CURRENT AFFAIRS JANUARY PART - II

JANUARY 04-17, 2016

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POLITY, GOVERNANCE AND PUBLIC POLICY

Aadhaar Is A Must For MGNREGS Work In News: From April 1, workers in rural areas enrolled under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), must have an Aadhar card. The EPFO has also made it mandatory for 50 lakh pensioners and four crore subscribers to provide either the Aadhar number or proof that they have

applied for it.

Section 7 of the Aadhar Act

Section 7 – mandates that when the government gives subsidy, benefit or service from the

Consolidated Fund of India, an individual can be

asked to undergo authentication or furnish proof of possession of Aadhar.

The expenditure for the MGNREGS is met from the Consolidated Fund of India.

Why this Move?

It will prevent leakages of subsidies and to

ensure that the beneficiaries get their due. DBT Scheme

The Direct Benefit Transfer scheme, aimed at checking leakages of welfare funds, was launched on January 1, 2013 to cover 24 schemes of eight Ministries.

Under the DBT, all cash benefits are transferred

directly to the beneficiary‘s bank account.

The Centre has asked its departments and the State governments to widen the scope of the DBT

scheme to include all monetary and in-kind transfers.

To spread the scheme further, it was shifted to the Cabinet Secretariat last year, and its implementation is being monitored by the PMO.

Aadhar identity platform possess inherent features of Uniqueness, Authentication, Financial Address and e-KYC.

This feature enables the Government of India to reach directly to the residents of the country for delivering various subsidies, benefits and services by using the resident‘s Aadhar number only.

What the Cabinet Secretariat said?

Those who have registered under the scheme will be required to furnish proof of possession of

Aadhar or undergo the enrolment process till March 31.

However, till an Aadhar card is obtained, other documents will be admissible as proof of identity.

Those who have applied for Aadhar can produce their enrolment slip or a copy of the application for getting the 12-digit unique identification number.

AADHAAR

It is 12-digit random number issued by the UIDAI (―Authority‖) to the residents of India after satisfying the verification process laid down by the Authority.

Every resident shall be entitled to obtain an Aadhar number.

To obtain an Aadhar number, an individual has to submit his

Demographic information: Name, Date of Birth (verified) or Age (declared), Gender, Address, Mobile Number (optional) and Email ID (optional)

Biometric information: Ten Fingerprints, Two Iris Scans, and Facial Photograph.

The Aadhar number is a proof of identity,

however, it does not confer any right of citizenship or domicile in respect of an Aadhar number holder.

Children‘s Aadhar

Children below the age of 5 years can also enrol but only their demographic will be data recorded.

Such Childs requires to be re-enrolled when they

attain age of 5 and all biometric data should be

provided.

UIDAI requires that all such residents to updates

their biometrics data when they attains age of 15 years.

UIDAI

The Unique Identification Authority of India (UIDAI) is a statutory authority established under the provisions of the Aadhar Act, 2016 by Government of India, under the Ministry of Electronics and Information Technology (MeitY).

On the consent of Aadhar number holder any entity can make a request for authentication to the UID authority.

The agency can use the disclosed information only for purposes for which the individual has given consent.

Biological attributes will be used only for Aadhar enrolment and authentication, and for no other purpose.

Such information will not be shared with anyone, nor will it be displayed publicly, except for following two purposes.

1. In the interest of national security, a Joint Secretary in the central government may issue a direction for revealing.

Such a decision will be reviewed by an Oversight Committeecomprising Cabinet Secretary, Secretaries of Legal Affairs and Electronics and Information Technology.

Anddecision taken by committee will be valid for

six months.

2. On the order of a court

A Residentof India

Resident has been defined under Indian Fiscal Law ( Income Tax Act, 1961) and Foreign Exchange Act ( FEMA, 1999)

An individual is said to be resident in any

previous year if he satisfies any one of the following conditions:-

1. He stays in India in the relevant previous year for a period of 182 days or,

2. He stays in India for at least 60 days during the relevant previous year and at least 365 days during 4 years preceding that previous year.

Who are the Residents of India?

A Hindu Undivided Family (HUF) is said to

be resident in India if control and

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management of its affairs is wholly or partially in India during the relevant previous year.

Partnership Firm or an Association of Personsare resident if control and management of its affairs is wholly or partially in India during the relevant previous year.

An Indian company is always a resident in

India.

A foreign company is resident in India only if

during the previous year control and management of its affairs is wholly in India.

Maternity Benefit Programme – Pan-India

Expansion In News:Hon‘ble Prime Minister of India, in his address to the nation has announced pan-India expansion of MBP in all the districts with effect from January 2017.A woman‘s nutritional status has important implications for her health as well as the health and development of her children.

Where Things Stand Now?

Indira Gandhi MatritvaSahyogYojana (IGMSY) —

was begun in 2010 on a pilot basis.

Then the National Food Security Act, 2013, was begun to ensure universal coverage under the scheme.

In reply to a petition in Supreme Court, the Ministry of WCD said that the scheme would be extended to all districts. But, that commitment has not been met.

Provisions of IGMSY

It is a conditional cash transfer scheme applicable to pregnant and lactating women of ages 19 and above for up to 2 living children.

The scheme providesRs 4,000 to each beneficiary through her aanganwadicentre, in districts selected for the pilot project.

The scheme is tolower down maternal mortality

rates by encouraging institutional delivery and ensuring proper nutrition for the mother and child.

It is also meant to offset wage losses suffered by

women due to pregnancy.

Targeted Scheme became universal

Section 4 (b) of the National Food Security Act, states that every pregnant and lactating mother would be entitled to maternity benefit of not less than Rs 6,000.

But universal implementation was not supported by commensurate Budget allocations.

Maternity Benefit Programme

Ministry of WCDformulated this scheme asconditional cash transfer scheme.

It was formulatedin accordance with the provisions of Section 4(b) of National Food Security Act.

The Scheme provides cash incentives to

pregnant and lactating women.

For the wage loss so that the woman can take adequate rest before and after delivery;

To improve her health and nutrition during the period of pregnancy and lactation;

To breastfeed the child during the first six months

of the birth, this is very vital for the development of the child.

The cash incentive of Rs.6, 000/- is payable in three installments for the first two live births in three stages.

The cash transfer would be Aadhar linked through the individual bank/post office account etc. in DBT mode.

Cost Sharing

It is a Centrally Sponsored Scheme and the cost sharing between Centre and States is 60:40 for all the States and UTs (with legislature).

90:10 for NER and Himalayan States and 100% GoI share for UTs without legislatures.

Pregnant and Lactating Mothers, who are in regular employment with the Government or PSUs or recipient of similar benefits under any law, are not eligible.

India‘s indicators

Every third woman is undernourished and every second woman is anemic.

An undernourished woman would likely give birth to a low-weight baby.

As per the UN Millennium Development Goals Report 2014, India recorded the highest number of maternal deaths in the preceding year.

It accounted 17% of global deaths due to pregnancy- and childbirth-related complications.

Less than 40% of births in India are institutional deliveries.

However MMR has recently decline from 212 per 100,000 live births in 2007-09 to 167 per 100,000 live births in 2011-13 — but there‘s a long way to go still.

Net Neutrality In News: Telecom Regulatory Authority of India (TRAI) released consultation paper on ‗Net neutrality‘ and asked for written comments from stakeholders. Internet market with 370 million

data services subscribers has pitted large telecom

companies and internet giants against each other. In such case it is critical that India sets out clear regulations prohibiting all practices that tilt the network in favor of anyone.

What is net neutrality?

Net neutrality is the principle that Internet service providers (ISP) and governments regulating.

All data on the Internet should be treated same and should not discriminate or charge differentially.

Internet has grown into a truly global network and

has allowed people to freely express themselves.

It has enabled a level playing field on the internet.

Zero-Rating Platform

Zero-rating platforms (ZRP) offer free access to a limited number of sites through select telecom providers.

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Those who wanted unrestricted access to the entire internet would still have to pay, but the poor would have access to a few useful sites offered by them.

Facebook‘s Free Basics is an example.

The TRAI last year ruled to end the Free Basics in India.

Why are ZRPs detrimental?

It essentially creates a two-tier system with a fast

and a slow lane.

The free content will be on the slow lane where the download speed will be low.

Those with resources to promote their content will be on the paid fast lane with high download speed.

This effectively erodes the concept of level

playing field, as new comers will no longer be able to compete with the already established tech giants.

This is also detrimental from the consumer point of view as their usage pattern will be controlled by the telecom companies.

Is the Self-Regulation a Solution?

All telecom operators openly support the idea of net neutrality.

Therefore they argue that internet services should

be under a self-regulatory mechanism for adhering to core principles of neutrality.

But there is a risk of some operators indulging in discriminatory practices such as blocking of particular content or tweaking speeds for access to particular services.

Most consumers in India, being first time users, would not even realize that their network has been gamed to favor a particular content provider.

So an intervention is needed in favor of net neutrality.

What has to be done?

The TRAI has rightly pointed out that end users should be informed about such traffic management practices and the reason for which they are being deployed.

In February last year, the TRAI disallowed

differential pricing for data services.

But then it allowed differential tariffs to be offered

for data transmitted over ―closed electronic communications networks‖ leaving the door open for telecom operators to create a parallel network.

TRAI must ensure that the battle be fought through innovative products and best quality services, rather than by gaming the network to influence consumer behavior.

The regulator should also put in place a mechanism to monitor and enforce the principles of net neutrality.

The latest consultation paper gives TRAI the opportunity to redeem itself by mandating neutrality without exceptions.

Way Ahead

India has been closing the ―internet gap‖ at a rapid

rate well before Free Basics.

Funds collected by government from telecoms companies under its Universal Service Obligation Fund (USOF) and TRAI's move to raise more

through its license fee for ISP can be used to subsidies Internet access for the poor.

It can include all government sites, essential health information and so on and it can truly achieve free basics.

Safety Standard of Coal Mining In News:The Indian government has called for a nationwide safety survey for the country‘s coal mines after the deaths of 17 miners in the Rajmahal Open Cast Expansion Project in Jharkhand.

How safe is the coal mining in India?

India‘s statistics indicate coal mining has become

safer over the past few decades.

Between 1990 and 2015, the average number of serious injuries per metric tons of coal mined has fallen from 2.7 to 0.27.

The average number of fatalities has also fallen from 0.69 to 0.07.

But much of this is because of the greater mechanization of mining which massively increases output per miner.

However in Indiaopen-cast variety mining is of the reasonably safe. WhileIndia‘s safety record

in underground mining is extremely poor.

There are large numbers of illegal wildcat mines where accidents never accounted as official statistics.

Kind of Accidents

Highest fatalities and injuries occur due tocollapse of roofs and walls in the world.

Inundation fatalities have also seen an increase in the past few decades.

India also has unusually high incidents of accidents caused by the surface movement of heavy machinery – it is a clear sign of administrative failure.

International Scenario

A number of bodies, ranging from the National Human Rights Committee (NHRC) to various parliamentary panels, have recommended that coal sector look more closely at the international

practices of other nations.

China, for example, has registered some of the biggest gains in mine safety in recent times. Australia has the best safety record of any country.

Directorate General of Mines Safety

DGMS is the Regulatory agency for safety in mines

and oil-fields in India.

DGMS performs the following functions:

It periodically inspects mines to keep vigil over the status of safety.

It investigates into accidents and complaints. DGMSGrants statutory permissions for specific

mining operations. Lays down precautionary measures while working. Developing Safety Legislation and Standards. Undertaking safety campaigns, and insures

workers‘ participation in safety management.

The DGMS headquartered in Dhanbad,

Jharkhand.

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For administrative convenience, whole of country

is divided into six zones and each zone is headed by a Deputy Directors-General.

Each Zone is further sub-divided into 3 or 4

Regions.

The jurisdiction of DGMS extends to whole of India up to the limits of Territorial waters in all types of mines – coal mines, metalliferous mines, stone quarries and Oil mines (Oil well drilling, exploration and production).

Mining Techniques/Types

Mining techniques can be divided into two common excavation types: surface mining

and sub-surface (underground) mining. I. Surface mining is done by removing

(stripping) surface vegetation, dirt, and, if

necessary, layers of bedrock in order to reach buried ore deposits. Techniques of surface mining include:

Open-pit, open-cast or open cut mining are used when deposits of commercially useful minerals or rocks are found near the surface except that it refers to sand, stone and clay.

Strip mining, which consists of stripping

surface layers off to reveal ore/seams underneath;

Mountaintop removal commonly associated

with coal mining, which involves taking the top of a mountain off to reach ore deposits at depth.

Landfill mining involves sites where landfills

are excavated and processed. II. Sub-surface mining consists of digging

tunnels or shafts into the earth to reach buried ore deposits. Sub-surface mining can be classified by the type of access shafts used, the extraction method or the technique used to reach the mineral deposit.

Drift mining utilizes horizontal access

tunnels.

Slope mining uses diagonally sloping access

shafts.

Shaft mining utilizes vertical access shafts. Mining in hard and soft rock formations require different techniques.

Shrinkage stop mining, which is mining

upward, creating a sloping underground room.

Long wall mining, which is grinding a long

ore surface underground,.

Room and pillar mining, which is removing

ore from rooms while leaving pillars in place to support the roof of the room.

Public Accounts Committee: Controversies

And Challenges In News:

RBI Governor Urijit Patel has been asked to appear before the Public Account Committee (PAC) for clarity on the decision to recall Rs 500 and Rs

1,000 bank notes and its impact on the economy.

Chairman remarked that the panel could call even

Prime Minister to explain the demonetization issue if it was not satisfied with the reply of RBI Governor and top finance officials.

However contradicting Chairman‘s view committee

said in a release, "Ministers shall not be called before the Committee either to give evidence or consultation in connection with the examination of estimates of accounts.‖

Committee said, the chairperson could have an ―informal interaction with the minister‖ after the deliberations of the panel are concluded.

Public Accounts Committee

The Public Accounts Committee (PAC) constituted by the Parliament of India, for the auditing of the revenue and the expenditure of the Government of

India.

Holding the Executive to account for its use of public money is key roles of PAC.

Ithighlights on inefficiencies, wasteful expenditure, and carelessness in the implementation of policies and programs approved by Parliament.

It makes recommendations to streamline the administration for efficient, speedy and economical implementation of policy.

Its chief function is to examine the audit report of Comptroller and Auditor General (CAG) after it is laid in the Parliament.

CAG assists the committee during the course of

investigation.

The PAC is formed every year with the strength of 22 of which 15 are from LokSabha, and 7 from RajyaSabha. None of the 22 members shall be a minister in the government.

Chairman of PAC appointed by the Speaker from among the Members of LokSabha elected to the Committee.

It‘sSecretarialfunctions is looked afterbyLokSabha Secretariat.

Historical Background

The PACwas constituted in 1921 under the Montague-Chelmsford Reforms and known as ―mother of all Parliamentary Committees‖.

Initially it was under the department of

Finance. Since 1950 Committee became a Parliamentary Committee functioning under the Speaker (Parliament inter alia).

Member from the ruling party continued to be it‘s Chairman until 1967, when MinooMasani of Swatantra Party became Chairman.

Since then the PAC has always been headed by a member from the Opposition.

Functioning of the PAC

PAC cannot finalize any report without consensus; the lack of consensus has frequently seen

controversy over the role of the Chairman.

Since each PAC operates in a specific political context and faces issues unique to the legislature it serves, its major focus should be on the administration of policy rather than policy itself, to avoid political strife.

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Challenges for the PAC

Lack of technical expertise hinders the PAC‘s examinations.

Officers are sometimes able to dodge PAC summons, which has prompted suggestions that it should have the power to hand out harsher punishments.

In December, the Institute of Public Auditors of

India (IPAI) sought suomotu powers of

investigation for the PAC.

In April, the PAC had pitched for making the CAG and Auditor General (AG) accountable to Parliament.

RTE Act Reviewed In News: The NitiAayog has called for a review of the provisions of the Right To Education(RTE) Act that stipulate that children who don‘t perform well cannot be held back up to class VIII.

RTE Provisions

RTE stipulates that no child can be held back in a

grade, regardless of his performance, all the way up to the eighth grade.

This means that a child is entitled to an eighth grade diploma if he has spent eight years in schooleven he/shedoes not deserve for that.

NITI Aayog‘s Argument

In 12th Five Year Plan‘s review report NITI Aayog argued that

Purpose of this provision is to minimize the school drop-out rate, but it has proved as a detrimental effect on learning outcomes.

It takes away the pressure to learn and to compete among the students. It compromises their ability to withstand pressure and compete harder in order to excel.

Since real test of quality of education comes from student‘s achievement. This provision prevents our

education from quality test.

According to Annual Status of Education Report (ASER) 2014, enrolled in school in rural areas (children aged 6-14 years) has gone above 96 per cent in past six years. But more than 50 per cent of the fifth graders cannot read second standard

level text.

Problems with the RTE

On age criteria, the act allows only children between the ages 6-14 to get the privileges.

It leaves out 0-6 years and 14-18 year children despite India has signed the U.N. charter which states clearly that free education should be made compulsory to children of 0-18 years old.

On reservations, the act talks about 25% seat reservation in private/public unaided school for lesser privileged children.

The fees of these students will be borne by state

government but at government rate.

There is a wide gap between the real cost and the fee reimbursed by the government. There comes the question of who will bear this deficit portion?

There is no mention of overhead expenses such as uniform, books, stationery, etc of attending a private school.

On bridge courses, the act stipulates that the child should be assigned the class according to age, which is a good step because wasted years can be saved; but no bridge course is suggested that can prepare the child to adjust to the admitted class.

On School management Committee, the act

requires every government and aided school to form a School management Committee (SMC).

Parents required volunteering their time and effort for SMC. This can be a burden for the poor parents.

Right to Education Act

The Act makes education a fundamental

right (under Article 21A) of every child between the ages of 6 and 14 and specifies minimum norms in elementary schools.

The Right of Children to Free and

Compulsory Education Act or Right to Education Act (RTE), is an Act of the Parliament of India enacted in 2009,and came into force on 1 April 2010.

It puts the responsibility of ensuring enrolment, attendance and completion on

the Government.

It is the parents' responsibility to send the children to schools in the US and other countries.

It requires all private schools to reserve 25%

of seats to children (to be reimbursed by the state as part of the public-private partnership plan).

It also prohibits all unrecognized schools

from practice, and makes provisions for no donation or capitation fees and no interview of the child or parent for admission.

The Act also provides that no child shall be

held back, expelled, or required to pass a board examination until the completion of elementary education.

There is also a provision for special training

of school drop-outs to bring them up to par with students of the same age.

Education in the Indian constitution is a concurrent issue and both centre and states can legislate on the issue.

The Act lays down specific responsibilities for

the centre, state and local bodies for its implementation.

The Right to Education of persons with

disabilities until 18 years of age is laid down under a separate legislation - the Persons with Disabilities Act.

Drought Declaration in Tamil Nadu

In News: The Tamil Nadu government declared its entire district under the effect of drought.

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Cause of Drought

According to IMD records, retreating northeast monsoon in 2016 was the worst ever over the

last 140 years.

Overall, the northeast monsoon was 45 percent short of the average for this period, the state worst hit being Tamil Nadu, where rainfall for the

season was 62 percent short of normal.

Even the southwest monsoon – which was

classified as normal across India – was 19 percent deficient in Tamil Nadu.

How badly was Tamil Nadu affected?

After losing the 'kuruvai' crop due to the Cauvery row, the farmers are on the verge of losing the ‗samba‘ too due to an unprecedented drought.

Hit by shortages from both monsoons, Tamil Nadu, where the winter crop depends more on the northeast monsoon than in any other Indian state, reported a 33 percent drop in the winter sowing of rice.

Kuruvai, also known as "short-term" in Tamil, are the crops grown in Cauvery Delta of Tamil Nadu state in India. This is mostly paddy crop and dependent on abundant flow of water on the Cauvery river. Note: For Samba Rice you can refer our earlier issue.

What is Drought?

There is no universally accepted standard definition of drought because of its varying characteristics and impacts.

A drought is a period of below-average precipitation in a given region; resulting in prolonged shortages in its water supply, whether atmospheric, surface water or ground water.

Drought is a recurrent feature of climate and occurs in all climatic regimes.

Drought is a temporary aberration unlike aridity, which is a permanent feature of climate.

How Different from other Disasters?

It is difficult to determine the beginning and end of

the event.

Duration may range from months to years.

No single indicator can identify the onset and

severity and its impacts.

Spatial extent is usually greater than that for other hazards.

Impacts are difficult to quantify and they usually magnify when events continue from one season to the next.

Drought Declaration in India

The drought is assessed on availability of drinking

water, irrigation water, fodder, food grains & energy sector requirement.

The following four indicators are usually applied in

combination for drought declaration. 1. Rainfall Deficiency - A departure in rainfall from

its long-term averages is taken as the basis for drought declaration. The State Government could consider declaring a drought,

If the total rainfall received during the months of June and July is less than 50% of the average rainfall for these two months.

If the total rainfall for the entire duration of the rainy season of the state is less than 75%.

2. Area under Sowing - Drought conditions could be said to exist if along with the other indicators, the total area sown by the end of July/August is less than 50% of the total cultivable area.

3. Normalized Difference Vegetation Index (NDVI) - The National Agricultural Drought Assessment and Monitoring System (NADAMS issues NDVI. These reports provide quantitative information on

sowings, surface water spread and District / Tehsil / Taluk /Block level crop condition assessment along with spatial variation in terms of maps.

4. Moisture Adequacy Index (MAI) - It is based on a calculation of weekly water balance, is equal to the ratio of Actual Evapo Transpiration (AET) to the Potential Evapo Transpiration (PET) following a soil–water balancing approach during a cropping season.

Classifications of Drought

Meteorological drought is defined as the deficiency of precipitation from expected or normal levels over an extended period of time.

Hydrological drought is best defined as deficiencies in surface and subsurface water supplies leading to a lack of water for normal and specific needs.

Such conditions arise, even in times of average precipitation when increased usage of water diminishes the reserves.

Agricultural drought, triggered by meteorological

and hydrological droughts, occurs when soil moisture and rainfall are inadequate during the crop growing.

Drought Year by IMD

A drought year as a whole is defined by the Indian Meteorological Department (IMD) as a year in

which,

The overall rainfall deficiency is more than 10% of the Long Period Average value (LPA) and

If more than 20% of its area is affected by drought conditions, either moderate or severe or combined moderate and severe.

When the spatial coverage of drought is more than 40% it will be called as All India Severe Drought Year.

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ECONOMIC AFFAIRS

Amendment to the Chit Funds Act:

In News: The Finance Ministry is amending the Chit Funds Act to insulate small savers from Ponzi schemes floated by firms such as Saradha and Rose Valley.

What is the Need for the Amendment?

At present, there are around 30,000 registered chit fund businesses in India.

Non-registered chit fund are estimated to be 100 times the size of those registered.

Under the law, chit funds cannot accept

deposits and cannot offer other financial products or services.

But companies have come under the scanner for

luring small savers from rural areas under the garb of chit subscriptions.

Following the Rose Valley and Saradha scam related arrests the Finance Ministry moved a Cabinet note to introduce the Chit Funds (Amendment) Bill.

What is a Chit Fund?

Chit fund means transaction in which a person enters into an agreement with a specified number of persons that everyone shall subscribe a certain sum of money by way of periodical installments over a definite period.

Each such subscriber in his turn, as determined by lot or by auction or by tender is entitled to the prize amount.

They are perfectly legal if they are registered under the Chit Funds Act 1982, a central statute or various state-specific acts.

Chit funds fall in the Concurrent List and states are free to issue their own law.

How does it Work?

Let‘s assume that the 12 people come together and decide to contribute Rs 5,000/month.

This means a total of Rs 60,000 will be collected every month.

This amount is then auctioned among the 12 members after a minimum discount has been set.

Let this minimum discount be Rs 5,000. This means the maximum amount any person can get from the total Rs 60,000 collected is Rs 55,000 (Rs 60,000 - Rs 5,000).

After this discount bids are invited.

One person bids the highest discount of Rs

12,000. And hence he gets the money.

Since he has agreed on a discount of Rs 12,000, that would mean he would get Rs 48,000 (Rs 60,000 - Rs 12,000). He will also have to bear the organizer charges of around Rs 3000 (5 % of Rs 60,000).

This means he would get Rs 45,000 (Rs 48,000 - Rs 3,000) after deducting the organiser charges.

The discount amount of Rs 12,000 is basically a profit that the group has made. This is distributed equally among the members, with each one of them getting Rs 1,000.

This money that is distributed is referred to as a dividend.

The person, who got the money, will have to keep contributing Rs 5,000 every month for the remaining eleven months.

If two or more person bid the maximum discount their names will be written on chits of paper and a chit is drawn. The person, whose name is on the chit drawn, gets the money.

The winner will be opted out of the future biddings.

The return depends on discountand organizer charges.

While organizer‘s charges are fixed in advance, the maximum winning discounts depends upon the demands of bidder.

Was Saradha a Chit Fund?

Saradha Group was a consortium of over 200 private companies. It can be categorized under what SEBI calls a collective investment schemenot a chit fund.

However chit funds cannot declarer turnin

advance.

But Saradhapromiseshuge returns in the form of investment and other products and assets were in chit fund.

In realitythey had no intention to return, but to create illusion among investors.

They were using newer investor‘s money to pay off the older investors and creating an illusion of a business as well.

As long as money brought in by new investor (assets) is greater than the money that has to be paid to earlier investors (liability), these schemes keep running.

As the liability surpassed the assets in Sardha case it had to collapse as there were no real assets created or refinancing mechanisms.

The Proposed Amendments

Definitions of the Act are being tightened to

replace chits with ―fraternity fund‖.

The new ―fraternity fund‖ nomenclature will

distinguish its working from prize chits or marketing schemes that are barred under the Prize Chits and Money Circulation Schemes (Banning) Act.

This will signify its inherent nature of being a borrowing and saving scheme, and not one that just takes deposits.

Technology - Currently the act requires at least two subscribers to be physically present at the auction.

The bill proposes to allow the two minimum required subscribers at any chit auction to join through ―duly recorded video presence‖.

It is also changing the 1982 law to allow e-

auction of chit funds.

Currently enforcement remains the primary responsibility of the state government. The draft

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Bill gives them more freedom to regulate such funds.

At present, all chits with aggregate amount Rs 100 and below are exempted from provisions and penalties of the Act.

The bill allows state governments to prescribe this ceiling and to increase it from time to time.

A new clause is being introduced to protect companies or individuals that act as foreman of

the chit fund.

Promoter would be allowed a right to goods, securities or any other assets of the borrower until the debt is repaid.

The Bill, however, does not address a key concern to provide insurance coverage in case of default

by the foreman so that the interest of the investors is protected.

Collective Investment Scheme (CIS)

It is an investment scheme wherein several

individuals come together to pool their money for investing in a particular asset(s) and for sharing the returns arising from that investment as per the agreement reached between them prior to pooling in the money.

The term has broader connotations and

includes even mutual funds.

In India, the definition of CIS excludes

mutual funds or unit trust schemes etc. and is given a strict definition in Section 11AA of the SEBI Act, 1992.

CISs are regulated by the securities market regulator – SEBI.

According to SEBI Act, CIS must satisfies the

following conditions:

the contributions are pooled and utilized

solely for the purposes of the scheme or arrangement;

the contributions are made with a view to

receive profits, income, produce or property, whether movable or immovable, from such scheme or arrangement;

the property is managed on behalf of the

investors;

The investors do not have day to day control over the management and operation of the scheme of arrangement.

Relaxation In Angel Investment Rules In News: To give a fillip to start-up funding, the Securities and Exchange Board of India (SEBI) has relaxed its rules for investment by angel funds, allowing them to invest in up to five-year old entities.

Besides, the lock-in requirement has been reduced

from three years to one year for angel funds and their minimum investment threshold has been slashed from Rs.50 lakh to Rs.25 lakh.

Angel Fund

Angel fund, a sub-category of Alternative Investment Funds(AIF).

It encourages entrepreneurship in the country by financing small start-ups as it is difficult to them obtain capital from traditional sources of finance.

An angel investor is an affluent individual who provides capital for a business start-up, usually in exchange for ownership equity or convertible debt.

The capital angel investors provide may be a one-time investment to help the business propel and carry the company through its difficult early stages.

Essentially, angel investors are the opposite of

venture capitalists.

Example of a successful Angel Investor – Mike Markkula is an American entrepreneur who was an angel investor and second CEO of Apple Computer, Inc., providing early critical funding and managerial support.

Latest SEBI Circular

Definition of start-up for angel funds investments will be similar to one of Department of Industrial Policy & Promotion (DIPP), as given in their start-up policy.

Accordingly, angel funds can invest in start-ups incorporated within five years, which was earlier three years.

To diversify risks, SEBI has also allowed angel funds to make overseas investments, up to 25% of their investible corpus, in line with other AIFs.

Investment limit has brought down to Rs.25 lakh

from Rs.50 lakh to help small start-up.

Minimum tenure of angel funds‘ investments in start-ups has also been lowered from three years to one year.

Upper limit for the number of angel investors in a scheme has been increased from 49 to 200.

Narayana Murthy Committee

SEBI, in March 2015 constituted a committee of experts called Alternative Investment Policy Advisory Committee under the chairmanship of N.R.Narayana Murthy.

Considering the recommendations in the report, the SEBI board, in November, had approved amendments to AIF regulations with respect to angel funds.

The amendments are part of SEBI‘s larger efforts to encourage young entrepreneurship in the country, and provide founders with access to

private and eventually public funds.

Alternative Investment Funds (AIF)

Anything alternate to traditional form of investments (such as stocks, bonds etc.,) gets categorized as alternative investments.

Alternative Investments Funds come under the SEBI (Alternative Investment Fund) Regulations 2012.

Some of the alternative investments include the commodities, private equity, hedge funds, venture capital, and financial derivatives as well as assets such as paintings, other arts, wines, antiques coins and stamps.

The gains in these assets would be called

capital gains and provisions accordingly would apply to them.

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Most of the alternative investment funds raise capital from High Net worth Investors (HNIs) with a view to investing in accordance with a defined investment policy for the benefit of those investors.

SEBI has allowed AFIs to be operated under

only three categories. Category I: These will get incentive from the ruling government. This includes Social venture funds, Infrastructure funds, Venture Capital funds, SME funds etc. Category II: These are not given any special incentives or concessions and can invest anywhere without raising any debt.

Private Equity funds, Debt funds etc. are included in this category.

Category III: They operate to make short-term gains and come without any concessions. Hedge Funds are included here.

Investment into the Alternative Investment Funds is open to both Indian and foreign investors.

It has been announced in Budget 2016 that the foreign investments will be allowed in alternative investment funds (AIFs).

Red Flag Against Merchant Discount Rate In News: The All India Petroleum Dealers

Association recently announced that petrol pumps

across the country would not accept credit or debit cards in protest against the Merchant Discount Rate, the burden of which was placed entirely on the dealers. The association later

deferred this move till January 13 after the transaction fees were waived till that date.

What is Merchant Discount Rate?

The rate charged to a merchant by a bank for providing debit and credit card services.

The merchant must set up this service with a bank, and agree to the rate prior to accepting debit and credit cards as payment.

At the moment the charges are one per cent on all

credit card transactions and 0.25-1 per cent on all debit card transactions.

Why the dealers protest?

After the demonetization exercise began, the government had waived the service tax on the MDR surcharge from December 8 for card-based

payments up to Rs. 2,000 and got banks to waive the MDR charges on debit cards till December 31, 2016.

Banks are expecting some revenue in return for facilitating transactions through point of sale (PoS) devices.

Fuel dealers raised a red flag on the decision by

certain banks to levy the MDR of up to one

Last February the Cabinet had given the nod for rationalizing MDR charges.

An expert panel to recommend legislative and other changes was constituted in August and it

mooted greater transparency in fees for digital payments.

Panel also recommended a mechanism for protection for private data of consumers

It also advised to create a new payments regulator.

INTERNATIONAL AFFAIRS

PravasiBharatiya Divas When is PravasiBharthiya Divas?

January 9 commemorates the day Mahatma Gandhi returned India from South Africa in 1915, after honing satyagraha, or peaceful protest, against the colonial and racist regime in South Africa.

In 2002 government decided to celebrate it

annually by holding events including bestowing awards on prominent members of the Indian diaspora.

The 15th edition of Pravasi Divas 2016 was held in Bengaluru.

Dr. António Costa, Prime Minister of the Republic of Portugal was the Chief Guest.

Mr. Michael AshwinSatyandreAdhin (36 years), Vice President of the Republic of Suriname was the Special Guest at the Youth PravasiBharatiya Divas (PBD) to be held in Bengaluru.

―Diaspora‖ is a phrase which brackets people of Indian origin who have emigrated since the 19th century to all corners of the world.

Categorization of Diaspora

It falls into two categories: pre- and post-Independence.

In post-independenceDiaspora group can be further subdivided into migration to the West, including Australia and New Zealand and workers in the West Asian countries.

They can be categorized in three broad categories - NRIs, PIOs and OCIs.

A Non-Resident Indian (NRI) is a citizen of India who has temporarily immigrated to another

country for six months.

PIOs and OCI card holders are not citizens but people who want to stay connected and involved with India more closely.

The PIO card was first implemented in 2002 as a benefit to foreign nationals who could establish at least a third generation tie to Indian origin.

The OCI card was implemented in 2005, carried more benefits than the PIO card, and is valid for

the holder‘s lifetime.

In 2015, the PIO scheme was withdrawn by the Government of India and was merged with the OCI.

Benefits to PIO

A PIO card holder doesn‘t need a visa to visit India.

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The holder also doesn‘t require a student or employment visa to acquire employment or academic opportunities in India.

The holder was exempted from registering at the foreigner regional registration office (FRRO) during the duration of stay in India.

The holder also enjoys parity with NRIs in concern to economic, financial and educational matters like property transfer or acquisition,

holding, disposal, investment, admission of children in educational institutions under general category quota for NRIs.

Separate immigration counters are provided at all International airports.

Additional Benefits to OCI

Apart from the benefits of PIO, the OCI can attain Indian citizenship and then live in India for a period of one year including short breaks, if they remain an OCI for 5 years.

An OCI cards holder can open special bank accounts in India just like NRIs and make investments.

They can also buy non-farm property and exercise ownership rights.

They apply for a driver‘s license and PAN card.

They get same economic, financial and educational

benefits like NRIs and they can also adopt children.

Both OCI and PIO cannot vote, hold a government job or purchase agricultural.

They also cannot run for public office or travel to restricted areas without permission.

Drawbacks of PIO card:

It does not provide voting rights to the holder.

Prior permission is needed to undertake mountaineering expeditions or any such related research work in protected areas.

Restrictions for OCI card holders An OCI card holder cannot vote, hold a

government job or purchase agricultural or farm land. The person can also not run for public office or travel to restricted areas without permission.

Importance of Indian Diaspora

The Indian Diaspora‘s remittances in the past have

been of vital assistance to Indian foreign exchange

reserves.

But the challenge now is to go to the next stage — of harnessing not just their financial but also their intellectual capital.

What was the role of Indian Diaspora in the past?

India Diaspora that left India as indentured labour in the 19th century particularly for the Caribbean.

The expulsion of Indians from Uganda by Idi Amin in the 1970s tested Indian diplomacy and its ability to protect the Diaspora.

India passed the buck to Britain as the guarantor of their safety as most held British documents.

In Mauritius, with Indians constituting the largest group has seen the community consolidate political power, with strategic support from Indian

governments.

India was unable to support 49 per cent of Indo-Fijians in their desire for a multi-ethnic government when, in 1987, Lt. Col. S. Rabuka overthrew the elected government.

Their numbers have shrunk since then.

India‘s policy of non-interference in internal affairshas been counterproductive at this front.

India has been built on the base by boosting

investment and business links and better connectivity.

India‘s West Asia Policy In News:In November, India held its first joint commission meeting with the Palestinian Authority

and this week will send a representative to a Paris meeting on reviving the West Asia peace processshowing renewed interest in Palestine and Syria.

What are the reasons? 1. The transformation of relations between India and

the UAE, with Saudi Arabia and Qatar a few steps behind, is beginning to shape a ―greater West

Asia‖ policy. India is seeing an opportunity to reduce Pakistan‘s

standing in a part of the world from which it has long received blind support.

2. Modi is personally a source of suspicion across much of the Arab and Muslim world.

New Delhi‘s is increasingly hard to find Arab interlocutors it is comfortable with.

There are few functional examples of the secular, if largely undemocratic, Arab political parties or movements that India has traditionally preferred.

3. India is likely to further expand its relationship

with Israel. Already the larger importer of Israeli arms in the

world, India now has a security relationship that extends to the most sensitive defense areas like nuclear weapons technology and doctrine.

4. India‘s additional interest in the relationship is water.

Israel is the acknowledged world leader in this area and the PM wants this to be a new pillar in the relationship.

Does the renewed Palestine interest help India?

New Delhi knows that as it becomes closer to Tel Aviv there is an inevitable blowback in the Arab world.

Showing renewed interest in Palestine is a useful means to help counter this.

New Delhi has used support for Palestinian nationalism as a foil to counter criticism of its shift to Tel Aviv for decades.

Interestingly, in the joint commission meeting the Palestinians said they were pleased to talk to India because of its presumed influence on the Israelis.

Will we involve in West Asian peace process

New Delhi has no interest in getting directly

involved in the West Asian peace process. It has neither the means and interest nor the diplomatic heft to do so.

And arguably there could be no worse time to do so than now — when polls show that support for a

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two-nation solution is at its lowest point among both Israelis and Palestinians.

That the cause is being suddenly picked up by the lamest of lame duck governments — Ex. The outgoing Barack Obama — is a sign what the international community actually thinks about its prospects.

It is not diluting India's commitment towards the Palestinian cause even as it expanding ties with Israel including possible PM-level visit this year to

Tel Aviv.

Capacity building of Palestinian youth is a priority for India besides economic assistance.

Observations in certain quarters on India diluting its position on Palestine is a misnomer."

But it not just Palestine that India wants to assist.

India is also eyeing major reconstruction projects and food sectors in Syria as the embattled country attempts to return to normalcy.

Delhi will host a series of Syrian ministers and senior officials in the coming months to discuss reconstruction proposals.

"Delhi wants to stay ahead of the curve," noted an official.

"What it is doing with Syria is to stay engaged so

that when reconstruction opportunities open up at the end of conflict, it is in position to take advantage and kick-start development initiatives."

Conclusion:

India has other problems. One of them is its

refusal to deal with Hamas, the Palestinian arm of the Muslim Brotherhood, because of its dislike for non-secular Islamic groups. But to talk Palestine without Hamas is like speaking a language without vowels.

None of this will matter for now. New Delhi‘s interest in Palestine is about issues other than Palestine itself.

As is true for much of the world. India‘s proposal to build an infotech park in Gaza may be the most important and tangible contribution it can make to the Palestinians.

Indian Defense – Import/Export

In News: 1. Between 2008 and 2015, India purchased defense

equipment worth USD 34 billion, which is a distant second after Saudi Arabia‘s USD 93.5 billion, said the report ‗Conventional Arms Transfers to Developing Nations 2008-2015‘ released by Congressional Research Service

(CRS). 2. Indian govt. has planned to export weapon systems

worth over $2 billion by the end of 2019. If it happens, it will be one of the biggest push to local defense industry as a part of ‗Make in India‘ campaign.

India 2ndLargest Purchaser

In its report, CRS highlights recent Indian efforts to diversify its procurement of arms, of which the US has been a major beneficiary.

It is notable that India, while the principal Russian arms customer, during recent years has sought

to diversify its weapons supplier base.

In 2008, India purchased six C130J cargo aircraft from the United States.

US also agreed to sell India 10 C-17 Globemaster III aircraft.

India also bought from Israel, France, UK and

Italy.

This pattern indicates that Russia will likely face strong new competition from other major weapons suppliers for the India arms market.

With India reducing its reliance on Russia on arms purchase, Moscow is looking for other options, the CRS added.

India‘sExport Target

Defense Minister said that India was keen to sell weapons systems to friendly countries and Vietnam, UAE and Mauritius figured in this list.

An independent export promotion body will help the Indian industry to achieve the target of two billion dollars by 2019.The government will initially hold the export panel‘s hand and later it will be self-sustaining body.

He also added that the present regime was

determined to give a fillip to promote ‗Make in India‘ products through exports and managed to

touch the Rs 2,060 crore mark for the current fiscal year from Rs 1,100 crore two years back.

Replying to another question if India was considering supplying arms to Afghanistan, Parrikar said if is a sensitive issue but added ―Afghanistan is a friend.‖

Meanwhile, on setting up another production line for single engine fighter jets, Parrikar said a decision will be taken once the Strategic Partnership clause for producing weapons is finalized.

This partnership entails selecting a foreign equipment manufacturer who will forge a joint venture with an Indian company to build strategic systems like fighter jets and warships.

H1-B Visa Bill – Explained

In News:

The 'Protect and Grow American Jobs Act' makes important changes to the eligibility requirements for H1-B Visa exemptions were re-introduced yesterday by two US Congressmen.

The legislation, they argued, will help crack down

on abuse and ensure that these jobs remain available for the best and brightest talent from around the world.

The bill comes after a number of companies have come under fire for abusing the H1B Visa programme to replace American workers with foreign workers.

H1-B Visa

A citizen of a foreign country who wishes to enter

the United States must have either of these two visa:

1. Non-immigrant visa for temporary stay,

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2. Immigrant visa for permanent residence.

Temporary worker visas are for persons who want

to enter the US for employment lasting a fixed period of time, and are not considered permanent or indefinite.

The US H-1B visa is a non-immigrant visa that allows US companies to employ graduate level workers in specialty occupations.

It requires theoretical or technical expertise in specialized fields for a certain period of time.

H1-B Visa Program Bill

The Bill encourages companies to recruit American workers.

It explicitly prohibits replacement of American

workers by H1-B or L-1 visa holders.

The Bill seeks to increase the minimum salary of H1-B visa holders from $60,000 to $1, 00,000 per annum.

High salary willremove the profit incentive and ensuring these positions remain available for companies who truly needed them.

Currently, firms need not go through extensive paperwork if the H1-B employee has an equivalent of a Master‘s degree.

The Bill aims todo away with the Master‘s degree exemption. Because, they are easily obtained by foreign workers.

It also prohibits companies from hiring H1-B employees if they employ more than 50 people and more than 50 per cent of their employees are H1-B and L-1 visa holders.

Effect on Indian Companies

If the reform goes through, the resultant increase in employee wages will be a cost worry for the IT

industry.

For the Indian firms, the challenge would be more on increased local hiring.

Such wage hikes may hit their margins initially but going forward they will have to rethink over more local hiring.

Apart from the visa curbs, the U.S. had also recently hiked the visa fee for certain categories of the H1-B and L1 visas which has had an impact on Indian companies.

Effect on American Economy

Indians with H1B and L-1 visas contribute USD 1

billion annually to the US.

Indian IT industry contributes to about 4 lakh

direct and indirect jobs in the US, contributing for about USD 5 billion in taxes annually.

People working with foreign IT companies in the US holding H1B visas are adding value to American companies.

With the Industry seeing a shift from traditional services to digital technology delivery, they will need more on-the-site deployment.

Portuguese Prime Minister‘s Visit

Historical Background

Prior to Indian independence Portugal's relations with the India were derived by UK, set within the

framework of The Anglo-Portuguese Treaty of 1373.

This treaty established "perpetual friendships,

unions and alliances" between the two litoral nations.

This treaty led to amicable relations with regard to

trade and transport between British and Portuguese colonies in the Indian sub-continent.

There wasPadroado treaty with the Holy See, which had traditionally given the Archbishop of Goa 'patriarchal' authority over other parts of India.

After independence Portuguese were willing to terminate the old Padroado treaty.

Portugal held a handful of territories on the Indian

subcontinent—the districts of Goa, Daman and

Diu and Dadra and Nagar Haveli—collectively known as the Estado Da India .

Portugal's steadfast refusal to cede these territories

to India caused relations to decline.

By 1955, the two nations had cut off diplomatic

relations, triggering a crisis which led to the Indian annexation of Portuguese India in 1961.

Portugal refused to recognize Indian sovereignty over the annexed territories. until 1974.

Following the Carnation Revolution in 1974, the

new government in Lisbon recognized Indian sovereignty and restored diplomatic relations.

Why India needs Portugal?

Since Brexit, India has lost its traditional pathway to Europe.

Until now Indian companies was investing and

producing in Great Britain and then, export it to the rest of Europe.

Now, India needs another partner country in Europe to take advantage of the common market.

India has strong economic interests in the Netherlands, which continues to be one of the top destinations for outward Indian FDI.

However, in the volatile global macroeconomic climate, India should look to hedge its investments and seek another country in Europe that can act as a gateway.

This is exactly where Portugal comes into the equation. Portugal can be one of the contenders

to fill the void left by Britain.

Presently however, India‘s business presence in Portugal is quite minimal.

There are only a handful of companies in the

hospitality industry, auto parts, renewable energy, and information technology (IT).

Why Portugal can be an attractive destination?

Portugal offers a good business environment, well-developed physical and IT infrastructure and a favorable climate for both short term and long-term investment.

It takes around 46 minutes to set up a business there compared to 89 days in India.

Its strategic location can make it a promising

gateway to the European common market.

Importantly, Portugal also has low labor and operational costs in Western Europe.

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Portugal retains close ties with Brazil, Mozambique, Macau and Angola and can serve as ‗gateway‘ to other Portuguese-speaking markets.

In the recent past, the government of Portugal has taken special measures to the simplification of tax procedures for foreign investors, improving logistics and warehousing facilities, simplification

of labour laws, and the development of infrastructure.

It has also set up the AICEP—an agency for

investment and foreign trade.

It has also launched the Golden Visa residence programme, which is a simple and fast track residence permit programme designed to attract foreign investment into the country.

ENVIRONMENTAL AFFAIRS

Time to Rethink Captive Breeding Programme

Who is ‗Pan Pan‘?

Pan Pan, believed to be the world‘s oldest male giant panda, died aged 31 at the China Conservation and Research Center for Giant Panda in Sichuan Province.

He fathered over 30 cubs. Considering there are fewer than 500 in captivity where panda breeding

is a minor miracle, Pan Pan‘s contribution cannot be overstated.

IUCN Status of Panda

IUCN noted a decadal rise of 17% in the wild population and revised the status of the giant panda from threatened to vulnerable.

Captive Breeding

Its purpose is to build up a stock and reintroduce individuals into the wild. It‘s not easy.

There is no foolproof training protocol to make the young ones fit to survive in the wild.

The bigger the species, the smaller the chances of successful reintroduction due to their progressively complex skill requirements.

Captive breeding, therefore, is best employed as an insurance against a potential crisis that may hit a species that is already vulnerable in the wild.

In India, it became necessary when residual

painkiller diclofenac (in cattle carcass) killed 99.9% of white-rumped vultures by the early 2000s.

The bottom line is captive breeding and reintroduction programmes are pointless without securing the natural habitat.

Take gharials, for example. Their eggs are hatched in breeding centres and thousands of young ones have been released in the Chambal. But the population remains below 1,200.

Sand mining, water shortage and overfishing has reduced the breed-and-release programme into a glorified replenishment tool.

The panda breeding programme needs a reality check. Compared to the 17% gain in the wild population, the captive population more than doubled in the last decade.

The most remarkable finding of the latest giant

panda census is that the area it inhabits

increased by nearly 12% in the last decade. That‘s where they need help.

Why the obsession in saving only certain species?

In India, the tiger continues to hog nearly all conservation funds, while species far more endangered cry for attention.

The argument that conserving apex species

involves an umbrella approach helping all else that come under it, does not hold good unless all

ecosystems get ticked.

Nobody helped Great Indian Bustards in the name of saving the apex species of the semi-arid grassland where wolves themselves became near extinct.

Conclusion:

In these testing times, conservation cannot afford to play favorites. An umbrella species, the giant panda‘s natural habitat is also home to about 2,300 mammal, bird, and amphibian species.

Each of them is a reason for securing all of them in the name of saving the giant panda or not.

Striped Hyenas bred at Visakhapatnam Zoo

Indira Gandhi Zoological Park in Visakhapatnam is the third zoo in the country to have successfully recorded captive breeding of hyenas.

The striped hyena is a species of hyaena native to North and East Africa, the Middle East, the Caucasus, Central Asia and the Indian subcontinent.

It is listed by the IUCN as near-threatened.

Though primarily a scavenger, large specimens have been known to kill their own prey and striped hyenas is the smallest of the true hyenas.

The striped hyena is a monogamous animal i.e

the state of having only one mate at any one time and it is nocturnal i.e emerges only in darkness.

LaughingThrushes in Western Ghats:

The avian species Montanelaughingthrushes are found only in the peaks of Western Ghats, which are popularly called as Sky islands.

BirdLife International, an organization which assesses the conservation status of birds globally, has newly identified two sub-species BanasuraLaughingthrushes (Endangered) and Travancore laughingthrushes (Vulnerable).

The two original species of the family were Nilgirilaughingthrushes (Endangered) and Palanilaughingthrushes (Near threatened).

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New species of Ginger:

The Botanical Survey of India has found a new species of Zingiber (Commonly referred as Ginger) from the Andaman and Nicobar Islands.

The species Zingiberpseudosquarrosum belongs to genus Zingiber and it possess ethno-medicinal uses such as treating abdominal pain and anti-helminthic troubles.

Polar Bear Recovery Plan:

The U.S. Fish and Wildlife Service is the agency that oversees polar bears and various main threats facing by the polar bears.

The agency has released the final polar bear recovery plan, which includes provisions for tertiary threats, such as oil spills and excessive hunting.

The United States Fish and Wildlife Service (USFWS) is an agency of federal government of U.S. which is dedicated to the management of fish, wildlife, and natural habitats.

The agency had no jurisdiction over greenhouse gas emissions linked to the warming.

World Record in Carbon Storing

The Scandinavian bay in Denmark has the world record in carbon storing due to the presence of potential sea grasses. The carbon stored by them

is called Blue carbon.

Why Denmark bay? – Sea grasses in this bay are more protected and productive. So when the plants die, they remain in the sea and carbon stored by it remains in the meadow itself in the form of sediments.

Sea grass is not seaweed, but a plant with flowers, leaves and roots. Denmark eelgrass – Zostera Marina is the most common sea grass.

It needs light and grows only in shallow water.

Importance of Sea grass 1. Sea grasses are home for many small and large

animals including commercial species such as Shrimps, cod and flatfish.

2. Sea grasses function as particle filters, keeping the water clean.

Reclamation of Saline lands in

Maharashtra

The World Bank will fund the reclamation of saline lands in Vidharba region under the ―Climate Resilient Agriculture‖ Project.

National Initiative on Climate Resilient Agriculture

was launched by Indian Council of Agricultural Research (ICAR) in 2011 to enhance the resilience of agriculture to climate change.

Under this project, efforts would be made revive the natural drainage systems since the topography of the region does not allow the rain water to get drained easily.

The Majority of the region is in cotton producing districts of Maharashtra and in close proximity to Purna River, which is a tributary of Godavari.

TECHNOLOGY AFFAIRS

Age of Moon

The new research on the minerals brought by

the "Apollo Mission‖ to the Moon reveals the new age of Moon. The minerals are called as ―Zircons‖ and it is the best mineral in preserving the geological history of moon.

The research found that the moon formed only

about 60 million years after the birth of solar system.

The moon was formed by a violent, head-on collision between the early Earth and a planetary embryo called ―Theia‖.

The Earth‘s collision with Theia created a liquefied moon, which then solidified and most of the moon‘s surface was covered with magma right after its formation.

Sonic Boom:

It is the sound associated with the shock wave

created by an object travelling through the air faster than the speed of sound.

When an aircraft passes through the air, it creates pressure waves that travel at the speed of sound. If the plane is traveling slower than the speed of

sound, then these waves can propagate ahead of the plane.

If the plane flies faster than the speed of sound, all of these waves that would have normally propagated ahead of the plane are combined together and enormous amounts of sound energy is generated, sounding much like an explosion.

It may increase the incidence of vibroacoustic disease i.e a thickening of heart tissue.

Highest altitude telescope:

China has started the construction of the world‘s highest altitude gravitational wave telescope – Ngari No 1, in Tibet to detect primordial gravitational waves, which have never been detected.

Tibet is considered as the best location in the northern hemisphere to detect the G-waves due to thin air and its dry climate, which reduces the influences of moisture on the primordial sub millimeter G-waves.

The primordial gravitational waves were created

about 13.8 billion years ago by the Big Bang explosion.

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Gravitational waves are ripples in the space-time caused by the disruptive waves from the massive accelerating objects such as neutron stars or black holes orbiting each other.

The ripples travel at the speed of light through the universe, carrying information about its origin and nature of gravity.

NASA Mission to Study Black Holes

Black holes can heat surrounding gases to more than a million degrees. The high-energy X-ray

radiation from this gas can be polarized and vibrating in a particular direction.

The mission named The Imaging X-ray Polarimetry Explorer (IXPE) with three space telescopes will measure the polarisation of Cosmic X-rays of surrounding gases.

The mission set for launch in 2020. For the first time it allows astronomers to explore astronomical objects such as stellar and supermassive black holes, neutron stars and pulsars.

This will allow scientists to find the causes for rise of black holes.

BIO/HEALTH AFFAIRS

Three New Additions toThe Vaccination

Basket In News: The basket of vaccines in India‘s Universal Immunization Programme (UIP) was static for many years — until the entry of the Pentavalent vaccine [Diphtheria, Tetanus, Pertussis, Hepatitis B, and Haemophilus B (HIB)], and Japanese Encephalitis vaccines.

Two new vaccines — Measles-Rubella (MR) and Pneumococcal Conjugate — are lined up for launch in January and February respectively, and a third, Rotavirus Vaccine, will become part of the UIP in 5 states — from February.

Measles-Rubella

More commonly known as German measles, Congenital Rubella Syndrome, or CRS, is believed to affect about 25,000 children born in India every year.

Symptoms can include cataracts and deafness,

and the disease can also affect the heart and the brain.

10-30% of adolescent females and 12-30% of women in the reproductive age-group are susceptible to rubella infection in India.

After its formal launch it will be introduced in Goa,

Karnataka, Lakshadweep, Puducherry and Tamil Nadu.

The Health Ministry will run a campaign among children aged 9 months to 15 years before making the vaccine a part of routine immunization.

The monovalent measles vaccine is already part of the UIP basket of 10 vaccines; which will be discontinued once MR is introduced.

Pneumococcal Conjugate Vaccine (PCV)

PCV is a mix of several bacteria of the pneumococcal family, which are known to cause

pneumonia — hence ‗conjugate‘ in the name.

Pneumonia caused by the pneumococcus bacteria is supposed to be the most common.

Pneumonia and diarrhea have long been responsible for the most child deaths in India —

pneumonia is responsible for about 20% of under-5 child mortality in India, of which half are of pneumococcal origin.

According to WHO report 5 countries (India, China, Pakistan, Bangladesh, Indonesia and Nigeria) contribute more than half of all new pneumonia cases annually.

It will be introduce inHimachal Pradesh, UP and Bihar.

Rotavirus Vaccine

Rotavirus infections are the most common cause

of diarrhea in children. The rotavirus vaccine first became a part of UIP in April 2016.

An estimated 1 lakh child dies every year of the disease.

The vaccine is currently being administered in HP, Haryana, Odisha and AP.

Now it will be a part of UIP also in Assam, Tripura, Rajasthan, Madhya Pradesh and Tamil Nadu.

Rift Valley Fever:

Rift Valley fever (RVF) is a viral zoonosis that

primarily affects animals but can also infect humans.

RVF virus is a member of the Phlebovirus genus. The virus was first identified in 1931 in the Rift Valley of Kenya.

The incubation period for RVF varies from 2 to 6 days.

The majority of human infections results from contact with the blood or organs of infected

animals and from the bites of infected mosquitoes

Till date, no human-to-human transmission of RVF virus has been documented.

Elizabethkingia:

Elizabethkingia is a genus of bacteria commonly found in the environment worldwide.

It has been detected in soil, river water and reservoirs.

It has caused meningitis in newborn babies and

meningitis or bloodstream and respiratory infections in people with weakened immune systems.

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Health Insurance Schemes:

The government of Karnataka has initiated various health insurance schemes to provide ‖Tertiary Health Care‖ for treatment of catastrophic illness through an identified network of super-speciality hospitals.

Rajiv ArogyaBhagya Scheme - The scheme is specially designed for Above Poverty Line (APL).

JyotiSanjeevani Scheme - The scheme is to provide health services for the Government Employees.

Vajpayee Arogyashree Scheme - This Scheme is to provide Health Protection to families living below Poverty line.

Mayoro Disease:

Mayaro virus disease is zoonotic pathogen endemic to certain humid forests of tropical South America.

It is considered as distant relative of Chikungunya and spread by Aedes Mosquitoes.

It is characterized by fever, aches and pains and a rash.

It recently had its appearance in Haiti and it was

given the title of ―The next Zika‖.

Leishmaniasis

Historically the disease is known as ―Aleppo boil‖. Recently it becomes a problem among Syrian refugees.

It is caused by protozoan parasites of the genus

Leishmania and is spread by the bite of the sand fly.

The disease will result in skin ulcerations and then presents with fever, low red blood cells, and enlarged spleen and liver.

It may occasionally spread to internal organs with fatal consequences.

New technique to Detect Jaundice

Jaundice, also known as icterus, is a yellowish or greenish pigmentation of the skin and whites of the eyes due to high Bilirubin levels.

Levels of Bilirubin in blood are normally below 1.0 mg/dL and levels over 2-3 mg/dL typically results in jaundice.

Bilirubin is a yellow compound that occurs during the body's clearance of waste products that arise from the destruction of aged red blood cells.

High Bilirubin levels may be due to excess red

blood cell breakdown, new born jaundice, thyroid problems, liver diseases such as cirrhosis or

hepatitis or blockage of the bile duct.

IIT-Guwahati researchers devised a new technique that uses thumb imprint to detect Bilrubin levels and thereby diagnose Jaundice.

Oropouche Fever:

It is caused by the Oropouche virus and

transmitted in humans primarily through the bite

of Culex Mosquitoes.

No direct transmission of the virus from human to human has been documented.

The incubation period of this disease varies from 4-8 days.

Symptoms include the sudden onset of high fever, headache, joint pain, and vomiting.

The outbreaks are reported in the American Countries which includes Brazil, Ecuador, Panama, Peru, and Trinidad and Tobago.

MISCELLANEOUS

Google‘s Digital Unlocked& My Business Website In News: Aiming to give a technological edge to the small and medium businesses (SMBs) in India, Google announced two initiatives 'Digital Unlocked' and 'My Business Website'.

‗Digital Unlocked‘

Google, along with the FICCI, has developed a

training program called 'Digital Unlocked', to get online and start using the power of the internet.

The programme would be certified by Google, FICCI and Indian School of Business.

It would offer online and mobile courses to SMBs across the country.

My Business Website

Google also started another initiative 'My Business Website'.

It is a free tool, which would help to develop a website in 10 minutes.

It will first start in India and then launched worldwide.

'My Business Website' would be available in

English, in other Indian language also

History Of Ten Sikh Gurus In News: Recently, PrakashParva – The holy day commemorating the 350th birth anniversary of Guru Gobind Singh was celebrated.

Sikh Gurus

The era of the ten gurus of Sikhism spans from the birth of Nanak Dev in 1469, through the life of Guru Gobind Singh.

At the time of Guru Gobind Singh‘s death in 1708, he passed the title of Guru to the Sikh scripture, Guru Granth.

1. Guru Nanak Dev - Guru from 1469 to 1539

Guru Nanak Dev, first of the 10 gurus, founded the Sikh faith, introducing the concept of one God.

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He started the institution of Guru KaLangar. Langar is the term in the Sikh religion refers to the common kitchen where food is served to everyone without any discrimination.

He emphasized the equality of women and rejected the path of renunciation and he rejected the authority of the Vedas.

He was the contemporary of Mughal emperor - Babur.

2. Guru AngadDev - Guru from 1539 to 1552

Guru AngadDev, second of the 10 gurus, invented and introduced the Gurmukhi (written form of Punjabi) script.

He compiled the writings of Nanak Dev in Guru Granth Sahib in Gurmukhi Script.

Popularized and expanded the institution of Guru kaLangar which was started by Guru Nanak Dev.

3. Guru Amardas Sahib - Guru from 1552 to 1574

Guru Amardas introduced the Anand Karaj marriage ceremony for the Sikhs, replacing the Hindu form.

He established Manji&Piri system of religious missions for men and women respectively.

He strengthened the tradition of Guru KaLangar.

He also completely abolished amongst the Sikhs, the custom of Sati and purdah system.

He was the contemporary of Mughal emperor - Akbar.

4. Guru Ram Das - Guru from 1574 to 1581

Guru Ram Das, fourth of the 10 gurus, founded the city of Amritsar.

He started the construction of the famous Golden Temple at Amritsar, the holy city of the Sikhs.

He requested the Muslim Sufi, Mian Mir to lay the cornerstone of the Harmandir Sahib.

5. Guru ArjanDev - Guru from 1581 to 1606

He compiled the AdiGranth, the scriptures of the Sikhs.

He completed construction of Sri Darbar Sahib

also known as Golden Temple in Amritsar.

He founded the town of Tarn Taran Sahib near Goindwal Sahib.

He became the first great martyr in Sikh

history when Emperor Jahangir ordered his execution. Thus, he was hailed as Shaheedan-de-Sartaj (The crown of martyrs).

6. Guru HarGobind Sahib - Guru from 1606 to 1644

He was the son of Guru ArjanDev and was known as a "soldier saint‖.

He organized a small army and became the first Guru to take up arms to defend the faith.

He waged wars against Mughal rulers Jahangir and Shah Jahan.

7. Guru HarRai Sahib - Guru from 1644 to 1661

Though he was a man of peace, he never

disbanded the armed sikh warriors who were earlier maintained by Guru HarGobind.

He gave shelter to DaraShikoh, the eldest son of Mughal Ruler Shah Jahan, who was later persecuted by Aurangazeb.

He cautiously avoided conflict with Emperor Aurangzeb and devoted his efforts to missionary work.

8. Guru HarKrishan Sahib - Guru from 1661 to 1664

Guru HarKrishan was the youngest of the Gurus. He was installed as Guru at the age of five.

He was contemporary of Aurangazeb and summoned to Delhi by him under framed charges

of anti-Islamic blasphemy.

9. Guru TeghBahadur Sahib - Guru from 1665 to 1675

He established the town of Anandpur.

He opposed the forced conversion of the Hindu Kashmiri Pandits by Mughal ruler Aurangazeb and

he was consequently persecuted for this.

10. Guru Gobind Singh Sahib - Guru from 1675 to 1708

He became Guru after the martyrdom of his father Guru TeghBahadur.

He created the Khalsa in 1699, changing the Sikhs into a saint-soldier order for protecting themselves.

Last Sikh Guru in human form and he passed the Guruship of the Sikhs to the Guru Granth Sahib.

11. Guru Granth Sahib

Guru Granth Sahib (also known as the AdiGranth)

is the scripture of the Sikhs.

The Granth was written in Gurmukhi script and it contains the actual words and verses as uttered by the Sikh Gurus.

It is considered the Supreme Spiritual Authority and Head of the Sikh religion, rather than any living person.

Penitentes on Pluto:

Penitentes are snow and ice features formed by erosion and characterized by bowl-shaped depressions.

Scientist has found the evidence of penitentes on Pluto using the images from the NASA‘s New Horizons spacecraft in 2015.

Until now, Earth is the only planet in the solar system to have Penitentes.

Unlike in Earth, Penitentes in Pluto are mainly made from methane and nitrogen due to its different environment i.e. thinner air, dimmer sun and much colder conditions. They are much larger than earth‘s counterparts.

National Alliance Against Online Child

Sexual Abuse Why in news? The Ministry of Women & Child Development, Government of India is to form a National Alliance against Online Child Sexual Abuse and Exploitation.

Need for the Alliance

Child sexual abuse is a multi-layered problem which negatively impacts children‘s safety, health and well-being.

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It is associated with long-term physical, psychological, and emotional harm.

It is now finding new forms and channels through mobile and digital technologies.

Online child abuse and exploitation amplifies existing forms of offline bullying, stalking and harassment.

It also facilitates the sexual exploitation of children

through the production and dissemination of child sexual abuse materials and by facilitating the sexual exploitation and trafficking of children.

Online abuse knows no national boundaries.

Objectives of the National Alliance

Dispite comprehensive legal framework for protection of child rights there is limited

awareness of online risks for children, both among parents and guardian and children themselves,Therefore National alliance is aimed at,

Developing a comprehensive outreach system to engage all stakeholders as well as police and lawyers to ensure better implementation of the legal framework, policies, national strategies and standards.

Bringing a common definition of child pornography including amendment of acts (Information technology Act, POCSO Act).

Setting up a multi-member secretariat based in

MWCD with a portal inclusive of a hotline for reporting and strengthening existing service delivery systems.

Providing a platform for Government/ NGOs and other child rights activists for networking and information sharing.

Documenting and showcasing success stories and best practices in terms of prevention of online abuse and exploitation of children.

Creating awareness among member organizations, parents, teachers, front line service providers and children.

Panel for Defining Poverty Line In News:NitiAayog had setup a panel headed by Sumit Bose, to define poverty line and to identify the beneficiaries for various anti-poverty schemes.

According to the panel‘s recommendation, Socio-Economic Caste Census will replace the existing poverty line and the central government has accepted the recommendations.

Socio-Economic Caste Census was begun in 2011,

the first national census to collect caste-based data since 1931.

Existing Poverty lines are 1. Suresh Tendulkar poverty line – Those spending

at least Rs.27 in rural and Rs.33 in urban areas in 2011-12 were identified as being above the poverty line.

2. Rangarajan Poverty line – It raised the limit to Rs.32 and Rs.47 for rural and urban areas, respectively.

7th Pay Commissionnot for Autonomous

Bodies

The 7th Pay Commission revision will not directly apply to autonomous bodies.

The autonomous organizations manage their affairs without financial support from the central government.

Pay Commission is setup intermittently by Government of India to give recommendation regarding changes in salary structure of its

employees.

Justice A.K.Mathur headed the Seventh Pay Commission and suggested 2.5 times hike in basic salary and rate of 3% increment in annual term.

The pay commission submits its report within four months of its formation to Union Finance Minister and suggestions on allowance shall be referred to committee headed by Finance secretary.

Inclusive Development Index (IDI)

The index is computed by World Economic

Forum to provide a more complete measure of economic development than GDP growth alone.

The index has 3 pillars – Growth and Development, Inclusion and Intergenerational Equity and Sustainability.

IDI scores are based on the scale of 1-7 and it is computed separately for developed and developing countries and is not comparable.

Lithuania tops the list of 79 developing economies, Azerbaijan and Hungary at 2nd and 3rdpositions respectively.

India is placed at 60th place, much lower than the neighbouring countries. China (15th), Nepal (27th), Bangladesh (36th) and Pakistan (52nd).

Norway tops the list in developed economies followed by Luxembourg and Switzerland.

Indian Skill Development Services:

The Ministry of Skill Development and Entrepreneurship (MSDE) has issued the notification of setting up of Indian Skill Development Services (ISDS).

The service has been instituted as a formal service in Group ‗A‘ category and created for the Training Directorate of the Ministry of Skill Development

and Entrepreneurship.

The Academy for training of the cadre will be National Institute of Skill Development.

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INSHORT

Promoting Start-ups in Biology space

The Centre for Cellular and Molecular Biology (Hyderabad) has built iHUB, a Hyderabad-based innovation centre to promote start-ups in the biology space.

The Start-ups plans to establish its innovative processes in the production of Biosimilar and Bioartis.

Biosimilars - a biopharmaceutical drug designed

to have active properties similar to one that has previously been licensed.

Bioartis will be involved in optimising and validating novel diagnosis methods for diseases of

marine and animal origin and developing diagnostic kits for such marine diseases.

National Tribunal for Adoption

The Centre has proposed a dedicated National Tribunal for adoption to deal mounting number of adoption cases.

Under the amended Juvenile Justice Act of 2015, no judge should keep an adoption-related case pending for more than two hearings spread over two months.

In a related matter, The National Commission for Protection of Child Rights - the apex child right‘s body has prepared the Guidelines for Private Playschools with an important change that no child below the age of three would be allowed to be admitted to any such school.

PAYTM Gets Final Approval for Payments

Bank

PAYTM, launched three years ago as a mobile wallet, is now aiming to build a new business model in the banking industry.

By launching payment bank, PAYTM has focused on bringing financial services to the un-served Indians.

Developing Smart Cities in India by World

Countries: Leading countries has decided to associate with the development of smart cities in India.

Country Smart Cities

Japan Chennai, Ahmedabad and Varanasi.

USA Visakhapatnam, Ajmer and Allahabad.

UK Pune, Amaravati(Andhra Pradesh) and Indore.

France Chandigarh, Puducherry and Nagpur.

Germany Bhubaneswar, Coimbattore and Kochi.

GandhiNagar – First Model Smart city in

the Country:

Under Smart Cities Mission, Ministry of Urban Development has shortlisted GandhiNagar as the first model city in the country to go smart.

The first phase of the smart city project has been rolled out in the city which has many features from seamless Wi-Fi connectivity to smart sensor-enabled traffic lights based on vehicular traffic density.

The smart cities mission is to promote cities that provide core infrastructure and give a decent quality of life, sustainable environment and

application of smart solution for sustainable and inclusive development.

Green Police Force:

China has set up a new environment police called as ―Green Police Force‖ to combat problems of

heavy smog in the cities.

They will focus on garbage incineration, open air barbeques and burning of wood and other biomass.

Saksham – 2017:

Saksham is a month long awareness programme by the Ministry of Petroleum and Natural Gas.

It is aimed to create awareness towards judicious utilization and conservation of petroleum products and switching to cleaner fuels.

It is organized by PCRA- Petroleum Conservation Research Association and other oil & gas PSU‘s under the aegis of Ministry of Petroleum and Natural Gas.

Not to confuse with other The ‗Project SAKSHAM‘ (a new indirect tax network of CBEC) and Saksham Scholarship Scheme of Ministry of HRD.

Street Light Replacement Programme:

Under this Programme, Ministry of Power has undertaken steps to replace all the street lights with LED‘s to reduce the greenhouse gas emission.

It is the World‘s Largest Street Light

Replacement Programme.

It is being implemented by the Energy Efficiency

Services Limited (EESL), a joint venture under the Ministry of Power, Government of India.

EESL has also employed Centralised Control and Monitoring System (CCMs) for real-time information on energy consumption and remote monitoring of the street lights.

The Great Wall of India:

The Wall that runs for 80 km in Madhya Pradesh.

It is the India‘s longest fortification and second to China‘s great wall worldwide.

The barrier runs between Bhopal and Jabalpur in Madhya Pradesh and cuts through Vindhyan valleys.

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It is called as ‗diwaal‘ among the locals. It might have been constructed during the Parmar Kingdom of 10th-11th century.

Exocomet:

An exocomet or extrasolar comet is a comet outside the Solar System i.e those that orbit stars other than the Sun.

They are significant because they are considered fossil bodies that have seen the physical and chemical conditions prevailing at the time of planet formation.

Rogue Planet:

A rogue planet or starless planet is a planetary-

mass object that orbits the galaxy directly.

They have either been ejected from the planetary

system in which they formed or have never been gravitationally bound to any star or brown dwarf.

Babur – 3:

Pakistan launched a Submarine Launched Cruise

Missile (SLCM), Babur-3, having a range of 450 kilometers.

It is fired from an underwater, mobile platform and hit its target with precise accuracy.

It completes Pakistan‘s nuclear triad i.e a nuclear-armed nation's ability to deliver nuclear warheads from launch systems based on land, in the air and from sea.

INS Khanderi:

INS Khanderi is a submarine and second of the navy‘s six scorpene-class stealth submarines.

The six scorpene class stealth submarines are built under the Project – 75.

The first one under project – 75 was INS Kalvari and it was launched in 2015.

Guided Pinaka:

The multiple rocket launcher Pinaka was transformed into a short-range guided missile and thus renamed as Guided Pinaka.

The guided Pinaka is equipped with a navigation, guidance and control system with a range of 60-65 km.

Multi-barrel rocket Vs Guided Missile

A Multiple rocket launcher is a type of rocket artillery system with multiple warheads and it was

launched simultaneously by an unguided system.

Guided Missile is a self propelled and launched by a precision guided system and it has 4 components such as targeting/missile guidance, flight system, engine and warhead.

Hope Island:

In addition to Gahirmatha coast in Odisha, Hope Island also becomes the destination for olive ridleys breeding area.

Hope Island is a small island situated off the coast of Kakinada in Andhra Pradesh State.

Gender literature festival:

The world‘s first ―Gender literature festival‖ will be held in Patna, Bihar.

It will be organized by the gender resource centre

of Bihar‘s Women Development Corporation.