NDTV Profit Pulse On July 2 — Top 8 Stories At 8 P.M. Under 8 Minutes

On accusations of Reliance Communications' loan account with the State Bank of India being termed a fraud account by the lender, founder Anil Ambani refuted the claims, with his legal counsel calling for an immediate withdrawal.

Also having a rough time is the cigarettes, carbonated drinks, and high-end cars space, as the good and services tax on the aforementioned may go up. A proposal is under consideration to replace compensation cess with health and green cess, as per government sources.

Here’s a quick roundup of today’s key headlines:

Agarwal Law Associates, the legal counsel for Anil Ambani, has responded to State Bank of India's move to classify the Reliance Communications loan account as "fraud," stating that the firm is "shocked to receive the ex-parte order" of the bank's Fraud Identification Committee.

The legal team has also raised concerns over due process, alleging that SBI failed to provide Ambani with a personal hearing and did not furnish relevant documents pertaining to the fraud classification. The firm has formally called upon the bank to withdraw the classification.

Harindarpal Singh Banga and his family, one of the early investors in Nykaa parent FSN E-Commerce Ventures Ltd., are looking to pare stake worth $150 million, or approximately Rs 1,284 crore, via block deal, NDTV Profit learnt from persons privy to the development.

The block deal is likely to be announced on Wednesday, the persons said. The stake sale will likely be at a 4% discount from the current market price.

Employees of Mahanagar Telephone Nigam Ltd. have launched a phased protest demanding clarity on their future amid the ongoing integration of MTNL services into Bharat Sanchar Nigam Ltd. In a formal letter dated June 6 to the Department of Telecommunications, addressed to Secretary Neeraj Mittal, MTNL CMD and the communications minister, employee unions have raised alarms over stalled HR benefits and uncertain employment outcomes.

The S&P 500 and Dow Jones on Wednesday opened flat after data showed an unexpected decline in employment in US companies in June. The rally on Wall Street took a pause after another record high as investors rotated out of megacap technology stocks and into other corners of the market on the first day of a new quarter.

While Zee Entertainment Ltd.'s claims that its Rs 2,237-crore fundraise will be directed towards funding new intellectual properties, live events verticals and business acquisitions, the media giant will not be providing specific schedules for mobilising the amount. "Providing overly specific, public schedules for fund utilisation related to strategic acquisitions and scaling initiatives can compromise our competitive position and strategic flexibility," the company said.

The Goods and Services Tax rates on cigarettes, carbonated drinks, and high-end cars may go up as a proposal is under consideration to replace compensation cess with health and green cess, as per government sources. The compensation cess is set to expire on March 31, 2026. The levy was introduced in 2017 to compensate states for the lost revenue due to GST.

Shares of Godfrey Phillips India Ltd. and VST Industries Ltd. took a hit during trade on Wednesday, as a proposal is under consideration to replace compensation cess with health and green cess, as per people in the know. Currently, cigarettes and other tobacco products have a 28% GST levy, among others. The total tax burden of the commodity stands at 53%.

India has pitched for a social security agreement as part of the ongoing trade negotiations with the US, according to government sources. The ball is said to now be in the US' court with regards to finalisation and acceptance. India already has social security agreements with 22 countries, including major economies like Germany, France, and Australia.