News digest: 5/20 aviation rule, GST turns one, Fortis Healthcare, and more

From govt's decision to scrap the 5/20 rule to make it easier for domestic airlines to fly abroad to first anniversary of GST, BS brings you up to date with the latest news

CBI seizes files on easing of 5/20 aviation rule; to probe senior officials

The National Democratic Alliance government’s decision to scrap the 5/20 rule, which made it easier for domestic airlines to fly abroad, is under the scanner of the Central Bureau of Investigation (CBI). The agency has seized files related to the National Civil Aviation Policy and is likely to call senior officials of the civil aviation ministry for questioning. The CBI is investigating allegations of bribery linked to easing policy norms for airlines to fly abroad. Read more

Takeaway on GST Day: June collection inches up to Rs 956 billion

On the first anniversary of the goods and services tax (GST), the government machinery was out in full force to spread cheer about the biggest indirect tax reform in the country. While top representatives of the finance ministry addressed a large gathering at a jam-packed auditorium in the Capital’s Ambedkar International Centre in the morning, other ministers and bureaucrats got busy on the social media about the GST achievements and milestones. Read more

Fortis Healthcare management charts recovery plan amid financial crisis

Even as debt-strapped Fortis Healthcare (FHL) is grappling with financial crisis, challenges to recruiting talent, and finding a suitor to invest in the health care major, the current management team is working to put the hospital and diagnostic major back on the growth path.

Plans are afoot to start a new 250-bed multi-organ transplant centre at Arcot Road in Chennai, apart from expanding SRL Diagnostics’ footprint (target to open 100 new centres over the next 100 days), as well as rope in over half a dozen new specialist doctors to boost revenue. Read more

Milk, Mercedes can’t be taxed at single GST rate, says PM Narendra Modi

Prime Minister (PM) Narendra Modi on Sunday ruled out a single slab for the goods and services tax (GST), stating that milk and the Mercedes could not have the same rate.

The GST regime was rolled out on July 1 last year. The central government on Sunday marked its first anniversary with an event in New Delhi, while Modi took to social media to showcase its advantages. Read more

LIC loses money in 18 out of 21 PSBs in the last two and a half years

Even as the Life Insurance Corporation (LIC) looks at buying up to 51 per cent stake in IDBI Bank, its investment record in public sector banks (PSBs) is disappointing. 

LIC has lost money in 18 out of 21 PSBs in the last two and a half years. At the end of March this year, the government-owned insurance major had equity investments of over 1 per cent in 21 PSBs but only three of them are now trading at a higher stock price than their prices at the end of December 2015. Read more