Today's GK(20-8-13)

The Indian Air Force on Tuesday landed its C-130J Super Hercules transport plane at the world’s highest and recently-activated airstrip at Daulat Beg Oldie (DBO) in Ladakh, close to the Line of Actual Control (LAC) where Indian and Chinese troops had witnessed a three-week long stand-off in April.

In what appeared to be a subtle but strong message to China, the IAF demonstrated its ability to use the heavy-lift aircraft to induct troops, supplies, improve communication network and also serve as a morale booster for maintenance of troops positioned at such heights in Ladakh region.

“A C-130J Super Hercules landed at DBO, the highest airstrip in the world at 0654 hours on Tuesday. The Commanding Officer, Group Captain Tejbir Singh, and the crew of the ‘Veiled Vipers’ along with senior officer touched down on the DBO airstrip located at 16614 feet (5065 meters) in the Aksai Chin area,’’ the IAF said in a statement.

“With this enhanced airlift capability, the IAF will now be in a better position to meet the requirements of our land forces who are heavily dependent on the air bridge for sustenance in these higher and inhospitable areas,’’ the IAF said.

The aircraft of the special operations squadron is capable of undertaking quick deployment of forces in all weather conditions, including airdrops, besides landing on unprepared or semi-prepared surfaces.

“This achievement qualifies for the world record for the highest landing by an aircraft of this class,’’ the IAF said. Incidentally, this was the same aircraft and crew that operated at Dharasu during ‘Op Rahat’ for the Uttarakhand flood relief.

The IAF reactivated the airfield in 2008 with the landing of an Antonov-32 there from Chandigarh. The airstrip was last put to use in the 1965 war with Pakistan.

“Once again this strategic base in the Northern Himalayas gained importance when it was resurrected and reactivated by the IAF along with the Indian Army and made operational when a twin engine AN-32 aircraft from Chandigarh landed there after a gap of 43 years [in 2008],’ the IAF said.

The DBO sector saw about 50 Chinese soldiers crossing the LAC and setting up a remote camp in Depsang plains in April. The stand-off ended when both sides agreed on May 6 to pull their forces back to positions held before the confrontation in the highly strategic region that abuts the Karakoram Highway joining Pakistan to China. As LAC is not yet demarcated, both sides have differences in their perception, leading to patrols often entering into each other’s territory.

A day after being slammed by the Forward Markets Commission (FMC) for providing inaccurate data and doing a shoddy job in assessing the liabilities, the crisis-hit National Spot Exchange Ltd. (NSEL) on Tuesday sacked its entire top management team in a bid to salvage itself from a raging controversy.

NSEL, promoted by Jignesh Shah of Financial Technologies, has defaulted payment of Rs.5,400 crore to investors.

The NSEL board, which met to identify measures to solve the problem on Tuesday, issued marching orders to the current key management team headed by Anjani Sinha, Managing Director and CEO of the exchange.

Mr. Sinha and other heads of departments, including Amit Mukherjee, Assistant Vice-President-Business Development; Jai Bhaukhundi, Assistant Vice-President-Market Operations; Maneesh Chandra Pandey, Manager-Business Development; Santosh Mansingh, Assistant Vice-Presidnet-Market Operations; H. B. Mohanty, Assistant Vice-President-Market Operations; and Shashidhar Kotian, CFO, have been removed from their current assignments, pending an enquiry.

Mr. Sinha has been relinquished from his duty with immediate effect and he will be a Special Officer assisting in the recovery process. The team, which has been removed, will, however, be responsible for the recovery along with Mr. Sinha.

NSEL has also appointed P. R. Ramesh as the Officer on Special Duty (OSD) to exercise all powers of a CEO and he will report directly to the board. Mr. Ramesh comes with a background of over 20 years in legal practice and regulations dealing with exchanges and market participants, NSEL said.

The OSD will also conduct a special investigation to identify various lapses that may have been caused in the operation of the exchange and suggest corrective and consequential actions for recovery of outstanding dues.

Various warehouses

The exchange has appointed SGS to assess the quantity and quality of goods lying in various warehouses. “We expect this work to be over by the end of the month. The exchange will take necessary legal and regulatory measures in case of any non-compliance with the collaterals lying in various warehouses,” it said.

NSEL said it was in the process of appointing a global firm for forensic audit as per the directive of the FMC to assess the exchange, members’ financial and settlement accounts, including the delivery and collateral management system. The audit firm will be appointed by Friday.

Meanwhile, NSEL, on Tuesday, failed to meet the first payout obligation.

Worried over interest rates rising following its steps to support falling rupee, the RBI on Tuesday announced slew of measures to ease liquidity, including Rs 8,000 crore bond buyback, to ensure adequate credit flow to the productive sectors of the economy.

The measures are aimed at easing liquidity conditions in the market which has worsened after RBI’s money tightening steps, including raising short-term rates, to curb volatility in the exchange rate of rupee.

The Reserve Bank will conduct open market purchase of government bonds of Rs 8,000 crore on August 23 to inject liquidity, the central bank said in a statement.

More Open Market Operations (OMO) would be undertaken as and when required, it added.

The RBI further said the hardening of long-term yields “has resulted in banks incurring large mark-to-market (MTM) losses in their investment portfolio ... these MTM losses are partly resulting from abnormal market conditions and could be expected to be largely recouped going forward”.

The RBI has also decided to retain the statutory liquidity ratio (SLR), the portion of total deposits banks are required to park in G-Secs, at 24.5 per cent to help banks reduce MTM losses resulting from abnormal market condition.

With regard to SLR requirement, RBI said it has now been decided to relax this requirement by allowing banks to retain SLR holdings in Held To Maturity (HTM) bonds category at 24.5 per cent until further instructions.

“Banks have the option of valuing these securities for the purpose of such transfer as at the close of business of July 15, 2013,” it said.

“It is important to address the risks to macroeconomic stability from external sector imbalances. At the same time, it is also important to ensure that the liquidity tightening does not harden longer term yields sharply and adversely impact the flow of credit to the productive sectors of the economy,” it said.

Earlier in the day rupee plunged to sub-64 level for the recovering to end the day at 63.25 against dollar.

Amid rupee sliding below 64 to a dollar, global agency Standard & Poor’s said on Tuesday it will maintain negative outlook for the country as currency depreciation is adversely impacting investor confidence.

“We view the capital outflows and depreciating rupee as an indication of weakening investor confidence in India. We maintain a negative outlook on India’s BBB — sovereign credit ratings,” S&P Senior Director Sovereign and International Public Finance Ratings (Asia-Pacific) Kim Eng Tan said in an emailed statement.

’BBB—’ is the lowest investment grade and a downgrade would mean pushing the country’s sovereign rating to junk status, making overseas borrowings by corporates costlier.

Referring to the recent measures announced by the government to restrict capital outflow, Mr. Tan said these “have also increased uncertainties among investors both foreign and domestic“.

“If the uncertainty continues, business financing conditions could deteriorate further and investment growth could slow further,’’ he said.

In order to tame the sliding rupee, the Reserve Bank and the government had on August 14 announced stern measures, including curbs on Indian firms investing abroad and on outward remittances by resident Indians.

S&P’s comments come when the rupee touched the record low of 64.11 to a dollar in intra-day trade on Tuesday.

Moody’s Investor’s Service in its report on Tuesday said the depreciating rupee is likely to inflate the fuel subsidy bill, weaken the credit quality of oil companies and put pressure on the fiscal deficit.

Earlier in May S&P had warned that it may downgrade India’s sovereign rating to junk grade if the government fails to pursue reforms and check deterioration in fiscal and current account deficits.

S&P said its future credit rating action would depend upon the response of policymakers to the latest economic developments.

India’s long term growth prospects could weaken on a sustained basis, with negative implications for the sovereign credit fundamentals, it said.

“We view the capital outflows and depreciating rupee as an indication of weakening investor confidence in India. We believe this to be a result of the declining economic growth in the past two years and what some investors view as insufficient long-term policy response that could reverse the decline and revive investments,” S&P said.

It added that investments continue to be stifled by inadequate infrastructure, rigidities in labour and product markets, and red tape, among other issues.

A sliding rupee, which is mainly on account of widening Current Account Deficit (CAD), will make imports costlier and fuel subsidy bill.

The CAD, which is the difference between the inflow and outflow of foreign currency, had touched a record high of $ 88.2 billion or 4.8 per cent of GDP in 2012-13 fiscal.

Finance Minister P Chidambaram had said last week that CAD will be contained at $ 70 billion or 3.7 per cent in the current fiscal.

Moody’s has said despite previous price liberalisation in the petroleum sector, the subsidy bill is likely to rise due to depreciation, thus widening the government’s deficit, which is also under pressure from slower revenue growth.

State Governments of Delhi, Arunachal Pradesh, Haryana and Uttarakhand on 20 August 2013 launched Centre-Sponsored Food Security Scheme on the occasion of former Prime Minister Rajiv Gandhi's 69th birth Anniversary.

The food security scheme aims at ensuring the poor to get essential food commodities such as wheat and rice at affordable prices (Rice at 3 Rs/kg, Wheat at 2 Rs/kg, Coarse grain 1 Rs/kg).

Delhi

The Food Security Scheme was launched by UPA Chairperson and Congress President Sonia Gandhi at Delhi, in the presence of Chief Minister of Delhi Shiela Dikshit.

The food security scheme would come into force from 1 September 2013 and will initially cover 32.27 lakh people - about 20percent of Delhi’s population - which currently gets wheat, rice and sugar at subsidised rates through the Public Distribution System (PDS).

The beneficiaries include people getting ration through PDS under the Antodaya, below poverty line, Jhuggi Ration Card (JRC) and Resettlement Colonies Ration Cards (RCRC) schemes. About 5.22 lakh beneficiary families are being given special cards.

Eldest woman in every eligible household will be treated as the head of the family for entitlements.

The State Government has also decided to include homeless people, daily wage-earners, rag-pickers as well as people living in resettlement colonies and slum clusters in the first phase of the implementation of the scheme. No income tax payers, vehicle and house owners will be included in the scheme in the first phase.

The second and final phase of the scheme will be launched in February 2014.

Haryana

Chief Minister of Haryana Bhupender Singh Hooda launched the scheme at Panipat, Haryana.

During the first phase, the scheme will cover Antoyoda Anna Yojana families and all BPL families. The scheme would be implemented from 1 September 2013  throughout the State after scrutiny of initial list of beneficiaries.

The Antoyada families will get 35 kilogram wheat whereas BPL families will get 5 kilogram wheat per member of the family at nominal price of 2 rupees per kilogram.The wheat would be distributed through 9174 fair price shops already operational in the State.

The ambitious scheme of Central Governemnt will benefit 126.49 Lakh people of the State. In rural areas 90 lakh 28 thousand people will be benefited whereas in urban areas the number of beneficiaries will be 36 lakh 21 thousand.

Arunachal Pradesh

Chief Minister of Arunachal Pradesh Nabam Tuki launched the programme in Itanagar. The scheme will cover 66.3 percent of rural and 51.55 percent of urban population in the State.

Uttarakhand

Chief Minister Uttarakhand Vijay Bahuguna launched the scheme at the Nagar Nigam, Town Hall in Dehradun. Food security scheme covers 62 percent of population in the State

Usain Bolt of Jamaica equalled the world record of highest golds after winning the 4x100m relay at the World Athletics Championships on 18 August 2013 at Moscow, Russia.

By winning the 4x100m gold medal Usain Bolt’s secured his eighth gold. This was his third gold medal at World Athletics Championships 2013 Moscow.

Usain Bolt won the 100m and 200m sprint at Berlin in 2009, 200m in Daegu in 2011, the 100m and 200m in Moscow 2013, as well as golds as part of the winning Jamaican 4x100m relay squads in 2009, 2011 and 2013.

With this victory Usain Bolt has joined the club of highest (8) gold medal winners list along with American women's 200m specialist Allyson Felix, and retired US track stars Carl Lewis and Michael Johnson including relays.

Usain Bolt in World Athletics Championships 2013

• Usain Bolt reclaimed his world 100m title in Moscow in emphatic style, clocking a season's best 9.77sec in heavy rain.
• He also won 200m title, by finishing in 19.66sec.
• In the 4x100m relay Bolt along with Nesta Carter, Kemar Bailey-Cole, Nickel Ashmeade, clocked 37.36sec in the race at the Luzhniki Stadium.

Usain Bolt (26) holds the world record in the 100m and 200m with record times of 9.58 seconds and 19.19seconds respectively at the World Championships in Berlin 2009.  Jamaican sprinter Usain Bolt is generally called as the fastest man on Earth.

Usain Bolt's Gold Medals

100m: 2008, 2012 Olympics; 2009, 2013 World Championships
200m: 2008, 2012 Olympics; 2009, 2011, 2013 World Championships
4x100m: 2008, 2012 Olympics; 2009, 2011, 2013 World Championships

All-time leading world medalists

• Allyson Felix (USA): 8 gold, one silver, one bronze - total 10
• Carl Lewis (USA): 8 gold, one silver, one bronze - 10
• Michael Johnson (USA): 8 gold - 8
• Usain Bolt (Jamaica): 8 gold, two silver -10

The Supreme Court of India in the third week of August 2013 directed the Union Ministry of Environment and Forests (MoEF) and the State of Uttarakhand not to grant (any further) environmental/forest clearances to any of the hydroelectric power projects in Uttarakhand, till further orders.

The Supreme Court Bench that comprised two judges, Justice K.S. Radhakrishnan and Justice Dipak Misra expressed serious concern over the growth in the number of hydroelectric projects being developed in Uttarakhand and its potential impact on the river basin of Alaknanda and Bhagirathi.

Justice Radhakrishnan, while writing his judgment pronounced that the Court was deeply concerned with the Uttarakhand tragedy of June 2013 that affected the Char Dham area in the state. He also said that the “Wadia Institute of Himalayan Geology recorded 350 mm of rain on 15-16 June 2013. Snowfall ahead of the cloudburst also has contributed to the floods resulting in the burst on the banks of Chorabari Lake near Kedarnath, leading to large scale calamity leading to loss of human lives and property. The adverse effect of the existing projects, projects under construction and proposed, on the environment and ecology calls for a detailed scientific study. Proper Disaster Management Plan, it is seen, is also not in place, resulting in loss of lives and property.”

The Bench in its decision also quoted a study and said that 69 hydropower projects with a capacity of 9,020.30 MW are proposed in Bhagirathi and Alaknanda basins.

The projects include
• 17 projects which are operational with a capacity of 2295.2 MW
• 26 projects with a capacity of 3,261.3 MW (including 600 MW Lohari Nagpala hydropower projects, work on which has been suspended by the Government decision) which were under construction
• 11 projects with a capacity of 2,350 MW CEA/TEC clearances
• 16 projects with a capacity of 1,673.8 MW under development

Due to the implementation of the 69 projects the society and river has suffered extensive implications for other needs. Apart from this, the Supreme Court also noticed that due to the implementation of the 69 projects will affect 65 percent Alaknanda and 81 percent Bhagirathi.

The Bench said that the scientific examination of the cumulative impact of the 69 hydropower project components like dams, tunnels, blasting, powerhouse, muck disposal, mining, deforestation etc. on eco-system is yet awaited to be done.

The Supreme Court issued a series of directions to the MoEF and Uttarakhand for not granting the environmental clearances to further projects. It directed the MoEF to constitute an expert body to make a detailed study as to whether Hydroelectric Power Projects existing and under construction have contributed to the environmental degradation, if so, to what extent. The expert body will also study the contribution of environmental degradation to the tragedy occurred at Uttarakhand in June 2013. MoEF is directed to examine as to whether the proposed 24 projects are causing significant impact on the biodiversity of Alaknanda and Bhagirath river basins. The expert body will include representatives of the State Government, Central Electricity Authority, WII, Central Water Commission and others.

The Disaster Management Authority of Uttarakhand has been asked to submit a report to the Supreme Court about their disaster management plan (if any) in place and the effectiveness of the plan to combat the tragedy that occurred in Uttarakhand.

Scientists from the University of Technology, Sydney (UTS) explained that seagrass can play a crucial role in fighting against the climate change because the plant is 35 times better in locking the carbon than the rainforests.

It is important to note that seagrass meadows used to wrap the coastline of Australia at some point of time. The seagrass also served as food for turtles and dugongs, habitat for the fish to breed as well as various other ecosystem services like sediment stabilisation and nutrient recycling.

Dr Peter Macreadie of University of Technology, Sydney explained that the atmospheric carbon dioxide levels reached sky high and so they hurt the ecological life support systems. Seagrass can play a vital role in reversing the warming trend of Earth. He also explained that in case the amount of carbon dioxide in atmosphere reach 450 parts per million, then there will only be 50 percent chance for human beings to avoid drought, widespread species extinction as well as famine.

Seagrass helps by capturing and storing the carbon by the process of photosynthesis. Seagrass also traps the particles in the water column. This ability of seagrass to absorb carbon dioxide is estimated to be somewhere around 45 billion US dollar, based on the present carbon price of around 23 US dollar per tonne. This is the consecutive estimate on the basis of just one seagrass species- Posidonia australis.

This is the reason why it is important to protect the seagrass meadows across the world. Seagrass is under threat because of nutrient runoff as well as coastal development. New South Wales alone lost 50 percent of the seagrass, which can cause repercussions for the climate. The danger of destroying seagrass comes in the form of less carbon pull-out from the atmosphere.

armarked by the Union Finance Ministry for the years 2009-10, 2010-11 and 2011-12, respectively. But the use of the allocated budget fall a prey to the blockage between the Union Ministry of Women and Child Development and the plan panel. The blockage between the WCD and Commission was created to make a decision on the nature of the scheme. The WCD wanted it to be a central scheme with states and the Centre contributing equally, whereas, the Planning Commission wanted the disbursement to be done to the states as assistance from the centre.

Failure in spending a single rupee allocated for the Relief to and Rehabilitation of Rape Victims was among the three other women-oriented schemes, where the Government has failed in spending. The other two schemes highlighted by the CAG, where zero investments were made were Swayamsidha scheme for formation of self-help groups and the Rashtriya Mahila Kosh for creating a national credit fund to finance self-help groups. The Swayamsidha Scheme was allocated 28 crore rupees, whereas, Rashtriya Mahila Kosh scheme received 115 crore rupees.

Ratan Thiyam, the renowned theatre personality from Manipur, was appointed as the Chairperson of the National School of Drama Society on 19 August 2013 by the President of India, Pranab Mukherjee. His term will be of 4 years, according to the relevant Rules and Regulations of the Society. He replaced Amal Allana, who served two consecutive terms at the National School of Drama Society.

Life Sketch of Ratan Thiyam

• Ratan Thiyam was born on 20 January 1948. He is 65 years of age.
• He is an alumnus of National School of Drama. He graduated from this institute in New Delhi in the year 1974.
• He is a painter-playwright-actor-director by profession.
• In the year 1987, he won the Sangeet Natak Akademi award.
• He also won Sangeet Natak Akademi, India's National Academy for Music, Dance and Drama, and the Padma Shri given by Government of India in 1989.
• He is the founder director of Chorus Repertory Theatre in Imphal.
• He is the theatre director of some of the renowned plays such as Chakravyuh and Urubhangam.
• He is the man behind theatre of roots movement in the Indian theatre which started off in 1970s.
• He is also known as Thiyam Nemai and makes use of ancient Indian theater traditions as well as forms in contemporary styles.
• He was also honoured with the 2012 Sangeet Natak Akademi Fellowship, which is the highest honour in performing arts conferred by the Sangeet Natak Akademi