Section 79 of the IT Act
Why in news?
- The Supreme Court held that internet intermediaries like Google cannot be protected from criminal defamation cases registered against them prior to October 27, 2009.
Key highlights:
- It was only on October 27, 2009 that Parliament amended the Information Technology Act of 2000 to protect online intermediaries from liability for criminally defamatory content published in them by third parties.
- The amended Section 79 of the 2000 Act provided that “an intermediary shall not be liable for any third party information, data, or communication link made available or hosted by him.”
- The amendment gave almost blanket protection to intermediaries from legal action under Section 499/500 (criminal defamation) of the Indian Penal Code.
NAVARMS-19
Why in news?
The fourth edition of International Seminar cum Exhibition on Naval Weapon Systems ‘NAVARMS-19’ with the theme “Make in India – Fight Category: Opportunities and Imperatives” will be held in New Delhi on 12-13 December 2019.
Major facts
- The event will provide opportunity for exchange of ideas, create awareness and identify emerging prospects for Indian/International defence industry in domain of Naval Weapon Systems.
- NAVARMS is the only international seminar and exhibition on Naval Weapon Systems conducted in the country to invite all the stakeholders in life cycle management of Naval Weapons and provide a common platform to share their views and concerns.
- The past three editions of NAVARMS were organised in 2007, 2010 and 2013.
Compulsory convertible debentures
Why in news?
- The Competition Commission of India (CCI) has approved subscription of compulsorily convertible debentures (CCDs) of Piramal Enterprises by Caisse de dépôt et placement du Québec (CDPQ).
- It has been under Section 31(1) of the Competition Act, 2002.
- Upon conversion, equity shareholding of CDPQ in Piramal Enterprises will increase from 3.68 % to 8.99 %.
Key highlights:
- A debenture is a medium- to long-term debt security issued by companies to borrow money from investors at a fixed interest rate, though physical assets or collateral do not secure them.
- A debenture comes in two forms – non-convertible and convertible. Convertible debentures can be converted into the company’s equity after a predetermined period of time.
- Compulsory Convertible Debenture (CCD) is a type of debenture in which the whole value of the debenture must be converted into equity by a specified time. A CCD can be classified as a hybrid security, meaning it is neither considered pure debt nor pure equity.
- Under FDI guidelines, CCDs are treated as equity for the purposes of reporting to Reserve Bank of India.
- Section 71 of the Companies Act, 2013 states that a company could issue debentures with an option to convert into shares either wholly or partly at the time of redemption.
Interest rate option on govt bonds
Why in news?
- National Stock Exchange (NSE) has launched interest rate options on 10-year Government bonds. Rival bourse BSE launched trading in interest rate options based on government securities in August this year.
Important Facts
- Interest rate options are financial derivative contracts whose values are based on an underlying interest rate. Market participants can use options to trade and hedge interest rate risk on a transparent platform.
- These interest rate options by NSE are based on 10-year government bonds maturing in 2029 with coupon rate of 7.26 per cent and 6.45 per cent. Presently, interest rate futures are available on seven government bonds for residual maturity ranging from 4 years to 15 years.
- The move is aimed at providing an efficient tool for managing interest rate risk and exposure through hedging. Interest rate options will provide institutional investors the ability to manage risk through a non-linear product which is otherwise not available to them.
Inner Line Permit
Why in news?
- Union Home Minister Amit Shah told the Lok Sabha that Manipur would be brought under the Inner Line Permit (ILP) system, thereby exempting it from the provisions of the Citizenship (Amendment) Bill, 2019.
Key highlights of the bill:
- As per the Bill, the amendments to the Citizenship Act, 1955, will not apply to the tribal areas of Assam, Meghalaya, Mizoram and Tripura as included in the Sixth Schedule of the Constitution and the States of Arunachal Pradesh, Mizoram and Nagaland that are protected by the ILP system.
- The addition of Manipur to the list of ILP-protected States means that the Bill will only be applicable in some parts of Tripura and Assam.
- Citizens of other States require the ILP to visit the protected areas as per the Bengal Eastern Frontier Regulation, 1873. ‘Outsiders’ can visit ‘ILP’ areas for limited period with special permission but are barred from buying immovable property.
- This means that the illegal migrants from the six minority communities who will become Indian citizens as per the proposed amendment will not be able to take up jobs, open businesses or settle down in these areas and will require a permit to enter the States.
Gandhi Encyclopedia
Why in news?
- The Government is developing ‘Gandhi Encyclopedia’ to spread awareness in the society.
- Ministry of Culture has approved a project for development of Gandhi Paedia by National Council of Science Museums for promotion of appropriate Gandhian philosophy and thoughts through social media platforms.
- It has been under 150th birth anniversary of Mahatma Gandhi commemoration with financial assistance of Rs. 5.25 cr and released an amount of Rs. 2.95 cr against first installment.