Top 10 business headlines: Centre's tax revenue, NBFC crisis, and more

From Centre's tax revenue to NBFC crisis, Business Standard brings you top 10 business stories that made news on Thursday

Rs 7 trillion of corporate papers downgraded since start of IL&FS fiasco

Mutual funds (MFs) and other lenders with an exposure to debt papers are feeling the heat as nearly Rs 7.5 trillion worth of corporate papers have been downgraded between September 2018 — when a series of defaults by IL&FS group companies began — and March 2019, according to data collated from the Securities and Exchange Board of India (Sebi). Read on...

Why Brand Jet collapsed within 12 months of celebrating silver jubilee

It is flashback time for many. Protesting employees, irate customers, devastated families clamouring for compensation and justice –the scenes playing out in the aftermath of the Jet Airways debacle evoke a sense of déjà vu, drawing instant comparisons with the long list of airline brands that have found their way to graveyard. Why are Indian airlines so vulnerable? And why did Brand Jet collapse, within twelve months of celebrating its silver jubilee? Read on...

PepsiCo agrees to withdraw lawsuit against potato farmers in Gujarat

PepsiCo India Holdings Ltd. (PIH) said on Thursday it will withdraw cases against potato growers in Gujarat after discussions with the government. The company had sued potato farmers in Gujarat for allegedly buying seeds and selling potatoes of the FL 2027 variety registered by PepsiCo. The said variety is used by PepsiCo for making 'Lays' chips. Read on...

Centre's tax revenue at Rs 13.2 trillion in FY19, missed target by 11%

The central government missed its tax revenue target by 11 per cent in 2018-19. There was lower than expected collection from the central goods and services tax, personal income tax and Union excise duties. However, the customs collection target, raised during the year by 15 per cent over what was initially budgeted, was fully realised. This was perhaps also due to increases in tariffs on a range of items. Read on...

L&T, Mindtree may see second round of sparring over shareholder meet

L&T and Mindtree seem to be heading towards another round of showdown as the engineering major is considering a shareholders’ meeting after becoming the single-largest investor in the IT services firm following its acquisition of 20 per cent from Coffee Day founder V G Siddhartha on Tuesday. Read on...

NBFC crisis may push up borrowing costs for real estate developers

The latest crisis of non-banking financial companies (NBFCs) could push up borrowing costs for property developers and pose challenges for big real estate developers. The recent downgrade of Reliance Capital has revived liquidity problems for NBFCs, which were recovering from the crisis triggered by the IL&FS defaults last year. Read on...

NCLAT allows banks to declare defaulting IL&FS, group companies as NPAs

The National Company Law Appellate Tribunal (NCLAT) on Thursday allowed banks to declare accounts of Infrastructure Leasing & Financial Services (IL&FS) and its 300 group companies non-performing asset (NPA) if they had defaulted on payments. The appellate tribunal, however, said the lenders would not be able to initiate the recovery process against these accounts or debit money from them. The lenders, the NCLAT observed, must not withdraw their support from IL&FS until a final resolution for the company and its subsidiaries was found. Read on...

In Rajasthan, businessmen are desolate about their prospects under new govt

Businessmen across Rajasthan are desolate about their prospects under a new government. Some are, however, also hopeful that GST will benefit honest businessmen. Their individual concerns notwithstanding, businessmen are aware that the Congress may not be the best option at the centre. In the state, it is a direct contest between the BJP and the Congress as no regional party has emerged here in the last few years, LiveMint reports.

Coal India plans to raise dispatch target to 530 mn tonnes in FY20

Coal India, a major supplier to the country’s thermal power plants, would raise dispatches about 9 per cent to 530 million tonnes this fiscal year. Analysts believe this enhanced target should help soften power prices and substitute the solid fuel’s imports, Economic Times reports.

Infosys CEO Parekh sees digital as key growth engine for the company

Infosys is looking to accelerate business from digital vertical by making additional acquisition in this space, said Infosys CEO Salil Parekh in an interview with the Hindu Business Line. For the company, the growth areas are cloud, software and service, and cyber-security, Parekh added, Hindu BusinessLine reports.