Govt reaches consensus on new definition of control: Srcs

The Department of Industrial Policy and Promotion, which has sought comments on the definition of control in the context of FDI deals, is awaiting the views of the Corporate Affairs Ministry on the issue.
  • Language
  • App
  • Subscriptions
  • Specials
  • Sign-In
  • Register
GeStepAhead Travelcafe
moneycontrol.com

Home » News » CNBC-TV18 Comments

Jul 23, 2013, 08.28 AM | Source: CNBC-TV18

Govt reaches consensus on new definition of 'control': Srcs

The Department of Industrial Policy and Promotion, which has sought comments on the definition of control in the context of FDI deals, is awaiting the views of the Corporate Affairs Ministry on the issue.

Like this story, share it with millions of investors on M3

Govt reaches consensus on new definition of control: Srcs

The Department of Industrial Policy and Promotion, which has sought comments on the definition of control in the context of FDI deals, is awaiting the views of the Corporate Affairs Ministry on the issue.

Post Your Comments

Share Cancel

Rituparna Bhuyan (more)

Reporter, CNBC-TV18 |

The inter-ministerial group has reached a consensus on new definition of "control", CNBC-TV18's Rituparna Bhuyan reports.

The Department of Industrial Policy and Promotion, which has sought comments on the definition of control in the context of FDI deals, is awaiting the views of the Corporate Affairs Ministry on the issue.

Currently, ambiguity persists over the definition of "ownership and control," especially with regard to transactions involving foreign direct investment.

The Rs 2,058 crore deal struck by Jet Airways to sell a 24 per cent stake in the airline to Abu Dhabi's Etihad Airways is facing regulatory hurdles, while final approval from the Foreign Investment Promotion Board is on hold, pending more clarity on control and ownership of the Indian carrier.

According to the new proposal, control is defined as "the ability to appoint majority directors and control management/policy decisions" of a company. Control has been also defined by the virtue of shareholding and management rights.

Sources say the Law Ministry and Department of Economic Affairs (DEA)concur with the new definition of control. The Cabinet is likely to take up the new control definition this week.

Ads by Google

Buy, Hold, Sell ? Hear it first on M3
Govt reaches consensus on new definition of control: Srcs

See all

Get started using your favorite social network

or

Login using moneycontrol ID

Username
Password

Need help logging in? Reset password.

Don´t have an account? Sign Up

Get started using your favorite social network

or

Simply sign up using this short form

* mandatory

UserName*

Username should be atleast 4 character

Password*

Password should be 8 or more characters,
atleast 1 number, 1 symbol & 1 upper case letter

Alert

Your Password should contain
  • 8 or more characters
  • At least 1 number
  • At least 1 symbol
  • At least 1 upper case letter
Confirm Password*
Email
Already have an account? Login