Page 12 - BANKING FINANCE February 2024
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ROUNDUP

         "Judges do not need to shun the care-  before recovering gradually to 6.5 per  percent and over 8 crore users, FASTag
         ful use of AI," said Master of the Rolls  cent in FY26.               has revolutionized the Electronic Toll
         Geoffrey Vos, the second-highest rank-                                Collection system in the country. The
                                            The multilateral lender wasn't so opti-
         ing judge in England and Wales.                                       'One Vehicle, One FASTag' initiative will
                                            mistic  about  the  global  scenario.
                                            Hobbled by high interest rates, persis-  help to make toll operations more ef-
         Big audit firms under the          tent inflation, slumping trade and a  ficient and ensure seamless & comfort-
                                                                               able journeys for the National Highway
         NFRA lens                          diminished China, the global economy
                                            will slow for a third consecutive year  users.
         In recent times, more and more audit
                                            in 2024, it said.                  The statement said NHAI has taken
         firms have challenged company man-
                                                                               this initiative after recent reports of
         agements, some going to the extent of                                 multiple FASTags being issued for a
         resigning on the ground of incompat-  FASTags with incomplete         particular vehicle and FASTags being
         ibility  with  what  the  management KYC to be deactivated post
                                                                               issued without KYC in violation of RBI's
         wanted or was doing. This, said Ajay  January 31                      mandate.
         Bhushan Pandey, chairman of the Na-
                                            FASTags with a valid balance but an  With penetration rate of around 98 per
         tional Financial Regulatory Authority
                                            incomplete KYC will get deactivated or  cent and over 8 crore users, FASTag has
         (NFRA), in a media interview, was a
         good sign.                         blacklisted by banks post-January 31,  revolutionized the electronic toll col-
                                            the Ministry of Road Transport and  lection system in the country.
         Now,  the  national  accounting    Highways said.
         watch-dog has turned the spotlight on  To avoid inconvenience, users must Tata acquires capital foods
         audit firms themselves. These firms
                                            ensure that KYC of their latest FASTag
         are perceived to be the eyes and ears                                 for Rs. 5,100 crore
                                            is completed. FASTag users must also
         of non-promoter investors.                                            Tata Consumer Products said that it
                                            comply with 'One Vehicle, One FASTag'
                                                                               was acquiring Mumbai-based Capital
         World Bank retains India's         and  discard  all  the  earlier  issued  Foods, which makes the Ching's Secret
                                            FASTags  through  their  respective  and Smith & Jones brands, for an en-
         FY25 growth estimate at            banks. Only the latest FASTag account
                                                                               terprise value of Rs.5,100 crore. The
         6.4%                               shall remain active as previous tags will  company said that it had entered into
                                            be deactivated/blacklisted after 31st
         The World  Bank  kept  its  FY25  eco-                                a share purchase deal and sharehold-
                                            January 2024. For further assistance or
         nomic growth projection for India un-                                 ers agreement to acquire the firm in
                                            queries, FASTag users can reach out to
         changed at 6.4 per cent, mainly on                                    an all-cash deal.
                                            nearest toll plazas or toll-free  cus-
         account of strong domestic demand,                                    Tata Consumer has also acquired Or-
                                            tomer care number of their respective
         rising public infrastructure spending                                 ganic India, promoted by Fabindia, for
                                            issuer banks.
         and  strong  private-sector  credit                                   an enterprise value of Rs.1,900 crore.
         growth. However,  it projected that  NHAI has taken this initiative after the  The company is into organic tea's and
         the private consumption growth might  recent reports of multiple FASTags being  health foods. The deal with Organic
         taper off due to high food inflation and  issued  for  a  particular  vehicle  and  India values the firm at over 5 times
         diminishing pent-up demand.        FASTags being issued without KYC in vio-  its FY24 estimates sales of Rs.560-570
                                            lation of RBI's mandate. Apart from this,  crore.
         In its biannual 'Global Economic Pros-
                                            FASTags are sometimes deliberately not
         pects' report, the World Bank said  In-
                                            fixed on the windscreen of the vehicle,
         dia was likely to maintain the fastest                                I-T  dept  raids  Polycab,
                                            resulting in unnecessary delays at the toll
         growth rate among the world's largest                                 finds  unaccounted  Rs.
                                            plazas and causing inconvenience to fel-
         economies, but its post-pandemic re-
                                            low National Highway users.        1000 crore sales
         covery was expected to slow, with es-
         timated growth of 6.3 per cent in FY24,  With penetration rate of around 98  The income tax department has de-

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