Maintaining its upward trend in the second consecutive week, the inflation rate inched up 0.08 per cent to touch 1.70 per cent on August 7, following an increase in prices of food items, basic metals and textiles. Inflation based on the WPI was 1.62 per cent the week before.

Sebi note on overseas equity float

Market regulator Sebi has asked the Centre to make it mandatory for domestic companies raising equity from overseas markets to offload 25 per cent of the issue size in local markets. According to Sebi chief DR Mehta, the move will see some quality paper in the market and will act as a boon to the fledgling primary market.

CBI blocks gold repayment

The CBI has blocked the repayment of gold under the 1993 gold bond scheme which was due for redemption in June last year. CBI, which is looking into the credentials of 50 bondholders, has asked the RBI to safeguard the gold, valued at over Rs 200 crore. The scheme had, however, assured itsinvestors of immunity from inquiry and prosecution.

I-T rejects reservation firms plea

The I-T department has rejected the claim of foreign central reservation system firms seeking tax exemption under the double taxation treaties between India and their countries. Sources have pegged the demand from these companies at around Rs 300 crore. CRS firms provide connectivity between travel agents and various airlines with the help of software and lease lines.

Essar's Petronet payment deadline

The Petronet board has given Essar Oil time till December 31 to pay Rs 10 crore for a 10 per cent stake in the company. If Essar, which was earlier given time till May 31, fails to meet the deadline, the stake may be offered to an institution. Reports indicate that UTI and IDFC are keen on buying on the stake.

Modern group revamp plan

The Rankas-controlled ailing Modern group will soon submit a fresh recast proposal to financial institutions, seeking an extension of the repayment period andwaiver on interest charges. The group's institutional outstandings stand at Rs 977 crore.

Escorts Yamaha stops moped output

Escorts Yamaha Motor has downed the shutters of its moped manufacturing facility and will be focussing solely on motorcycles. The company has cited poor earnings from its moped business as the reason for the closure.

Crompton to sell Skycell stake

Crompton Greaves has decided to sell its 40 per cent stake in cellular venture Skycell for over Rs 200 crore and asked ABN-Amro to finalise the deal by September. CMD KK Nohria said that cellular operators BPL, Escotel and Srinivas Cellcom have evinced interest in buying the stake.

Philips to focus on India

In a bid to make things better, the $33.9-billion Royal Philips Electronics of Netherland has outlined plans to invest about $10 million in the country to build its brand in the current year alone.Compiled by V Keshavdev