Category Archives: Business

Three Ram Dev International promoters flee India after cheating 6 banks

The company had three rice milling plants, besides eight sorting and grading units in Karnal district.

Three promoters of Ram Dev International, who were recently booked by CBI for allegedly cheating six banks to the tune of Rs 411 crore, have already fled the country before SBI could reach the agency, officials said on Saturday.

The CBI had recently booked the company engaged in the export of basmati rice to the West Asian and European countries and its directors Naresh Kumar, Suresh Kumar and Sangita on the basis of complaint from the State Bank of India (SBI), which suffered the loss of more than Rs 173 crore, they said.

The company had three rice milling plants, besides eight sorting and grading units in Karnal district with offices in Saudi Arabia and Dubai for trading purposes, the SBI complaint said.

Besides SBI, the other members of the consortium are Canara Bank, Union Bank of India, IDBI, Central Bank of India and Corporation Bank.

The Central Bureau of Investigation (CBI) did not carry out any searches in the matter because of the coronavirus-induced lockdown, the officials said.

The agency will start the process of summoning the accused, in case they do not join the investigation, appropriate legal action will be initiated, they said.

According to the complaint filed by SBI, the account had become non-performing asset (NPA) on January 27, 2016.

The banks conducted a joint inspection of properties in August and October, nearly 7-9 months later only to find Haryana Police security guards deployed there, they said.

“On inquiry, it has been come to notice that borrowers are absconding and have left the country,” the complaint filed on February 25, 2020, after over a year of account becoming NPA, the officials said.

The complaint alleged that borrowers had removed entire machinery from old plant and fudged the balance sheets in order to unlawfully gain at the cost of banks’ funds, it said.

Reference: https://www.deccanchronicle.com

Top 10 Tips for Those Who Need a Credit Restructuring

When they took a loan, everything was fine, but life is so arranged that white stripes alternate with black ones in it. For any borrower, the day may come when there is nothing to pay on loans. There can be many reasons: loss of work, illness, addition to the family. In any case, the most real solution to the problem will not be an attempt to hide from the debtor, but a trip to the bank, with supporting documents and a request to restructure the loan. This will not completely solve the problem, but it will allow you to delay payments, reduce debt, and at the same time maintain the purity of your credit history by showing yourself to be a bona fide borrower. Bank employees can offer ten ways to restructure a loan.

1. Renew loan

In this case, the reduction of the financial burden on the borrower occurs due to a decrease in the amount of the monthly payment, but the term of payments is significantly increased. That is, the time to repay the debt is stretched, new dates for the restructuring of the loan are indicated in the appendix to the contract. Such an opportunity to simplify the calculation can be taken into account in bank documents, but not mentioned in the original contract. Basically, this method is used if the borrower had an unforeseen situation and he temporarily lost the opportunity to make the required monthly instalments. Good faith customers who have been discussed in this organization for a long time can get a chance for an extension. Before concluding an agreement, it is necessary to carefully study the proposed terms and soberly assess their material capabilities.

2. Go on vacation

So the bank called the grace period, which suggests different options for solving problems with debt payments. A conscientious borrower may go for a “credit vacation” for the first time faced with serious financial difficulties. A debtor who has already received a refusal to restructure may be refused in this form. The debtor receives a deferment for a period of several months to six months, and at this time he pays exclusively interest that runs onto the body of the loan or payments are generally “frozen” (for example, if the borrower is seriously ill). This type is more profitable, only payment terms are transferred here, interest does not increase and additional amounts are not accrued.

3. Change currency

The biggest trouble for the debtor are loans taken in foreign currency. The peak of calls for this type of restructuring comes after the fall in the value of national money. But experts recommend making such a statement on the eve of such an event when only the first prerequisites appear.if you want change currency through bank to use usaa routing number In this case, the customer’s benefit consists in lowering interest on the loan (rates on foreign currency loans are always lower than offers for money circulating in the country). However, this species is not the most popular because of fears of losing even more on the fall of the course.

4. Lower interest rate

Here the personality of the borrower plays an important role, or rather, the presence of a “crystal clear” credit history. The point is to recalculate interest, as a result of which each month you will need to pay less, which will help out if there are gaps in the family budget. Usually it’s possible to lower the rate by a couple of percent, but keep in mind that the reduction will not be for the whole loan, but for a certain period. And this does not mean that the amount of debt will decrease, on the contrary, later it will be necessary to overpay, giving the bank more than was expected at the conclusion of the contract.

5. Reduce monthly payment

In terms of meaning and effectiveness, this type is similar to the procedure for extending a loan; it is proposed to help repay a debt, allowing you to prevent regular payments. Moreover, in this case, credit hysteria does not deteriorate, but the bank nevertheless receives its funds and interest back. This is a temporary benefit for the client, allowing you to find the time to resolve financial troubles. But on the other hand, the final, deferred, amount of payments may become larger than initially, because the interest in this case remains the same.

6. Write off the penalty

The most difficult way in matters of debt restructuring is applied in case of debtor’s financial insolvency. If the amount of the debt is such that it makes no sense to get involved in a lawsuit, and even if the case is won, there will be nothing to take from the losing party, the cancellation of the penalty is applied. Interest and penalties may be cut off depending on the particular case, but it happens that the amount of the main loan decreases. If the client is not at all able to fulfil his financial obligations, he has the right to begin the process of declaring himself bankrupt.

7. Come up with a comprehensive program

In the individual case, after considering the application for payment problems submitted by the client, employees can offer a comprehensive solution to the problem by combining several types of loan restructuring. For example, applying the extension of the loan repayment period, changing the loan currency and cancelling penalties. However, this option is used extremely rarely.

8. Sign a new contract

Sometimes the bank and the client enter into a new agreement by applying a comprehensive program that allows the borrower to continue paying the debt on gentle terms with over-payment without). Moreover, the bank may act as an initiator and offer, instead of drawing up an amendment to the previous loan agreement, to sign a new one with different rules.

9. To remove fines

The elimination of fines that increase the loan that is already too heavy for the debtor is also considered one of the types of restructuring used. Typically, the amount runs in when you skip payments, the amount and mechanism are always indicated in the contract. Turning to the organization, the client has the right to ask for the cancellation of the imposed penalty amounts. Often this measure is part of a comprehensive program that is applied individually to each borrower.

10. Offer refinancing

If the client did not agree with the bank or none of the types of loan restructuring approached him, then you can try to achieve refinancing. In this case, there will be re-lending on more favorable terms for the borrower and the monthly volume of payments will decrease, and interest will also be lower. The main thing is that this will reduce the financial burden and accelerate the payment of debt.

Amazon India is the country’s most attractive employer brand, says Survey

E-commerce giant Amazon India is the country’s most attractive employer brand, according to the findings of the Randstad Employer Brand Research (REBR) 2019. The company, which has more than 50,000 direct and indirect employees in India, has been steadily been expanding operations over the past five years.

According to the REBR 2019, released on Monday, Amazon scored high on financial health, utilisation of latest technologies and a strong reputation.

Microsoft India emerged as the runner-up, followed by Sony India. Others in the top 10 are Mercedes-Benz (4th), IBM (5th), Larsen & Toubro (6th), Nestlé (7th), Infosys (8th), Samsung (9th), and Dell (10th).

Google India had been inducted into the REBR’s Hall of Fame category last year for winning the coveted title of the most-attractive employer brand for three consecutive years.

The REBR covered 75 per cent of the global economy, with 32 participating countries and more than 200,000 respondents worldwide.

The top driver for the Indian workforce while choosing an employer are salary and employee benefits, followed by work-life balance and job security. “Employer branding has emerged as a crucial positioning tool for both companies seeking talent with must-have skills and candidates seeking organisations that can support their aspirations of realising a meaningful career,” said Paul Dupuis, managing director and chief executive officer Randstad India.

In an e-mail sent to senior team members last year, Amit Agarwal, head of Amazon India, has asked employees to allocate enough time to themselves, apart from work, and maintain a healthy “work-life harmony”.

“We will have occasions and commitments that require us to actually want to be engaged at odd hours, and even over multiple days. That is what owners do — step up and do what it takes. But by not making this our normal day, we will actually enjoy these moments,” he wrote.

He went on to ask employees to be more sensitive while making comments such as ‘half-day leave’ and ‘first shift’ about someone who might be taking early leave. Moreover, he asked them to steer away from forming negative perceptions around employees availing of flexible working hours or work-from-home facility.
The survey further noted that a vast majority (55 per cent) of Indians prefer to work for a large multi-national corporation, while a negligible 9 per cent preferred start-ups. The preference for multi-national companies (MNCs) can be strongly attributed to job security, financial health and career progression opportunities, which these organisations offer to their employees.

The survey also noted that the Indian workforce prefers to work for companies operating in sectors like IT, ITeS and telecom (67 per cent), retail, FMCG and e-commerce (67 per cent), followed by automotive (66 per cent) and BFSI (65 per cent).

Top 5 India’s Most Successful Female Entrepreneurs

If you are looking for some inspiration to launch your business or take on that leadership role, look no further than this list of India’s eight most empowering and successful female entrepreneurs. From heads of global business giants to founders of some of the most innovative startups, these super accomplished women have fought against all odds to get where they are today.

Indra Nooyi

Chairperson and CEO of PepsiCo, Indra Nooyi is among India’s most successful global entrepreneurs. Born and raised in Chennai, and an Indian Institute of Management (IIM) alumna, Nooyi has consistently been featured in the Forbes World’s 100 Most Powerful Women list. In addition, she was named the world’s most powerful woman in business – twice – by Fortune, one of the 100 Most Influential People in the World in 2007 and 2008 by Time, as well as being awarded a Padma Bhushan (India’s third highest civilian award).

Kiran Mazumdar Shaw

Founder of Biocon, one of India’s leading biopharmaceutical companies, Kiran Mazumdar Shaw has been named among the most powerful women in the world more than once by Forbes. Starting out of the garage of her rented Bangalore home, Biocon India began as a joint venture with Biocon Biochemicals Limited, of Cork, Ireland in 1978, amidst shortages of funding, qualified workers and other obstacles.

Vandana Luthra

An unrivalled leader in India’s health and wellness industry, Vandana Luthra started VLCC Health Care Limited as a small health and beauty services center in New Delhi in 1989. Today, the company operates in 323 locations across 150 cities over 11 countries, and employs more than 4,000 people. Consistently ranked among the top businesswomen in Asia, Luthra is also a recipient of the Padma Shri–India’s fourth highest civilian award. Vandana Luthra net worth is more than Rs 1,300 crore.

Chanda Kochhar

As Managing Director and CEO of ICICI Bank, one of India’s largest banks, Chanda Kochhar has been one of the most important figures in shaping the course of retail banking in the country. An alumna of the Jamnalal Bajaj Institute of Management Studies in Mumbai, Kochhar, she first joined the bank as a management trainee in 1984. She is a frequent name on the Forbes list of the World’s 100 Most Powerful Women in addition to several other well-known rankings of influential global figures.

Naina Lal Kidwai

Naina Lal Kidwai is an Indian Chartered Accountant, banker, and business executive. She was a former president of the Federation of Indian Chambers of Commerce and Industry. Naina Lal Kidwai is a well-known woman entrepreneur in India with a net worth of $240 million. She was formerly a Group General Manager and the Country Head of HSBC India. Kidwai was listed among the world’s top 50 Corporate Women by Fortune Magazine.