The Hindu News Analysis | 16th November 2019 | Daily Current Affairs – UPSC Mains – Prelims 2020


Good evening, aspirants! Welcome to ‘The Hindu’ News Analysis by Shankar IAS Academy for the date 16th November 2019. These
are the list of articles chosen for today’s analysis, it has been given along
with the page numbers of Chennai Bangalore Delhi Trivandrum and Hyderabad
Editions. The link for the handwritten notes in the PDF format and the time
stamping for the displayed articles is given in the description box below and
for the benefit of smartphone users the time stamping is also provided in the
comment section. Let’s move on to the first news article analysis. This news article
is about an important Supreme Court judgment on the ArcelorMittal insolvency
case. The syllabus that can be linked to this discussion is given here for your
reference. Before going into the article let us understand the background of the
Supreme Court judgement, for that we need to understand the basics of insolvency
and bankruptcy code 2016. Now, in this, ‘insolvency’ is a financial state and
‘bankruptcy’ is a legal procedure insolvency is a financial state where
the liabilities of an individual or an organization exceed its asset and they
are unable to raise enough cash to meet its obligations or debts when they are
due for the payment of the depth this insolvency leads to the state of default
the default can happen due to a financial failure or business failure so
a person who is facing insolvency needs to take corrective actions to rectify
the situation so as to avoid possible bankruptcy so what is bankruptcy
bankruptcy is the next state of insolvency where an individual or a firm
is declared as incapable of paying up their debt at any time in the present as
well as in the foreseeable future this state is declared by the relevant
authority under a specified law generally failure of resolution process
leads to bankruptcy so what is resolution resolution refers to a plan
that is proposed by any authorized person or entity for enabling the
overdue payments of a corporate data this resolution will be through
restructuring of the entity or even through partial payments of the debt it
will be done allowing the corporate debtor to
continue in the business so this is the meaning of insolvency bankruptcy and
resolution now under insolvency and bankruptcy code of 2016 the adjudicating
authority that is in relation to insolvency resolution and liquidation
for corporate persons including the corporate datas is the national company
law tribunal or in short and CMT so in 2017 the debt-ridden Essar Steel was
admitted by NC LT for insolvency proceeding under insolvency and
bankruptcy code or in short IBC after this NC LD appointed a resolution
professional the resolution professional has the duty to preserve and protect the
assets of the corporate data this also includes the continuation of business
operations of the corporate data the resolution professional also has to
invite prospective lenders investors or any other person to put forward any
resolution plans for the that our company so with respect to the
debt-ridden SR steel ArcelorMittal emerges eligible for a resolution now
the resolution plan that was proposed by ArcelorMittal was accepted by the
committee of creditors or in short COC now the COC is constricted by the
resolution professional for taking forward the decision of resolution the
COC comprised of all financial creditors of the corporate data all the decisions
of the committee of the creditors has to be taken by a vote of not less than 75
percentage of voting share of the financial creditors but here the problem
was that the resolution plan that was proposed by ArcelorMittal was challenged
by the SR steel in the national company law Appellate Tribunal that is NC L 18
so in its order the NCL 80 said that operational creditors and financial
creditors should get equal treatment now this verdict made the financial
creditors or de lenders and the operational creditors or vendors as
equal it means that the amount realized through resolution process
has to be shared equally between the financial creditors and operational
creditors now this decision was criticized it is because the original
insolvency and bankruptcy code aimed to give primacy or priority to financial
creditors over operational creditors so who are these operational and financial
creditors a financial creditor is also known as a lender who is a person or an
institution that lends money to the company for its functioning for example
money borrowed against the payment of interest from a bank is a financial debt
and the lender bank is a financial creditor so in this example the bank is
the financial creditor next according to IBC an operational creditor is also
known as vendor who is a person to whom an operational debt is owed or who is a
person to whom such a bit has been legally assignment now in this
operational debt is the claim that is made in respect of the provisions of
goods and services including employment to the company in simple terms the
operational creditor has offered goods and services to the company and the
company owes them that this is the operational debt so the COC that is the
committee of creditors move the supreme court against this decision of NCL 80
and the present judgment is based on this complaint only so with this
background in mind let us look into the newest article the article mentions that
Supreme Court accepted ArcelorMittal offer to pay rupees forty two thousand
crore to the secured financial creditors of bankrupt sr steel
now in this secured creditor is a creditor in favor of whom a security
interest or collateral is created it means the repayment of his money is
secured through collateral now in this we know that collateral is something
that is pledged as a security for repayment of a loan and it will be
forfeited or it is to be handed over if there is a default for example a
valuable property is a collateral and against this valuable property alone can
be given now in the Supreme Court judgment the code
upheld the decision of the committee of creditors to accept our sellers offer
for takeover now this judgment is so important because it set aside an
earlier judgment off in CLA t we’ve already seen that the NCL ad has decided
to share the realized amount equally between financial creditors and
operational creditors but as per today’s news the Supreme Court judges observed
that the principle of equality cannot be stretched to treat unequals equally they
have said that equitable treatment is to be accorded to each credit are depending
upon the class to which the creditor belongs that is they may belong to
secured or unsecured financial or operational creditor now this simply
means that secured creditors and financial creditors should be preferred
over the unsecured creditor and operational creditor respectively now
this judgment seems rational because it is the financial creditors who provide
the working capital to run the business whereas the operational creditors are
the beneficiaries of the amounts that is lent by the financial creditor who it is
because operational creditors benefits only if the business runs otherwise they
will not have any benefit so financial creditors must have an upper hand
because without them and without their working capital the business cannot be
run in addition to this the effects code also mentioned that corporate resolution
is ultimately in the hands of the majority vote off COC that is committee
of creditors the court also noted that NCL 8e cannot interfere in the business
decision that is taken by the majority of the COC which is provided according
to the law so we can conclude by saying that the judgment of Supreme Court is a
step in the right direction as it has made a logical decision to treat
different lenders according to their class this decision is expected to
increase investors confidence in the insolvency and bankruptcy code with this
we come to the end of this news article discussion the displayed practice
question will be discussed in the last session moving on to the next news
article discussion this discussion is in continuation with
the first news article which was about the Supreme Court judgement on the
ArcelorMittal insolvency case this discussion can be linked to the syllabus
that is given here for your reference this news article mentions that Supreme
Court has increased the time limit for corporate resolution beyond 330 days
which was mandated under IBC Amendment Act of 2019 so let us discuss this
provision in detail initially under section 12 of the parent act that is the
insolvency and bankruptcy code of 2016 the time limit for completion of
insolvency resolution process was mentioned according to this section in
this side it said that the corporate insolvency resolution process shall be
completed within a time period of 180 days from the date of admission of the
application to initiate the process this section also had a provision for the
extension of resolution process beyond this 180 days and it can be extended for
a maximum of another 90 days but the IBC 2016 act was amended by the IBC
Amendment Act of 2019 this amendment act amended several provisions of the parent
act it also made changes to this section 12 according to the amendment act the
insolvency resolution process has to be completed within 330 days from the
insolvency commencement date but now the present judgment is that the corporate
resolution can go beyond 330 days the news article mentions that if debts are
not a resolved and the bankrupt form cannot be brought back to its feet that
is if it does not recover from the financial problem within the mentioned
time frame then the only option that is left is the liquidation of the firm’s
assets so as to pay the creditors and according to the amendment that they
mentioned the time frame is the 330 days see normally after successful resolution
the debt-ridden company will continue to run but it will run under some other
company that is like in the case of our seller myth
SR Steele but in the case of liquidation it is the process of bringing a business
to an end and it will be done by selling the assets in the open market so what is
the relevance of this judgment normally parties to the litigation suffers the
liquidation after they mentioned a time frame that is after 330 days even for
others default for example if there is some delay in legal proceedings but the
delay was not because of the company then this will also lead to liquidation
of that company and we know that India is known for Delaine judicial
proceedings so now this judgement will solve this problem because the judgment
said that the three 30-day limit was no longer mandatory because it might lead
to liquidation unnecessarily the judgment also observed that the
mandatory time limit is a violation of equal treatment before law under article
14 of Indian Constitution and it is also a violation of the right to carry on
business under article 19 plus one sub-clause G of Indian Constitution we
know that article 14 is with respect to equality before law and equal protection
of law and this article 19 Clause 1 sub-clause G is with respect to right to
practice any profession or to carry on any occupation trade or business so as a
best possible solution to the problem Supreme Court has relaxed the mandatory
nature of the time limit see for an ordinary case the three 30-day time
limit might be sufficient but if the parties are able to prove that that is
very little time left in the resolution process and the delay has been caused by
delayed legal proceedings then more time should be given before going for the
liquidation process so in this way this judgment is really helpful for the
companies that is all about this news article with this we come to the end of
this news article discussion moving on to the next discussion in this
discussion will be seeing three news articles which is also about the Supreme
Court judgement on the acquisition of sr steel by ArcelorMittal this discussion
can be linked to the syllabus that is given here for your reference as we have
mentioned in the previous discussion ArcelorMittal will be paying about
two rupees 42,000 crore to be secured financial creditors of bankrupt SR steel
and the financial creditors in this case are the banks like State Bank of India
Canara Bank Punjab National Bank ICICI Bank etc the noose article mentions that
the payment will reach the respective banks in few days and this amount will
be accounted on the profit side in the profit and loss account of the bank now
this is expected to give a boost to the bank’s profits in the third quarter
which is from October to December and according to the news article the
biggest beneficiary of this payment would be State Bank of India which will
get around rupees 12,000 crore then the next news article talks about the
investor confidence the article mentions that the Supreme Court judgment will
increase the confidence of investors in the ibc process and the efficiency of
the IBC this is because this judgment clearly given upper hand to the secured
and financial creditors over the unsecured and operational creditors as
we discussed in the first discussion hence investors who are the financial
creditors will be more confident to invest because now they are assured by
the insolvency and bankruptcy code so even if the company in which they have
invested goes bankrupt then also a large part of the investment
amount can be claimed by the financial creditors through resolution so because
of this we can hope that this will lead to more investment and it will fuel the
Indian economy then there is another news article which talks about the
position of committee of creditors as we have discussed Supreme Court has upheld
the commercial wisdom of committee of creditors that a CEO see to accept
ArcelorMittal offer for the takeover of SR steel
now this simply means that Supreme Court has accepted that committee of creditors
or CEO C is the right body to take decisions over resolution process and as
we saw earlier the judgment also set aside an earlier judgment of ncle T
which earlier decided to share the amount
realized equally between the financial creditors and operational creditors now
after this judgment from now onwards ciosest decisions on resolution will
have more acceptance so there will be less challenges to COCs orders
hence the overall litigation period will come down now this will result in a
rapid resolution process under the insolvency and bankruptcy court then
another big achievement is the exclusive upper-hand given to the financial
creditors over the operational creditors now this will put an end to the
litigation which was based on the treatment of Griff different classes of
creditors now this type of litigation added burden to the overall litigation
and it further delayed the resolution process but now exclusively the
upper-hand is given to the financial creditors so this type of litigation can
be avoided and all this would result in achieving the objectives of IBC in its
true spirit and it will in turn result in the rapid resolution process under
the IBC hence this will prevent the company from going into liquidation
process so these are the information that you should know with respect to the
Supreme Court judgment on the acquisition of SR steel by ArcelorMittal
with this we come to the end of this discussion this discussion is based on
ecoute and income tax Appellate Tribunal the syllabus that is displayed here can
be linked to this discussion the news article he talks about ITA T that is
income tax Appellate Tribunal and also about ecoute and how these eCourse would
facilitate speedy delivery of justice so first let us see about income tax
Appellate Tribunal or in short ITA t-this ITA D is a quasi judicial
institution it was set up in January 1941 in this quasi judicial means the
institution will have some of the powers that is similar to normal courts of law
and these powers will include issuing some ones for the examination of
witnesses and documents then receiving evidence on affidavits and the
institution will also have authority to enforce its orders now this ITA t
functions under the Department of legal affairs in the ministry of law and
justice this ITA tea consists of a president
vice president and other members and they are all appointed by the central
government in their 1941 ITA tea was started with six members which
constituted three benches one at Delhi one at Kolkata and one in Mumbai and
after that the number of benches have progressively increased and presently
ITA tea has 63 benches including Chennai all over India this ITT specializes in
dealing with Appeals under the direct taxes act like the Income Tax Act the
orders passed by the idat are final but one can appeal against the orders of
idea tea in the High Court if a substantial question of law arises for
determination further idat draws inspiration from its motto which is
niche parcel of sattva y in this niche Baksh means
impartial or neutral solid means easy subtler means speedy kneei means justice
so its motto is impartial easy and speedy justice idat stands out for its
uniqueness for imparting justice to the litigants this is done by an inexpensive
easily accessible forum that is free from technicality ITT is also known for
its expert knowledge on the subject of Direct Taxes we say surrendering
expeditious justice that is speedy justice so over a period of time this
ITA tea has emerged as one of the effective tribunal and even this
Tribunal is referred to as the mother tribunal because it is the oldest a
tribunal in the country so after the success of ITA tea government has
constituted similar Appellate Tribunal for indirect taxes also and these
Appellate Tribunal czar customs excise service taxable a tribunal that is in
short cesta T and then Central Administrative Tribunal or CIT
and then Railway claims tribunal then foreign exchange appellate borne etc now
if you see the noose article it mentions that ecoute launched at Chennai bench of
ITA T now in this kourt’s means using of digital tools to
facilitate tribunal proceedings so in this context a fully-equipped
separate courtroom with seamless conferencing facilities has been set up
at the Chennai bench of idat so this will enable the tribunal to hear cases
from other places like Madurai and Coimbatore and the cases can be heard by
sitting in Chennai and this will be done through video conferencing so this whole
ecosystem is aimed at delivering justice at the doorstep therefore e codes would
facilitate speedy delivery of justice so in this news article we have discussed
about ITA T and its functions as well as how e codes would facilitate speedy
delivery of justice system with this we come to the end of this news article
discussion that is spread practice question will be discussed in the last
session moving on to the next news article discussion this discussion is
based on this editorial which is about the recent BRICS summit and the joint
statement that was issued by the five countries in the eleventh BRICS summit
this 11th summit was held on November 13th and 14th now in this summit a joint
statement was issued by the BRICS countries which is called as Brasilia
declaration it is because this statement was issued in the Brasilia city of
Brazil which is the capital of Brazil the syllabus that is relevant for this
analysis is given here for your reference if you see this editorial in
the opening remarks the author mentions three recent developments in the economy
at the global level first is that the storm clouds are gathering over the
world economy this statement means the world economy is going through troubles
now this could be because of a weak international order which means certain
countries are not abiding to internationally agreed rules this could
be also because of weakening support for world trade and investment or also
because of the great power or superpower competition between some countries one
example for this could be the increasing the us-china trade was and the other
example could be unilateral decisions of USA in the international arena
cetera we have been seeing that US has been continuously asserting that it will
come out of various formally agreed commitments and international
organizations u.s. is saying that it will come out of World Trade
Organization if its demands are not accepted now this was the first
development in the economy at the global level now secondly the author mentions
that the trading arrangements are in disarray that is there is no order in
trading arrangements or the trading arrangements are in a mess
here we may say some examples such as us removing India from the beneficiary list
of its generalized system of preferences program that is the GSP program then
another example could be the inability of the our sub countries to address the
concerns of India then another example can be USA reverting from its agreed
commitments in various trade deals then thirdly author mentions that there are
questions over the relevance of World Trade Organization author is mentioning
this as a point because of some of the failures in the WTO regime in the
present WTO regime there are threats to equitable distribution of trade benefits
for example in one of our recent classes we saw that USA has presented papers to
the World Trade Organization with on demand USA has asked WTO that India has
to be removed from the developing country status either this or the
benefits enjoyed by India because of the developing nation status has to be
stopped so this was the demand of USA to the WTO now we know that according to
World Bank the per capita GDP in u.s. is 30 times more than the per capita GDP in
India and still USS making this claim now this is the state of economic
affairs at the global level well this is the case at the global level the author
comments that the time is opportune or it is favorable or convenient for five
nations in the world these are called the BRICS nations this is because the
group has adapted according to the changing times and it has proved its
resilience this is despite the fact that at times some countries of the grouping
have undergone certain difficulties here the author discusses about the relative
state of economy of five countries and the group more importantly two countries
have shown a reasonable and remarkable growth within the grouping these two
countries are India and China see the group as a whole has shown resilience
though two countries have shown sluggish growth or very slow growth and one
country is undergoing a sanction Ladin slowdown now here sluggish growth is
seen among Brazil and South Africa and Russia is undergoing slowdown because of
sanctions from USA here sanctions refer to the trade restrictions or conditions
that is imposed by USA to affect or to harm Russia now one of the ways how u.s.
is doing this is by forcing the countries that are dependent on USA to
not to carry out any trade relations with Russia and here by mentioning
resilience the author means that these countries have been or they will be able
to recover the present difficulties then next in the editorial the author also
discusses about the joint statement or the Brasilia declaration of BRICS
nations in this joint statement the five countries have asked all the WTO members
to avoid unilateral and protectionist measures that goes against the spirit
and the rules of the video in this you have to note one point normally BRICS
countries support multilateralism this means multiple countries come together
and establish overall rule-based international order so this means they
oppose one country dictating terms and conditions on its own so that is why
they have asked WTO members to avoid unilateral and protectionist measures
next the BRICS countries have repeated their commitment to the WTO
though WTO’s original promoter has threatened that it will come out of
World Trade Organization the original promoter is none other than USA recently
USA has stated unilaterally that it will leave WTO if certain demands are not
accepted by the ratio or concern nations after this the BRICS nations have also
presented a vision for rules based transparent non-discriminatory open free
and inclusive international trade now these could be the characteristics of
international trade it has to be rule-based
it should be transparent one aspect in this could be rules of origin for
tagging of products then the international trade should be
non-discriminatory it has to be open free and inclusive then the joint
statement has also appreciated the BRICS led new Development Bank and it has also
appreciated the BRICS Business Council both these platforms in BRICS has played
an important role in ensuring that BRICS countries maintained to be the major
drivers of global growth in the last 10 years know that even now the BRICS
countries represent close to one-third or thirty three percentage of global
output we have seen recently the matters pertaining to new Development Bank on
our fourteenth number 2019 news analysis the link is given in the description box
and also in the comment section please have a look at that video one of the
special features of new Development Bank is that all the members of BRICS are
having equal shareholding and also equal voting rights in new Development Bank
now this is not the case with one of the important global financial institutions
that is the International Monetary Fund or IMF even the BRICS joint statement
has asked to reform the quota system and voting rights in IMF the joint statement
has called to strengthen and reform the multilateral system that is to reform
United Nations to reform the rich you to reform IMF and other international
organization now how it has to be reformed these institutions have to be
made more inclusive more democratic and more representative particularly this
reform should include greater participation of emerging markets and
developing countries in international decision-making so these are some of the
points from the joint statement next the author mentions about the one thing that
failed the vision of cooperation or interdependence between five countries
this is with respect to trade among and between the countries see though 40% of
the world’s population is found in these countries they trade among the five
countries contributes to just 15 percentage of world trade
so the author calls for greater connectivity and more trade among BRICS
nations once this happens this will naturally allow the BRICS countries to
claim their rightful space in the world economy
then once the contribution of intra BRICS trade that is the trade between
the BRICS nations which is a significant level then these countries could provide
the leadership and energy that the global economic order urgently requires
next the author also mentions few points with respect to India author mentions
that India is undergoing two challenges one is the economic crisis second is the
trouble trading ties with several nations this is authors personal opinion
that India’s trade ties are a trouble with several nations now we know that at
present India may not be in good trade terms with 15 are set nations and we
have trade tensions with USA and we are under pressure from USA not to have
certain aspects of trade with Iran and Russia and we could not get a waiver
from USA with respect to Iran we are prevented by USA in buying oil and with
respect to Russia u.s. threatens India not to purchase the s400 triumph missile
system so this is what the author is mentioning as troubled trading ties with
several nations then finally the author also talks about India’s failure to
resolve issues we join the regional comprehensive economic partnership that
is arson now this has raised certain questions in terms of trade these
questions are about whether India is reversing its market liberalisation and
reversing from being open to trade in this author’s point is that India should
have joined our separate after resolving its concerns on various matters but we
know that the majority in our sub mega sessions did not mind about India’s deep
concerns with respect to its farmers and micro medium and small industries and
even some other parameters so these are the some of the comments mentioned by
the author regarding recent developments in the economy at the global level and
also at the national level with this we come to the end of this editorial
discussion the respect practice question will be discussed in the last session
moving on to the next news article discussion this news article is with
reference to the Consumer Expenditure survey results off 2017 to 18 the
syllabus that can be linked to this discussion is given here for your
reference by Consumer Expenditure survey results we mean the results of all India
survey on household consumption expenditure this survey was carried out
by the National Statistical Office which is under the Ministry of statistics and
programme implementation this National Statistical Office carried out this
survey during the period July 2017 to June 2018
usually the Consumer Expenditure survey is conducted at an interval of once in
five years that is this survey will be conducted at Quinn Quinn e’en intervals
so the last survey on consumer expenditure was conducted during the
period July 2011 to June 2012 this Consumer Expenditure survey generates
estimates of household monthly per capita consumer expenditure it also
generates estimates about the distribution of
households and persons over the classes or categories of monthly per capita
consumer expenditure this survey is designed to collect information
regarding expenditure on consumption of goods and services that are consumed by
households this survey includes both food items and non-food items the survey
is important because the results of this survey are used for rebasing of the GDP
and other macroeconomic indicators this means this survey will be used in
arriving at a new base year for the calculation of GDP and other indicators
such as index of industrial production CPI etc now today’s news is that the
central government has decided not to release the Consumer Expenditure survey
results of 2017 to 18 for this the government has given a
reason that there are issues over the quality of data collected in this survey
this means that the survey will not be released meanwhile the government is
also examining the feasibility of conducting the next Consumer Expenditure
survey in two thousand twenty two twenty one and two thousand twenty one to
twenty two so it is expected that the government may carry out the next survey
after incorporating all data quality refinements in the survey process now
this is the stand of the central government but some of the media reports
are saying that this survey is not released because of some adverse
findings so if this survey is released it may affect the image of the
government among the public now based on some of the draft data of this survey
some reports are saying that the consumer demand has declined in 2017 to
18 for the first time in at least in last 40 years so what is the problem if
there is a decline of consumer demand if there is a decline this means that
people after knowing the decline may not spend money for consumption of goods and
services people may think that if they spend they may not have money with them
they may not involve in production of goods and investment because if goods
are produced people will not buy due to lack of demand so at the end of the day
they produced goods will get waste and also the investment that went into
production will be wasted now this means that there will be an overall fall in
the economic activity and this is what we call as slowdown in the economy now
as a result of declining consumption by households or because of decline in
consumer demand the GDP growth will also fall so these are the consequences if
there is a decline of consumer demand now the government sources mentioned
that the survey was questioned for its ability to capture consumption of social
services by households this concern was raised particularly about the
consumption of health and educational services now one other question is that
whether people are not spending enough for education and health now we may not
get answer to this question because the survey will not be released
actually the government examined these concerns on education and health
services that is given by the survey after examining government referred this
matter to a committee of experts this committee of experts have noted that
there are some discrepancies in this survey and the committee has recommended
a refinement in the survey methodology and it has recommended to improve the
data quality aspects of the survey in addition to this the Advisory Committee
on national accounts statistics has also separately recommended that the survey
data from the year 2000 17 to 18 is not appropriate to be considered for GDP
debasing so as a result of all these the Consumer Expenditure survey results of
2017 to 18 will not be published and not releasing this survey will be seen from
the lens of transparency and accountability by the stakeholders so
with this we come to the end of this news article discussion the respect
practice question will be discussed in the last session moving on to the last
discussion for the day this news article is with reference to the draft amendment
bill that was released by the government in March April this year the draft
amendment was to amend the Indian Forest Act of 1927 the syllabus that is
relevant for this analysis is given here for your reference this year in the
months of March and April central government has proposed to amend the
Indian Forest Act of 1927 and it has released a draft bill for that purpose
the bill contained provisions such as arresting a person without warrant if
the person is alleged or accused to be an encroach then the bill also stated
that the forest officials can use firearms in case there is a violation of
the legal provisions then the draft also included a new category of forest which
is known as production forest according to the draft these are the forests to
produce timber pulp pulp or firewood non-timber forest produced etc there are
concerns that this new category was proposed to corporatize or privatize
forests and this was to be done by handing over to private operators for
the production of pulp or pulp food timber and other products in addition to
this a section was also included to suspend the right to collect the forest
produce which was granted to the edema sea communities who were residing in the
forests now this created a sense of fear among the areva sea communities about
their livelihood and their relationship with the environment then the draft also
mentioned that the government can acquire or grab the right of forest
dweller this will be done if the rights are inconsistent with the conservation
of a reserved forest it was felt that the definition of inconsistent was not
clearly defined in the draft so it can be misused so these are some of the
proposed changes to the Indian Forest Act of 1927 but huge criticism has been
put forward by various forest right activists and environmentalists we have
discussed these matters and the various issues along with the proposed changes
in April 2009 T on our April 20th and 22nd in the news analysis video so for
more information on this matter you may have a look at the videos on April 20
and 22nd the link is given in the description box and also in the comment
section now today’s news is that the government has decided not to proceed
for amending the Act as it was planned earlier in fact government has withdrawn
the draft amendment bill itself and the development is that government will
amend the Indian Forest Act of 1927 but it will be done after having wider
consultations with various stakeholders for this we come to the end of this news
article discussion now we have come to the last session which is the practice
questions discussion session this first question is with respect to income tax
Appellate Tribunal the first statement states it specializes in dealing with
appeals under the direct taxes acts like income tax act of 1961 now this
statement is correct this is the specialty of ITA tea and also remember
that the orders passed by itha are final but one can appeal against the orders of
ITT in the High Court the second statement states
it is referred to as mother tribunal being the oldest tribunal in the country
now this statement is also correct this I ta T is a quasi judicial institution
which was set up in 1941 and it is the oldest tribunal in the country so it is
referred to as mother tribunal so this catchment is also correct
now the third statement states it functions under Ministry of Corporate
Affairs now since this Tribunal deals with income tax you should not think it
comes under Ministry of Corporate Affairs rather this comes under the
department of legal affairs which is under the ministry of law and justice
because it is a Appellate Tribunal which has powers
similar to normal courts of law and these powers include is showing some
ones for the examination of witnesses and documents then receiving evidence on
affidavits and having authority to enforce its orders so the statement is
wrong the question asks for the correct statement so the final correct answer to
this question is option B 1 & 2 now this question is based on insolvency and
bankruptcy code the first statement States the adjudicating authority in
matters of insolvency resolution and liquidation for corporate debtors is the
respective hai codes now this statement is wrong because according to insolvency
and bankruptcy code of 2016 the adjudicating authority is the national
company law tribunal or in shot NC LT now in this question the question asks
for thee not correct statements that is the wrong statements so yet statement 1
is wrong so the final answers should contain statement 1 so either the answer
should be option A or D now the next statement states a financial creditor is
a person or an institution that lends working capital to the company for its
functioning now yes this statement is correct a financial creditor is also
known as a lender who is a person or an institution that lends money to the
company for its functioning for example money borrowed against the payment of
interest from a bank is a financial debt and the lender Bank is a financial
creditor so here the bank is the financial
critical so this means this statement is correct but the question asks for the
incorrect statements or the wrong statements so the answer should not
contain statement two so we can eliminate a B and C so the final correct
answer to this question is only one and three now this third statement is wrong
because the committee of creditors comprised of all financial creditors of
the corporate data so that is why this statement is wrong this next question is
with reference to these summits of BRICS group II the question asks in which of
the following order the annual summits of BRICS grouping
have taken place since 2014 till 2018 now to answer this question you should
know in which place these summits took place in each in the year 2014 it took
place in the Brazilian city of Fortaleza then in the year 2015 it took place in
Russia in the office city then in the year 2016 it took place in India in the
be Nolan city of Goa state then in the year 2017 it took place in China in the
salmon in the salmon city then in the year 2018 it took place in South Africa
in Johannesburg then in the year 2019 that is this year we know that it took
place in Brazil in the capital of Brazil which is Brasilia and in these options
we know that beasts transferred Brazil are strands for russia i stands for
India and C stands for China and S stands for South Africa now we have to
see in what order these summits took place 2014 is B for Brazil then R for
Russia then I for India then C for China then s for South Africa till 2018 so the
order should be BR ICS that is BRICS so the correct answer to this question
is option D BR ICS now this next question is with reference to all India
survey on household consumption expenditure that is the Consumer
Expenditure survey the first statement states it is conducted by the Ministry
of statistics and programme implementation this is correct because
the survey is conducted by the statistical office which functions under
the Ministry of statistics and programme implementation so this is correct and
here the question asks for the correct statement so we can eliminate option A
and B because it does not have a statement 1 then the second statement
States it is usually conducted by a nearly now this is wrong because this
survey is conducted once in five years so the word for conducting the survey
once in five years quint Quesnel biennial means once in two
years now this statement is wrong so we can eliminate option D also so the final
correct answer to this question is option C one only now this third
statement is incorrect because it states it does not include data for consumption
pertaining to non-food items or articles it is wrong this survey includes both
food items and non-food items and the survey is designed to collect
information regarding expenditure on consumption of goods and services that
are consumed by households with this we have come to the end of today’s hindi
news analysis if you liked the video don’t forget to like comment and share
and do subscribe to shankar is Academy YouTube channel for more updates related
to civil service examination preparation

31 thoughts on “The Hindu News Analysis | 16th November 2019 | Daily Current Affairs – UPSC Mains – Prelims 2020

  1. Handwritten Notes in PDF Format: https://drive.google.com/open?id=13rLMeml-ZY-jsc2xxJonOFbyaL7KHqlF

    Handwritten Notes convenient for printing:

    i) Single side per page – https://drive.google.com/open?id=1xM8jFAOi_t3PtYPzNtH3rEn1EWz1pK8x

    ii) Double side per page – https://drive.google.com/open?id=1SijG2xzSDF6j5GH9BmpN-96oz1TDl-pt

    Time Stamping of News Articles:

    1. ArcelorMittal’s takeover of Essar cleared by SC – 00:30

    2. Top court extends 330-day limit for insolvency resolution – 08:59

    3. CoC getting final say, a big plus, opine lawyers – 13:03

    4. Essar verdict: banks to see profitable Q3 – 13:03

    5. Approval ups investor confidence in IBC process – 13:03

    6. e-court launched at Chennai Bench of ITAT – 16:53

    7. Five-in-one (Editorial) – 20:51

    8. Report on household spending put on hold – 31:23

    9. Centre drops plan to bring in changes to Forest Act of 1927 – 36:40

    10. Practice cum Revision – MCQs – 39:25

  2. First three articles were tough to understand but your explanation made it simple even I did not read these articles because of hardness . Thank you madam

  3. I always Watch sias video first, then read the Hindu. It works better as I will be able to read articles missed by you.

  4. Hello SIA team, if possible please explain the difference between the impeachment process of president of USA and President of India , since somehow it can be question in GS2.
    Thanks in advance.

  5. Superb explanation mam…ty .. specially the first 3 article …you made them very very easy…thank you…πŸ™πŸ™πŸ™

  6. Mam/Sir , I have observed you don't include some of the important topics/news which are relevant for upsc.
    16th November :
    1. Five in one (BRICS)
    2.Treating Education as a public good ( a good editorial on Education)

  7. Today's session cleared all my concepts regarding IBC which I was facing for a long time. I have been following these sessions since long. Thank you for all the amazing sessions. Really appreciate the efforts by all the faculties – Keerthana Ma'am, Raj Kapil Sir, Venkat Sir, Shanmuga Sir.

Leave a Reply

Your email address will not be published. Required fields are marked *