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SP asks PM to clarify N-deal to the nation

New Delhi, July 02: Samajwadi Party leader Amar Singh on Wednesday said that his party wants Prime Minister Manmohan Singh to explain the Indo-US nuclear deal to the nation and allay apprehensions his party and others have. It was only then that SP would lend support to the pact, he said.

Amar Singh made the remarks after being briefed by National Security Advisor M K Narayanan on the nuke deal at an undisclosed location for about an hour.

In a clear softening of stand, Amar Singh said the UPA government had no compulsion to come back to Parliament before going ahead with the deal. He said that this was a fact well known to the government, the Left and to his party.

However, he added that the Prime Minister should allay apprehensions concerning the nuke deal publicly – either in Parliament or outside it, clearly indicating that SP would use that clarification for its U-turn on the deal.

Asked about his party’s lending support to the UPA in case of a confidence vote, the SP leader gave his party room when he quipped, “There is no question of extending support at this moment, as the Left has still not pulled out... as of now, Left are the insiders and we are the outsiders.”

Amar Singh further stated that during his meeting with the NSA, he briefed him about his party’s apprehensions on the nuke deal as conveyed to them by the Left parties. “Till now, the Left has been briefing us on the deal, saying it was against national interest, so we have sought clarifications from the PM,” he added.

“So far, Left has been at the centrestage. They have supported the government in the past four years, they (Harkishen Surjeet) took us along to the Sonia’s residence, they have been opposing the nuke deal, we have been approached by the Congress only now,” he said.

This is the first time that someone from the government has spoken to us to apprise us about the deal, he added.

Indirectly justifying SP’s inevitable support to the UPA in case of a trust vote in Parliament, Amar Singh said they wanted communal forces in the form of BJP to stay out of power. “We don’t want any more communal riots in the country,” he told reporters.

Amar Singh further informed that he would discuss Narayanan’s briefing on the nuke deal with the UNPA constituents when they meet tomorrow to discuss the issue.

Lalu aims profit of Rs 1 lakh cr in next Rly budget

Saharsa, July 02: Obliquely dismissing speculations about the future of the UPA government following the stand-off with the Left over the nuclear deal, Railway Minister Lalu Prasad Wednesday said he would present the next Railway budget.

"I will present the next railway budget and take the profits of the largest public sector undertaking to a staggering Rs one lakh crore," he said addressing a gathering after flagging off the Saharsa-Jainagar Janaki Express and Saharsa-Amritsar Jansadharan Express at the railway station here.

Lalu said the migration of labourers from Bihar to other states had come down as the Railways had launched projects involving an expenditure of a whopping Rs 52,000 crore in the state, opening new vistas of employment. Stating that a new line would soon be laid between Bihariganj and Kursela, the minister said the work for setting up an electric locomotive factory at Madhepura would commence after two months.

An Industrial Training Institute (ITI) would also be set upat Madhepura to enable the local youths secure jobs in the locomotive factory. He castigated the state's NDA government for the delay in acquisition of land for the proposed factory, saying "the state administration should shun this anti-development approach.

“About the demand made by public representatives to name railway stations after saints and holy figures, Lalu said though he had great respect for them, the Railway Act did not permit it.

TVS capital raises Rs 500 crore growth fund

Mumbai, July 02: Asset management company TVS capital funds has raised Rs 500 crore growth equity fund, which will primarily invest in mid-cap companies in consumer consumption driven sectors such as retail and hospitality.

"The fund intends to target investments in sectors like food & agro, media and entertainment and privatized education," TVS capital funds chairman and managing director, Gopal Srinivasan, said.

Besides, the fund will focus on sub-sectors that have a development theme, such as organising an unorganised sector and offering high quality products and increased choices to consumers, he said.

The company plans to invest in 6-8 companies over the next one year, primarily those based in Tamil Nadu, Andhra Pradesh, Karnataka, Kerala, Maharashtra and Gujarat, the company said.

SC to hear Ambani brothers` loan dispute

New Delhi, July 02: Anil Ambani Group company Reliance Infocom Infrastructure has moved the Supreme Court seeking to recover more than Rs 58 crore of outstanding loan from a Mukesh Ambani Group firm.

Reliance Infocom Infrastructure, in its petition, alleged that Madhuban Merchandise Pvt Ltd (MMPL) had failed to repay more than Rs 58 crore out of Rs 233.85 crore advanced to it in 1999. The matter will come up for hearing in the second week of July.

Challenging the Bombay High Court judgement that dismissed its winding up petition against MMPL in February this year, Reliance Infocom said that the Mumbai-based MMPL had raised "a false, unsubstantiated and untenable defence" as it did not intend to repay dues.

It has sought a stay on the high court judgement and a direction to the high court to appoint a provisional liquidator.

While Reliance had advanced Rs 233.85 crore unsecured loan to MMPL in August 1999, the latter had repaid Rs 150 crore loan till November 2006, according to the petition.

MMPL had been giving an evasive reply with the malafide intent to delay the repayment saying that it was agreed between the parties that the outstanding amount would be set out or stand settled on transfer of certain shares to the Anil Ambani Group in February, it said.

It added that after MMPL ceased to be a subsidiary of Reliance Infocom in August 2005, the latter had transferred its shareholding in the company to Soumya Finance & Leasing Company Pvt Ltd.

The petitioner said that the high court had failed to appreciate that MMPL had created false defence without any supporting documents.

Osama bin Laden on death bed: CIA

Washington, July 02: Two officials of the US' intelligence agency CIA have claimed that al Qaeda chief Osama bin Laden was on death bed as he suffered from a terminal kidney disease, and may live only for a few months.

The intelligence agency also managed to get the names of some of the medications Bin Laden was taking.

One of the two CIA officials familiar with the report that came out six-nine months ago quoted it as saying, "Based on his current pharmaceutical intake we would expect that he has no more than 6-18 months to live and impending kidney failure."

Pakistan President Pervez Musharraf was the first person to claim that Laden suffered from kidney disease and was on dialysis.

"It's trying to make a diagnosis from thousands of miles away with only fragments of the medical chart," the Time magazine quoted Paul Pillar, the former top analyst and deputy director of the CIA's Counter-Terrorism Centre, as saying.

Frances Fragos Townsend, who was chief of the White House Homeland Security Council said, "I've read all the same conflicting reports that people have talked to you about. I never found one set of reporting more persuasive than another."

Allahabad Bank ties up with Tata AIG

Kolkata, July 02: The Allahabad Bank on Wednesday tied up with private life insurance company Tata AIG for providing mortgage term insurance facilities to housing loan customers of the bank.

Tata AIG chief distribution officer Joydeep Roy said that customers would be offered reducing term life insurance designed to cover mortgage loan obligation of the insured member against death during the term of the coverage.

In case of an unfortunate event like death of the mortgage loan borrower, the insurance cover would provide for repayment of the housing loan.

"The family will get back the property," he said.

Allahabad Bank executive director J P Dua told reporters here that the tie-up for mortgage insurance would be an added advantage for the customers of the bank.

As per the agreement, the bank would extend Tata AIG's housing loan cover through its network of 2,154 branches across the country.

Crucial UNPA meet over Indo-US nuke deal

New Delhi, July 03: The imbroglio over the Indo-US nuke deal enters decisive phase on Thursday with all eyes being on the crucial UNPA conclave. The meet gains significance as the Samajwadi Party is expected to take a final call on whether they would go for the nuke deal and support the UPA in the eventuality of the Left withdrawing its support.

However, all is not right with the UNPA as the other partners have started to sense that the SP will go with the Congress considering its political compulsions in UP. But, that may not be as easy for groups like the TDP and the AGP as the political dynamics in their respective states warrants that they take the Congress as their principle adversary.

TDP chief Chandrababu Naidu has met with Left leaders Prakash Karat and AB Bardhan ahead of the UNPA meeting. After the Samajwadi Party (SP) ignored his emissaries’ appeal to stay away from the Congress, Naidu has cut short his Mee Kosam Yatra to rush to Delhi to try and salvage the situation.

Naidu’s emissaries K Yerran Naidu and Rajya Sabha MP Kambhampati Rammohan Rao met SP leaders on Monday to defuse the situation. They also called on CPI(M) and CPI leaders. Samajwadi troubleshooter Amar Singh made it clear to them that Mulayam’s strategy was more UP-centric. “If the need arises the SP may even walk out of the UNPA,” he hinted. Phone calls and appeals by UNPA partners — National Conference patron Farooq Abdullah and INLD leader Om Prakash Chautala — went unheeded.

“Mulayam refused to receive calls from Abdullah, but told Chautala he had no alternatives in UP politics,” said a senior TDP leader.

Party sources said Yerran Naidu held a prolonged debate with Mulayam in Delhi. “Our talks failed to change Mulayam’s mind. Even when we were at his residence, he received several calls from Congress leaders,” said a senior TDP leader.

Asked what Chandrababu Naidu’s visit could achieve now, TDP sources said: “We will try another round of talks with Mulayam Singh. If this fails, we will have to chose another leader probably also from the north.”

Oil hits new peak above USD 144

Singapore, July 03: Oil hit fresh records on Thursday for the fifth time in six sessions, as the dollar fell on gloomy US jobs data and a broad equity sell-off, and a higher than expected fall in US crude stocks raised supply concerns.

US crude rose as much as 87 cents to $144.44 a barrel, before easing back to $144.25 by 0155 GMT. The contract touched a previous peak of $144.32 on Wednesday.

London Brent crude rose as much as 85 cents higher at a record $145.11.

The dollar hit a two-month low against the euro on Thursday after a report a day ago showed US private employers cut the most jobs in nearly six years and as the US Dow Jones industrial average sank into bear market.

Later on Thursday, traders will focus on the outcome of a European Central Bank meeting, which may result in an interest rate hike that could weaken the US dollar further.

Oil has risen more than 50 percent this year, helped by inflows of speculative money as investors seek to hedge against the falling dollar and inflation.

"We have the weaker US dollar, the reduction in US oil stocks... We may see a bit of profit taking tonight but it all depends on the US dollar," said Gerard Rigby of Fuel First Consulting in Sydney.

In the latest of a series of news this week which stoked supply concerns, official data showed US crude oil stocks fell more than expected last week, down by 2 million barrels to 299.8 million barrels, putting commercial inventories below 300 million barrels for the first time since January.

Oil prices have jumped seven-fold since 2002 as demand from emerging economies like China and India stretch supply growth.

In the Middle East, fears of an escalation in the showdown between Iran and the West over Tehran's nuclear programme continued to support oil prices.

The United States has said it would defend shipping in the Gulf if Iran made good on threats to block the Strait of Hormuz, in the event OPEC's No.2 producer was attacked.

Forty percent of the world's seaborne oil passes through the Strait.

But Iranian Foreign Minister Manouchehr Mottaki struck a conciliatory tone on Wednesday, saying Tehran would reply shortly to an offer from Western powers designed to curb its nuclear work.

Western nations say Iran's nuclear program is aimed at developing atomic weapons, while Tehran insists it has only peaceful purposes.

ONGC & partners bag most oil & gas blocks in Indian auction

Madrid, July 02: State-run Oil and Natural Gas Corp (ONGC) and partners have bagged the most number of oil and gas exploration blocks offered by India in its largest ever international bid round that closed earlier this week.

ONGC and partners bagged 20 blocks, while first timers BHP Billiton and GVK Power emerged winner in seven deepsea blocks after evaluation of bids that came on June 30, officials, here to attend the World Petroleum Congress, said.

Reliance Industries forged an alliance with British Petroleum Plc but could manage only one Krishna Godavari basin block.

Indian Oil Corp got two onland blocks and Cairn India won one deepsea block.

Officials said ONGC on its own got four onland blocks and was leader of consortium that bagged three deepsea, five shallow water and seven onland blocks. It was junior partner in an onland block that was led by GSPC.

Adani Welspun and Essar-Noble combine got one shallow water block each.

The joint venture of Hidustan Petroleum and steel baron Lakhsmi N Mittal, HPCL-Mittal Energy was part of a consortium led by ONGC in two shallow water blocks. It was also part of consortium led by Oil India that got Cambay basin onland block.

Of the 57 areas offered in the seventh round of bidding under New Exploration Licensing Policy (NELP), seven deepsea, two shallow water and three onland did not receive any bid. GAIL India along with GPSC got a Cauvery basin onland block.

Microsoft bidding for ***** again?

San Francisco, July 03: Unable to strike a deal on its own, Microsoft Corp. reportedly is hoping to snap up *****'s online search operations with the help of News Corp. and Time Warner Inc.

The latest twist in Microsoft's convoluted courtship caused *****'s shares to rise more than 3 percent in Wednesday's sinking stock market, even though the chances of a deal getting done still seemed remote.

If nothing else, the enthusiastic reaction to the unconfirmed report in The Wall Street Journal served as another reminder that investors want ***** to pursue a different path than the one mapped out by Chief Executive Jerry Yang.

And that could be bad news for Yang, who started ***** as an Internet directory 14 years ago. Unless he can sway shareholder sentiment before *****'s annual meeting Aug. 1, Yang could lose his job in a boardroom coup being attempted by investor Carl Icahn.

Recognizing *****'s vulnerability, Microsoft is trying to recruit News Corp., Time Warner's AOL or other media partners to put together a joint bid that would slice ***** into pieces, according to the Journal. The story cited undisclosed people familiar with the discussions.

Microsoft declined comment Wednesday. A ***** spokeswoman didn't immediately return a call seeking comment.

Under the reported breakup plan, Microsoft would emerge with *****'s online search operations — the main object of the software maker's desire since it began stalking ***** as long as ago as 2006.

After the two sides couldn't agree on a price, Microsoft withdrew a $47.5 billion bid to buy ***** in its entirety in early May.

Just two weeks later, Microsoft offered to pay $1 billion for *****'s search engine and invest another $8 billion for a 16 percent stake in *****'s remaining business.

***** rejected that offer, too, and instead forged an advertising partnership with Google Inc., whose rapid growth prompted Microsoft's bid for ***** in the first place.

Now, Microsoft is trying to figure out a way to carve up *****'s business and hand off the non-search pieces to News Corp., AOL or other media partners, the Journal said.

Neither News Corp. nor AOL are new players in this soap opera.

***** explored possible deals with AOL and with News Corp.'s popular online hangout, MySpace.com, while trying to fend off Microsoft's advances. And Microsoft previously has talked to News Corp. about making a joint bid for *****.

Desperate to placate its peeved shareholders, ***** has resurrected a previous proposal to combine with AOL and give Time Warner a minority stake in the merged operations, according another Journal story late Wednesday that cited unnamed people. The odds also appear stacked against that idea working out, the Journal reported.

Microsoft CEO Steve Ballmer had hoped to pitch his latest breakup proposal to ***** in a meeting on Monday of this week, but then canceled for unexplained reasons, a person familiar with the situation told The Associated Press.

***** hasn't heard another formal proposal since June 8, said this person, who spoke on condition of anonymity because the on-again, off-again negotiations are considered confidential.

Microsoft's talks with possible partners are still in a preliminary stage and unlikely to culminate in a deal, according to people who spoke to the Journal.

But the mere prospect of Microsoft returning with another offer was enough to lift ***** shares 68 cents, or 3.4 percent, to close at $20.88. Microsoft shares fell 99 cents to finish at $25.88.

*****'s stock price has sunk by 27 percent since Ballmer withdrew an oral offer of $33 per share for the entire company in early May. Ballmer walked away after Yang sought $37 per share — a price that *****'s stock hasn't reached in nearly 2 1/2 years.

Stanford Group analyst Clayton Moran estimated *****'s breakup value at $20 to $24 per share, well below the $33 that Microsoft offered in early May.

With its shareholders fuming, ***** has unsuccessfully tried to persuade Microsoft to revive its bid for the entire company at $33 a share.

The impasse has deepened the animosity between the two companies, with ***** denigrating its suitor as "unresponsive and inconsistent" and Microsoft accusing ***** of engaging in "revisionist history."

By floating the idea of a ***** breakup, Microsoft may be trying to provide Icahn with ammunition for his attempt to overthrow *****'s nine-member board. Icahn didn't return a call Wednesday, but he has publicly stated he is opposed to doing a Microsoft deal unless it involves selling ***** as a whole.