a 60 per cent stake in Cairn India, the owner of India’s largest oilfield. Vedanta Resources and its group firm Sesa Goa will acquire 40 per cent stake from Edinburgh-based Cairn Energy PLC for USD 6.65 billion and make an open for to acquire another 20 per cent from Cairn India’s other stockholders, Vedanta Resources Chairman Anil Agarwal
told Press Trust of India (PTI) over phone. Cairn Energy, the parent firm of Cairn India, will make up for any shortfall in the open offer, he said. “This deal will give us the world-class Rajasthan oilfields.” Vedanta will pay Cairn Energy Rs 405 per share, a 32 per cent premium to Cairn India’s average closing price, over 90 days. This includes a Rs 50 per share non-compete premium to Cairn Energy PLC for not entering into oil and gas business in India, Pakistan, Bhutan and Sri Lanka. The open offer will, however,
be made at Rs 355 (offer price minus the non-compete fee). The process will take about three months to complete, Cairn Energy Finance Director Jann Brown said. The acquisition will give Vedanta access to the Mangala oilfield, which is currently producing 125,000 barrels per day but has potential to go up to 150,000 bpd (7.5 million tons a year). The Rajasthan block, where Cairn India has 70 per cent interest, has the potential to go up to 240,000 bpd or equivalent to the 12 million tons per annum output from Oil and Natural Gas
Corporation (ONGC) prime Mumbai High fields. Vedanta’s deal will be contingent on government approval, as Cairn’s three producing oil and gas assets, including the Rajasthan fields and seven exploration blocks, either have explicit provisions for seeking prior approval before transfer of interest or gives pre-emption, or the right of first refusal (ROFR), to partners like ONGC. “Whatever approvals are required, we will take it. We are a law abiding company and will do what is required in the law,” Agarwal said.
Scientists create red blood cells PTI LONDON, AUG 16
British scientists have created human red blood cells from spare embryonic stem cells, a major breakthrough they claim could soon pave the way for production of synthetic ‘O-negative’ blood for medical transfusions. The red blood cells have been produced from stem cells from spare IVF embryos as part of a three-billion-pound project to develop an alternative source of O-negative blood, the universal donor group which can be transfused into people without fear of rejection, The Inde-
The scientists used more than a 100 spare embryos left over from treatment at fertility clinics to establish several embryonic stem cell “lines”. A line, RC7, was transformed into blood stem cells before being converted into red cells containing oxygen-carrying haemoglobin. pendent reported. In their research, the scientists used more than a 100 spare embryos left over from treatment at fertility clinics to establish several embryonic stem cell “lines”. A line, RC-7, was trans-
formed into blood stem cells before being converted into red cells containing oxygen-carrying haemoglobin. Prof Marc Turner, the Director of the Scottish National Blood Transfusion Service in Edinburgh
and leader of the project, said that synthetic blood made on an industrial scale would overcome the problem of blood shortages and risk of transmitting new infections between donors and recipients. “We’ve proved the principle that from these embryonic stem cell lines we can generate red blood cells.” “At the end of this three-year period we would envisage generating up to one unit (a pint) of red cells from embryonic stem cells at clinical grade which fulfil all the in vitro characteristics of red cells,” Prof Turner was quoted as saying.
pRiCe Rs. 3.00 (air surcharge Rs. 1.50) pages 18
Sports: Lankans leave Viru stranded at 99 Pg 18
Jet with 131 breaks into 3 pieces
No setback area puts a spoke on road widening BY SURAJ NANDREKAR PANJIM, AUG 16
Intending to put things in place and actually doing it are two different things all together. As per the recent announcement made by Chief Minister Digambar Kamat in the legislative assembly, the State Revenue Department has issued circular to the all sub–divisional magistrates, collectors and principal chief engineer (PCE) Public Works Department (PWD) to strictly monitor the encroachments along national highways – NH17 and NH4A, and other roads. H o w e v e r, o n e w o n d e r whether the government is actually serious in tackling the issue of growing number of structures along national highways and other roads as it has failed to mention in the circular the setback area to be maintained on either side of the roads. The department circular states, “It has been desired by the government that all the SDMs are required to see that no new structures should come up within the road widening area of national highways(NHs) a n d m a j o r d i s t r i c t ro a d s (MDRs).” “The SDMs are directed to ensure that they should keep vigil to see that no new structures crop within the area of the road widening of NHs and MDRs,” the circular states without mentioning the area of road widening. Further, the circular directs all the SDMs to submit monthly reports in this regard to the secretaries of chief minister and
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Government issues circular asking all the SDMs to monitor constructions along NHs, MDRs, SHs, VRs. Fails to mention the fixed setback area to be followed. Officials say the implementation could put govt into legal tangle. PWD has moved file for fixing setback area 2 years ago but government is dilly dallying on approving it.
the chief secretary by the 10th of every month. Similarly, the circular has directed the PCE to give suitable instructions to all SDMs under his control to see that no new structures crop up. However, the top officials in the PWD have raised apprehensions on the circular. “This circular will create more problems than solve them,” said one official adding “It will create more legal problems. How can we stop construction unless there is anything concrete in writing or a decision on setback area.” The officials stated that the government has made no mention of the right of way (ROW) or the setback to be followed in the circular. (Continued on page 10)
AP BOGOTA (Colombia), AUG 16
A Boeing 737 jetliner with 131 passengers aboard crashed on landing and broke into three pieces at a Colombian island in the Caribbean early today. The region’s governor said it was a miracle that only one person died. Colombian Air Force Col David Barrero said officials were investigating reports the plane had been hit by lightning before crashing at 1:49 a m (1219 IST) while landing at San Andres Island, a resort island of 78,000 people about 190 kilometres east of the Nicaraguan coast. San Andres Governor Pedro Gallardo said 125 passengers and six crew members had been aboard, but the only person killed was Amar Fernandez de Barreto (65). At least five people were reported injured. “It was a miracle and we have to give thanks to God,” the governor said. Barrero, commander of the Caribbean Air Group, said by telephone from San Andres “The skill of the pilot kept the plane from colliding with the airport.” Barrero said the 7,545-foot (2,300-metre) runway had been closed because parts of the plane were still scattered across it. The Aires jet had left the Colombian capital of Bogota at about midnight.
The way we are managing our government, we would have successfully organized Commonwealth games.