Date : 23/11/2019
Multi Vehicle Option for e-Way bill
The new option has been introduced wherein the consignment of one e-way bill has to be moved in multiple vehicles, after moving to transshipment place. For example, an e-way bill is generated and needs to be moved from A to C. Here, the consignment moves from A to B via Rail or bigger vehicle. Now, it is not possible to move the consignment from B to C in the same mode of transportation due to unavailability of that mode or may be due to hilly region where big vehicles cannot be used. In such cases, the consignment needs to be moved in multiple smaller vehicles.
1. First generate the e-way bill with source and destination as per the document/invoice.
2. Carry out the first leg of movement of the consignment up to the transshipment.
3. Choose the ‘Change to Multi-vehicle’ option and update the e-way bill for multi-vehicle movement. Here, the total quantity of the consignment and movement from and to place for the multiple vehicles requirement has to be entered
4. Now, when the consignment has been loaded to the smaller vehicle, update the ‘PartB’ of the e-way bill with the vehicle number, along with the quantity loaded, and move the consignment.
5. Step No 4 may be repeated till total quantity is loaded and moved. The system will not allow the quantity to be shipped in multiple vehicles more than what has been declared while marking the e-way bill for mulit-vehicle. Detailed Explanation: Select the ‘Change to Multi Vehicle’ option from the menu and enter e-way bill number to be changed to multiple vehicles for further movement and the system shows the details for e-way bill.
Sebi bans Karvy Stock Broking for Rs 2,000 crore client defaults
Sebi said the unauthorised use of clients' funds creates a serious doubt over the conduct and integrity of KSBL.
After a major scandal hit the stock markets with the brazen modus operandi of misusing clients' funds, the Securities and Exchange Board of India (Sebi) has banned Karvy Stock Broking (KSBL) from taking new clients and executing trades. IANS had first reported the payment defaults occurring in Karvy Stock Broking and its clients filing complaints with the Prime Minister's Office (PMO), the Finance Ministry and Sebi. Sebi said the unauthorised use of clients' funds creates a serious doubt over the conduct and integrity of KSB This is one of the biggest cases of broker defaults in the equity segment and despite numerous regulations, the fact remains that clients' money and securities were brazenly misused for its own purposes by Karvy Stock Broking. The defaults are to the tune of Rs 2,000 crore and in an ex-parte order, Sebi has directed that pending forensic audit, KSBL is prohibited from taking new clients with respect to its stock broking activities.
The depositories, i.e. NSDL and CDSL, in order to prevent further misuse of clients' securities by KSBL, are hereby directed not to act upon any instruction given by KSBL in pursuance of power of attorney given to KSBL by its clients with immediate effect, Sebi said.
The depositories shall monitor the movement of securities into and from the DP account of clients of KSBL as DP to ensure that clients' operations are not affected. "Therefore, there is need for urgent regulatory intervention to prevent further misuse of clients' securities," said Ananta Barua, wholetime member, Sebi, in the order. Detecting the fraud, the order noted that the securities lying in the aforesaid DP account actually belong to the clients who are the legitimate owners of the securities. Therefore, KSBL did not have any legal right to create any kind of pledge on these securities, the order said. Even if clients' securities were pledged, it should have only been for meeting the obligation of the respective clients which was not observed in this case. "Considering the issue of misuse of clients' securities by KSBL in an unauthorised manner, for its own use and purposely not disclosing the DP account no. 11458979, named KARVY STOCK BROKING LTD (BSE) to the Exchanges in their reporting create a serious doubt on the conduct and integrity of KSBL," Sebi said in the strongly worded order.
The NSE on Friday forwarded a preliminary report to Sebi on the non-compliances observed with respect to the pledging/misuse of client securities by KSBL. NSE has also stated that a detailed report in the matter will be submitted shortly. KSBL has sold excess securities (securities not available in DP account) to the tune of Rs 485 crore through nine related clients till May 31, 2019. Further, KSBL has also transferred excess securities to six out of these nine related clients to the tune of Rs 162 crore till May 31, 2019. On subsequent verification, it was observed that securities worth Rs 257.08 crore, pledged on behalf of four clients out of the aforesaid nine clients, were unpledged between June 1, 2019 and August 22, 2019 and securities worth of Rs 217.85 crore was recovered by KSBL from four out of the nine client accounts. KSBL has also purchased securities in five out of the nine client accounts amounting to Rs 228.07 crore during the period from June 1, 2019 to September 8, 2019. KSBL had undertaken the recovery/purchase of securities to recoup the securities shortfall.
Prima facie, a net amount of Rs 1,096 crore has been transferred by KSBL to its group company, i.e. Karvy Realty Private Limited, between from April 1, 2016 and October 19, 2019. Further, KSBL has sold excess securities (securities not available in DP account) to the tune of Rs 485 crore through nine related clients till May 31, 2019. Further, Karvy had also transferred excess securities to six out of these nine related clients to the tune of Rs 162 crore till May 31, 2019. On subsequent verification, it was observed that securities worth Rs 257.08 crore pledged on behalf of four clients out of the aforesaid nine clients were unpledged between June 1, 2019 and August 22, 2019 and securities worth of Rs 217.85 crore was recovered by KSBL from four out of the nine client accounts. KSBL has also purchased securities in five out of the nine client accounts amounting to Rs 228.07 crore between June 1, 2019 and September 8, 2019.
RBI sets up three-member advisory committee to assist DHFL administrator
The committee would comprise of Rajiv Lall, non-executive chairman, IDFC First Bank Ltd, N S Kannan, managing director and CEO, ICICI Prudential Life Insurance Co. Ltd, and NS Vekatesh, CEO Amfi The Reserve Bank of India (RBI) on Friday constituted a three-member advisory committee to assist DHFL's administrator in discharge of his duties. The three-member advisory committee would comprise of Rajiv Lall, non-executive chairman, IDFC First Bank Ltd, N S Kannan, managing director and CEO, ICICI Prudential Life Insurance Co. Ltd, and NS Venkatesh, chief executive, Association of Mutual Funds in India. The appointment is in line with Insolvency and Bankruptcy Code rules that provide for the concerned financial sector regulator appointing a committee of advisors to advise the administrator in the operations of the financial service provider during the insolvency resolution process.
The RBI on Wednesday had appointed R Subramaniakumar, former managing director and chief executive of Indian Overseas Bank, as the administrator of DHFL, to run the affairs of the entity which was once controlled by the Wadhawan family. Banking sources said the size of DHFL’s debt on book is large (about Rs 94,000 crore) and its administrator will need assistance in creating a resolution plan. The administrator will also finalise the timetable for financial performance review. Lenders are already working at a new plan for resolution after the IBC proceedings against DHFL are admitted in the NCLT. Under this, banks might convert a part of their loans to equity. Lenders also plan to get private equity investors for fresh capital.