Page 1_Layout 1 9/17/2010 1:11 AM Page 1
O HeRALD O Visit us at: www.oheraldo.in
Goa’s Heartbeat: Pattinson and Watson could reunite Pg 14
The Voice of Goa — Since 1900 panjim, FRiday, septembeR 17, 2010
Business: Soros warns on Pg 13 gold rally
pRiCe Rs. 3.00 (air surcharge Rs. 2.00) pages 18
Sports: Flintoff says bye-bye Pg 18 to cricket
Rahul backs Omar, NC Mumbai-Goa cruise rules out his quitting trips from Oct 24 All-party team to visit Kashmir on Monday PTi NEW DELHI/KOLKATA, SEPT 16
Poverty is the parent of revolution and crime. — Aristotle
IN BRIEF Firearms seized In a major arms haul, police seized 21 new country-made pistols and 15 live cartridges brought to the city from north India and arrested two persons. Acting on a tip-off, a trap was laid in suburban Borivali, Mumbai where Manish Tyagi and Nagesh Tyagi, hailing from UP and Uttarakhand respectively, were caught with the weapons, police said. (PTI)
HC moved on handing over mining activity PTi BANGALORE, SEPT 16
The Karnataka High Court today ordered issue of notice to the Centre, State government and mining companies on a public interest litigation (PIL) seeking handing over of mining operations to government-owned undertakings. The petition submitted that mineral wealth belongs to the entire nation and it was the bounden duty of the government to protect the natural resources. The private mining companies had been exploiting natural resources, petitioner Arun Agarwal submitted before a bench comprising Chief Justice J S Khehar and Justice Abdul Nazir which, ordered issue of notices. Meanwhile, continuing his arguments on a batch of writ petitions filed by 22 mine owners challenging the State’s order banning export of iron ore and suspension of issue of transport permits, Advocate General Ashok Haranahally submitted the State had powers to ban exports under the Mines and Minerals Regulation (Development) Act.
National Conference today ruled out resignation by beleaguered Jammu and Kashmir Chief Minister Omar Abdullah as he got backing from Congress leader Rahul Gandhi who said he was doing a “tough job” and needed time and support.” On a day of hectic consultations, the situation in the State came up for discussion at the Congress core group meeting here ahead of which NC chief Farooq Abdullah met Sonia Gandhi and Prime Minister Manmohan Singh. The senior Abdullah’s meetings with Gandhi and Singh came against the backdrop of reports that the People’s Democratic Party was making efforts to revive its ties with Congress with which it had run a government in the State for fiveand-a-half years till August 2008. “Omar Abdullah has no intention of stepping down nor is there any such move being made,” the NC chief told reporters. He accused the media of speculating such things, saying it plays “tricks” so that “one fellow should go down and the second fellow should come up”. His statement came hours after Rahul Gandhi, who shares good equation with Omar, came out in support of the chief minister. “The government has supported Omar Abdullah. National
Conference is the party in power. He is a youngster. Kashmir is a difficult place. Omar is doing a tough job and he should be given time and support,” Gandhi told a press conference in Kolkata when asked whether Omar had failed. “I think we have to give him support. Kashmir is a sensitive job. We have to give him time
GANDHI SUPPORT He is a youngster. Kashmir is a difficult place. Omar is doing a tough job and he should be given time and support. I think we have to give him support. Kashmir is a sensitive job. We have to give him time and support. and support,” Gandhi said when a reporter said questions have been raised over “governancedeficit” in the State. The NC welcomed Rahul’s statement, saying the Congress general secretary has “great acumen to comprehend each and every situation. He has very clearly pointed out that the Chief Minister is handling a difficult situation and that he has the entire support and time to handle” the affairs. The core group meeting, chaired by Sonia Gandhi, took stock of the latest situation in the state and the upcoming visit by an all-party delegation to the
Govt appeals for peace after Ayodhya verdict PTi NEW DELHI, SEPT 16
Wary of strong reactions to the Allahabad High Court judgement on the Ayodhya dispute on September 24, the government today appealed for peace and tranquility, saying no attempt should be made by any section of people to provoke or hurt the sentiments of others. With eight days to go for the verdict, the Union Cabinet chaired by Prime Minister Manmohan Singh met here and passed a resolution, appealing for peace after the judgement is pronounced. “It goes without saying that the judgement needs to be treated with the utmost respect,” said the resolution passed by the cabinet and read out by Information and Broadcasting Minister Ambika Soni to the media. “At the same time, we must remember the fact that the judgement, at this stage, is one step in the judicial process. The determination of the issues need not necessarily end with this judgement unless it is accepted by all parties,” it said. The government said “In case any of the parties feel that
further judicial consideration is required, there are legal remedies available which could be resorted to.” Keeping this in mind, the government said it is necessary for all sections of the people of India to maintain equanimity and tranquility in the aftermath of the judgement.” The resolution was passed against the backdrop of worries in the government that there could be a communal flare-up in the event of the High Court verdict on Ram JanambhoomiBabri Masjid title suit going either way. “There should be no attempt whatsoever made by any section of the people to provoke any other section or to indulge in any expression of emotion that would
state on Monday. It deliberated on the Congress representatives to be part of the delegation. Delegation visit: The allparty delegation will visit Jammu and Kashmir on Monday to assess the ground situation in the State which has been witnessing unrest for the last three months.
hurt the feelings of other people,” the cabinet resolution said. The appeal came a day before the special bench of the High Court meets to make a last ditch effort to find an amicable solution to the Ayodhya case. Top leaders of Rashtriya Swayamsevak Sangh and Vishwa Hindu Parishad today held a marathon meeting in Delhi to discuss the issue and decided not to adopt a hardline posture if the decision goes against construction of a temple at the disputed site. They favoured an amicable solution. VHP president Ashok Singhal and general secretary Pravin Togadia reached the RSS office here this morning and held discussions with RSS chief Mohan Bhagwat.
Sources said the delegation will be in the State for three days during which it will meet leaders of political parties and various other sections of the society. The members of the delegation, expected to be headed by Parliamentary Affairs Minister Pawan Kumar Bansal, will gather various shades of opinion on the current situation in the state and ways to deal with it. The decision to send the delegation was taken at the allparty meeting convened by Prime Minister Manmohan Singh here yesterday on the situation in the State.
Central govt staff get 10% DA hike PTi NEW DELHI, SEPT 16
About 88 lakh Central government employees and pensioners today received a bonanza with 10 percentage point increase in their dearness allowance (DA), ahead of the festive season. The Union cabinet approved the hike in DA from 35 per cent to 45 per cent of the basic salary of the Central government employees. Although the exchequer will have to bear an additional annual burden of Rs 9,303.2 crore, the employees’ union is not happy about the quantum of increase. The new DA will be paid with retrospective effect from July 1, 2010, and the burden during the current fiscal has been estimated at Rs 6,202.1 crore, an official spokesperson said after a meeting of the cabinet. The pay hike, ranging from Rs 584 and Rs 8000 per month, would provide relief to the employees and pensioners from the price rise. The minimum basic salary among the employees is Rs 5840 and the maximum Rs 80,000 per month. The inflation, according to the consumer price index (CPI) for industrial workers (the basis for DA calculation), was 11.25 per cent for July.
HeRALD RePORTeR VASCO, SEPT 16
With an aim to boost tourism in the State, cruise vessels from Mumbai will make regular visits to the State at the Mormugao Port Trust (MPT), commencing from October 24. “With the initiative of MPT, cruise vessels will make regular trips between Mumbai and Goa, twice a week from October 24. This will certainly boost tourism and other ancillary businesses depending on tourism in the State,” MPT Chairman Praveen Agarwal told Herald. He said MPT has taken up construction of cruise berths at the port, despite the fact that viability of projects is not
Home, auto and corporate loans are likely to become expensive, with the Reserve Bank of India (RBI ) today raising key shortterm lending and borrowing rates by 0.25 and 0.50 percentage points, respectively, to combat inflation. In its maiden mid-quarterly monetary policy review, the central bank upped repo, under which it lends short-term funds to banks, to six per cent and reverse repo, the short-term borrowing mechanism, to 5 per cent. The hike in the policy rates, the fifth this year, to cool inflation that is hovering at 8.5 per cent may lead to an increase in commercial lending and deposit rates. “In early October, interest rates could be revised and chances are there it could be revised upwards,” state-run
Bank of Baroda’s Executive Director R K Bakshi said. Bankers said they will hold on to the rates till September 30, which is the half yearly closing of the banks. High interest rates could temper demand for loans and thus curtail consumption, while on the other hand fixed deposits could earn better returns. The government expects inflation to cool to six per cent by December. “Rate of interest may have to go up. Pressure is there to increase rates in the near term,” Bank of Maharashtra CMD Allen Pereira said. Short-term funds would get little costlier and there is a possibility that the short-term (deposit) rates could also go up in the future, bankers said. Central Bank of India CMD S Sridhar said, “Bankers will adopt a calibrated approach. The ex-
amination of interest rates is on cards as cost of funds for banks is increasing.” However, a few bankers ruled out increase from October 1 as they will wait for further policy action of RBI.
“EMIs are not going to go up from October 1. The quarter percentage increase in policy rates were expected. Further rate hikes by bank will depend on the next policy review,” HDFC Chief Executive Keki Mistry said. He said a further increase in rate in the second quarter re-
favourable for MPT to invest in the projects. “Since the biggest beneficiary
of the project is State tourism, the project must go on,” said Agarwal. “Besides a cruise berth, Goa will have its first proper marinas in the country three years from now,” added Agarwal. He informed that the port has proposed to construct two marinas on the northern and southern banks of the Zuari river. “This is beneficial to the local economy to promote tourism and the work has been awarded and in another three years, Goa will have its first marinas. “These projects have been initiated, taking into consideration Goa tourism and they would immensely benefit the people,”, he added.
Nine inmates flee protective home, later traced by cops HeRALD RePORTeR PANJIM, SEPT 16
Protesting their prolonged lodging at the Protective Home in Merces, nine women rescued from a prostitution racket managed to flee from the home but were later traced with the help of Old Goa police. The authorities, however, have tried to keep the incident under wraps as it exposed their lethargy of keeping the women for over three months against the legal provision to release them within 15 days. Eyewitnesses disclosed that the women began protesting
against their illegal detention in the home, this morning. They had assembled behind the main gate and started screaming for help calling out to people passing by. As the protest grew intense, few of them managed to jump the fence and ran astray on the road. The managers of the protective home summoned police when situation went out of control. Old Goa police Inspector Francis Corte said that the police managed to track all of them immediately and handed them over back to the home. “Our
18 KTC ‘badli’ drivers to be regularised HeRALD RePORTeR PANJIM, SEPT 16
Transport Minister Sudin Dhavalikar on Thursday assured the Kadamba Drivers and Allied Workers’ Union to regularise the posts of 18 ‘badli’ drivers, presently employed on daily wages with the Kadamba Transport Corporation Limited. Union leader Puti Gaonkar, who along with other committee members met Dhavalikar, said the minister had assured to first regularise the services of these 18 drivers and to look into the remaining lot. “Around 67 of these drivers have completed more than five years. There are about 87 of them,” he mentioned. Gaonkar said that the minister told them that by December he would examine ways of absorbing the drivers into regular service. “However, he has not given any assurances because the financial implications too have to be worked out. He has promised to take up the issue with the chief minister,” he stated. Last year, the Kadamba management had signed an ‘understanding’ before the labour commissioner stating those drivers who have completed more than five years would be regu-
Home, auto loans likely to get dearer PTi NEW DELHI, SEPT 16
With the initiative of MPT, cruise vessels will make regular trips between Mumbai and Goa, twice a week from October 24. This will certainly boost tourism and other ancillary businesses depending on tourism in the State. -- MPT Chairman Praveen Agarwal
view in November could lead to higher rates. Following an identical hike in repo and reverse repo rates in July, 40 banks raised deposit rates and 29 lending rates. The RBI too wants deposit rates to go up as there is a need to make the real interest rates, the difference between inflation and deposit rate, positive. “...real interest rates need to move in the direction of encouraging bank deposits”, the central bank said. Federation of Indian Chambers of Commerce and Industry also expressed the fear that rising interest rates would hit business. “Increasing repo rate is another signal of rising the cost of borrowing...hopefully it is the last such... restrictive action towards growth. We hope to see this restrictive policy eased in the next round”, said FICCI Secretary General Amit Mitra.
larised, he recalled. Today’s meeting that lasted about 40 minutes was also attended by Labour Commissioner Fatima Rodrigues and Transport Director Arun Desai. The All India Trade Union Congress which had taken up the matter said regularisation of the 18 drivers was long pending before the labour commissioner’s office. General Secretary AITUC Christopher Fonseca said the union wasn’t happy and the minister should have regularised all the drivers without further ado. “Under the ‘badli’ system, which is very exploitative, these drivers do the same job as that of their permanent counterparts. There is no equal pay for equal work for these drivers who earn a measly 200 and odd rupees per day,” he remarked.
role was to trace these victims and hand them over to respective authorities,” he said when questioned whether an offence was registered against the fleeing eves. The girls, who are victims of prostitution, were rescued by the police from various locations in North Goa. Sources further said that victims are rehabilitated or released within a period of fortnight from the day they are remanded to the protective home. Surprisingly even after this hoopla, Director of Women and (Continued on page 11)
‘18 former CJIs corrupt’ Agencies NEW DELHI, SEPT 16
Former Law Minister Shanti Bhushan has submitted a list of 16 former chief justices of India saying that eight of them were definitely corrupt. Bhushan has also dared the apex court to send him to jail for contempt of court. Bhusan, who was law minister in the Morarji Desai government, claimed six of the CJIs were honest and he could not comment on the remaining two judges. He submitted the name of 8 “corrupt judges” to the SC. Bhushan had written an article in ‘Tehelka’ about the corrupt judges in Supreme Court after which the SC started a contempt proceeding against him.
Can you show me your ID? I’m suspecting you to be a media person.
Census: One in seven Americans are poor Agencies WASHINGTON, SEPT 16
The ranks of the working-age poor climbed to the highest level since the 1960s as the recession threw millions of people out of work last year, leaving one in seven Americans in poverty. The overall poverty rate climbed to 14.3 percent, or 43.6 million people, the Census Bureau said Thursday in its annual report on the economic wellbeing of United States households. The report covers 2009, President Barack Obama’s first year in office. The poverty rate climbed from 13.2 percent, or 39.8 million people, in 2008. The share of Americans without health coverage rose from 15.4 percent to 16.7 percent — or 50.7 million people — mostly because of the loss of employer-
provided health insurance during the recession. Congress passed a health overhaul this year to address rising numbers of the uninsured, but the main provisions will not take effect until 2014. The new figures come at a politically sensitive time, just weeks before the November 2 congressional elections, when voters restive about high unemployment and the slow pace of economic improvement will decide whether to keep Democrats in power or turn to Republicans. The 14.3 percent poverty rate, which covers all ages, was the highest since 1994. Still, it was lower than estimates of many demographers who were bracing for a record gain based on last year’s skyrocketing unemployment. Many had predicted a range of 14.7 to 15 per cent.