Banking, Financial and Economic Awareness of 22 and 23 December 2019

1. Petitions of income tax department over demerger plan of Reliance Jio dismissed

• NCLAT has dismissed the petitions of the income tax department and approved demerger of Reliance Jio into Jio Digital Fibre Private and Reliance Jio Infratel Private.
• Earlier, NCLT has also approved the demerger of Reliance Jio Infocomm Ltd.
• Reliance Jio Infocomm Ltd:
  • Founder & Chairman: Mukesh Ambani
  • Managing Director: Sandeep Das
  • Founded: 15 February 2007

2. Triveni Sangam summit held at Kovalam in Kerala

• Triveni Sangam summit involved the top leadership of Union Bank of India, Andhra Bank and Corporation Bank to find the best approach for organisational structure and culture of the unified bank after the merger of three banks.
• During the summit, leaders also looked at the possibility of administrative restructuring to deal with the collective business of three banks.
• The ₹15-lakh crore business of banks may double in the next few years.
• Merger of public sector banks:
  • On August 30, 2019, the government had announced the merger of 10 public sector banks into four. 
  • The Union Bank, Andhra Bank, and Corporation Bank will be merged into one bank.
  • Announced merger of banks may come into effect from April 1, 2020.

3. Ratan Tata and Nandan Nilekani promoted Avanti Finance to collect $ 30-40 million

• Avanti Finance is planning to collect $ 30-40 million (approximately Rs 285 crore) from impact investments and domestic financial institutions.
• Two years ago, Ratan Tata and Nandan Nilekani invested Rs 50 crore each into Bengaluru- headquartered Avanti Finance.
• Impact investments refer to investments in companies or funds to create social or environmental impact by addressing social or environmental issues.

4. Novartis India's gender-neutral insurance benefit plan

• Novartis India will provide its employees gender-neutral insurance benefit plan from January 1, 2020.
• The plan will extend to LGBTI, single parents, live-in partners and their dependent children.
• It will also include all dependent children of a maximum of 23 years age and differently-abled children of any age.
• In July, Novartis had announced a gender-neutral parental leave policy of 26 weeks leave.
• Novartis:
  • It is a Switzerland based pharmaceutical company.
  • CEO: Vasant Narasimhan

5. Rajesh Mokashi resigns

• Rajesh Mokashi has resigned as MD& CEO, CARE Ratings.
• He was sent on leave by the board of directors on July 18.
• Earlier, SEBI had received a complaint against Rajesh Mokashi and an inquiry is pending against him.
• TN Arun Kumar will remain Interim Chief Executive Officer of CARE Ratings.
• Credit Analysis & Research (CARE) Rating:
  • It was started in 1993.
  • It is the second-largest credit rating agency in India.
  • Head office: Mumbai