MHADA offers 3683 Flats at 50% of Market Price


After DDA and Greater Noida Development Authority, it’s turn of Maharashtra Area and Housing Development Authority (MHADA) to offer flats at affordable costs. MHADA has announced Sale of its newly constructed 3683 Flats in Mumbai. This offer of sale has come as a New Year gift for Mumbaikars to try their luck and grab the MHADA flats at a bargain price.

Where are the Flats Located?

  • These MHADA flats are divided into Three Categories – High Income Group (HIG), Medium Income Group (MIG) and Low Income Group (LIG).

  • These Flats are Located at Pratiksha Nagar in Sayan (844), Sahakar Nagar at Chembur (594), Canara Engineering at Ghatkopar (378) , Shailendra Nagar at Dahisar (591), Bimbisar Nagar (54) and Siddharth Nagar at Goregaon (14), Chandivli (232), Tagore Nagar (84) and Kannamwar Nagar at Vikroli (167), Ashok Van (64) , Shastri Nagar (14) and Versova in Andheri(676).

  • Maximum No. of Flats (844) are located at Pratiksha Nagar in Sayan

Application Form and Amount

The application forms for buying these houses will be available at selected 15 HDFC branches from January 12 to January 30.

Application Amount for MHADA Flats

The Application amount for each category of Flats is given below

Rs 10,000 for homes in the EWS category

Rs 15,000 for LIG

Rs 25,000 for MIG

Rs 50,000 for HIG.

Rs 1 lakh for HIG flats at Versova.

Last Date of Application

The Forms will be available from Jan12 to Jan30 and Applicants can submit their Application between Jan 13th and Jan 31st . Jan 31st is the last date of submitting the Application form.

Flats constructed by the MHADA for the lower, middle and high income groups command a heavy demand as they are reasonably priced in an otherwise exorbitant Mumbai’s real estate market. In July 2008, MHADA had announced its decision to release 870 houses at Malvani in Malad, and the scheme received an overwhelming response with over 2 lac applicants trying their luck.

Application Forms will be available at following branches of HFDC Bank

Manekji Wadia Buiding, Motwani Marg, Fort, Mumbai ,400023

Dr. Shordkar Marg, Parel, Mumbai -400012

Matunga (East) Branch, Mumbai -400019

Kala Nagar, Bandra (East), Mumbai -400051

S.V. Marg, Santacruz (Wesy), Mumabi – 400054

Jamuna Apartments, Andheri (West), Mumbai-400057

Jogeshwari (East) Branch, Mumbai -400060

Jawahar Nagar, S.V. Marg, Goregaon (West), Mumbai-400104

S.V.P. Road, Borivili(West), Mumbai-400092

L.B.S. Marg, Kurla (West), Mumbai -400070

L.B.S. Marg, Vikhroli (West), Mumbai -400079

L.B.S. Marg, Milind (West), Mumbai -400080

Patli Pada, Thane (West), Mumbai-400607

V.N. Purav Marg, Sayan Trombay Marg, Chembur, Mumbai-400071

Palm Beach Road, Sector 13, Navi Mumbai-400705

Mhada Circular

Update on MHADA Flats Draw result date (4th April,2009)

I have received a number of emails requesting information on draw date. The MHADA website does not provide any details on the draw result date. However, Indian express newspaper dated 14th february carrries following news -

"The wait of those who have applied for a flat under the housing scheme of the Maharashtra Housing and Area Development Authority (MHADA) may last just three more months. The housing board has announced that it will carry out a draw of lots in the last week of May.
The whole process will take about two weeks. “When MHADA had a draw for 870 flats at Malad last year, it took us about seven to eight hours. Taking that into account, it will take at least 12 days to complete the draw for the 42 projects we have this time,” said MHADA’s Mumbai Board chief officer H K Javale. He said the election code of conduct will not hinder the process as the MHADA housing scheme is an ongoing project.
MHADA has also sent a proposal to the state government, stating that the 4.3 lakh aspiring home buyers should be paid interest from June in case the draw is not carried out on time for some reason. MHADA officials said the system to be used for the draw will be tested by experts from Tata Consultancy Services and Veermata Jijabai Technological Institute (VJTI) to avoid any technical snag that occurred during its last draw. Experts from VJTI and the Indian Institute of Technology (IIT) will also be present. "

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Greater Noida Residential Plots Draw Result Sec 3 (200 Sq. Mtr.) General & Farmer Category

The results for Scheme XT001 for Sector 3 200 Sq. Mtr. plots,  general and Farmer category are out. The Draw was held on December 24rd,2008.

Click the link below which will take you to draw result website and enter your Application Form No. to check the Result

- Sector-3 (200 Sqm) General & Farmer Category Results

Alternatively, you can leave your Application number in the comments on this blog and we will respond back with your results.

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Greater Noida Residential Plots Draw Result Sec 3 (120 Sq. mtr) General & Farmer Category


The results for Scheme XT001 for Sector 3 120 Sq. Mtr. plots,  general and Farmer category are out. The Draw was held on December 23rd,2008.

Click the link below which will take you to draw result website and enter your Application Form No. to check the Result

- Sector-3 (120 Sqm) General & Farmer Category Results

Alternatively, you can leave your Application number in the comments on this blog and we will respond back with your results.

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Greater Noida Residential Plots Scheme XT001: Xu II General & Farmer Category


The results for Scheme XT001 XUII general and Farmer category are out. The Draw was held on December 22nd,2008.

Click the link below which will take you to draw result website and enter your Application Form No. to check the Result

Draw Results

Alternatively, you can leave your Application numbers in the comments on this blog and we will respond back with your results.

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Greater Noida Residential Plots Scheme XT001- Draw results

The draw for Greater Noida residential Plot Scheme XT001 has been rescheduled for being held in three phases as follows :

Category Sector Size Date of Draw Time
General & Farmer   XU -II 120 Sq.Mtr. 22-12-2008 9:30 AM
General & Farmer    3 120 Sq.Mtr. 23-12-2008 9:30 AM
General & Farmer    3 200 Sq.Mtr. 24-12-2008 9:30 AM

The draw will be held at India Exposition Mart Limited, Knowledge Park III, Greater Noida. The Results will also be made available on the Greater Noida Authority website.

Draw Notice

Eligibility List for Draw:

- Sector 3 - 120 Sqm
- Sector 3 - 200 Sqm
- Xu II - 120 Sqm
- Farmers Category

Rejection Lists:

- More than 1 Application within Sector
- Less than Registration Amount
- Age less than 18 Years
- Farmer Category Rejections

For more information log on to

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DDA Housing Scheme 2008 –Draw Results


Investors can now check the DDA Housing Scheme 2008 Draw Results directly from Investment Guru Blog

Click the link below to check the list of Successful applicants

DDA Draw results PDF file

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DDA Housing Scheme 2008 Draw Results

DDADDA has finally announced the Results for the much hyped DDA Housing Scheme 2008. The draw was held at the DDA office at Vikas Sadan by way of Computer Lottery. The results can be viewed at following websites -

    DDA Draw Result Website

    Urban India Website


Both the website are not responding due to heavy traffic of investors trying to check their results. It is advised that you should try logging in late in night to see the Results online. The Results would also be published in leading newspapers tomorrow.

Related Articles on this Blog

DDA Housing Scheme gets good response, Allotment Details

Banks rush to provide loan for DDA Flats Registration

DDA Scheme'08 Brochure & Application Form

DDA Housing Scheme'08

Read More!

Beyond 11 K - Sensex in troubled waters

No takers even at 2 year Lows, Global crisis looms large

credit crisis The Blood bath continues globally and Indian stock markets are no exceptions. From this year's high of 21000, the sensex has tasted the realities of 10,700 levels. This has left a large number of Investors mere spectators to the shocking depletion of their hard earned savings invested in stock markets to earn a reasonably good return. The outlook on Sensex and Nifty remains weak as the credit crisis unfolds further and the bailout package fails to impress the Investors. The current situation in global markets is not expected to reverse in short term and the markets would take a fairly long time to revive to respectable levels. The International monetary fund (IMF) has already issued a warning that the world economy is entering a major downturn in the face of the most dangerous financial shock in mature financial markets since the 1930s.

Understanding the Current Credit Crisis

If you think that the credit crisis started in the month of September with Lehman brothers declaring Bankruptcy, think again! The current global crisis had started giving signals of the impending danger as early as late 2006 when the US real estate markets started to tumble down. So far, it is estimated that banks worldwide have had to write-down more than $550 billion in assets. Let me tell you that this crisis is very deep rooted and it is just the beginning. There are many more banks in line to announce their failures and investors are losing trust over the measures announce to revive the economies. the general feeling is that this relief is just a temporary support and the loss of faith in the whole system cannot be regained with these measures. People are fearing that the worst is not over and the US and other big economies are moving into deep shit. Of course the impact will be felt globally.

Just check the chronology of events that unfolded this crisis and then we will talk about the impact of this crisis on India

March/April 2007: New Century Financial corporation stops making new loans as the practice of giving high risk mortgage loans to people with bad credit histories becomes a problem. The International Monetary Fund (IMF) warns of risks to global financial markets from weakened US home mortgage market.

June 2007: Alarm bells ring on Wall Street as two hedge funds of New York investment bank Bear Stearns lurch to the brink of collapse because of their extensive investments in mortgage-backed securities.

July/August 2007: German banks with bad investments in the US real estate market are caught up in the crisis, including IKB Deutsche Industrie bank, Sachsen LB (Saxony State Bank) and BayernLB (Bavaria State Bank).

US President George W Bush rejects government intervention to ease the crisis in the home mortgage market and says he wants the market to work. He later pledges help for struggling homeowners to help ease the mortgage crisis.

Foreclosures of US homes in July were up 93 percent from a year earlier, to 180,000 owners.

September 2007: British bank Northern Rock is besieged by worried savers; British government and Bank of England guarantee the deposits; the bank is nationalized. The US Federal Reserve (Fed) starts series of interest rate drops to ease impact of housing slump and mortgage crisis.

October 2007: Profits at US financial giant Citi group drop sharply. IMF lowers 2008 growth forecast for the euro area to 2.1 percent from 2.5 percent, in part because of spillover from the US sub-prime mortgage crisis and credit market crunch.

December 2007: Bush unveils plan to help up to 1.2 million homeowners pay their loans.

January 2008: Swiss banking giant UBS reports more than $18 billion in write-downs due to exposure to US real estate market. In the US, Bank of America acquires Countrywide Financial, the country's biggest mortgage lender. Fed slashes interest rate by three quarters of a percentage point to 3.5 percent following sell-off on global markets. Another cut at month's end lowers it to 3 percent.

February 2008: Fannie Mae, the largest source of money for US home loans, reports a $3.55-billion loss for the fourth quarter of 2007, three times what had been expected.

March 2008: On the verge of collapse and under pressure by the Fed, Bear Stearns is forced to accept a buyout by US investment bank JP Morgan Chase. The deal is backed by Fed loans of $30 billion.

In Germany, Deutsche Bank reports a loss of 141 million euros for the first quarter of 2008, its first quarterly loss in five years. Fed spearheads coordinated push by world central banks to bolster global economic confidence by announcing moves to pump $200-billion liquidity into markets.

Carlyle Capital falls victim to US credit crisis as it defaults on $16.6 billion of indebtedness. US frees up another $200 billion to back troubled Fannie Mae and Freddie Mac.

April 2008: IMF projects $945-billion losses from financial crisis. G7 ministers agree to new wave of financial regulation to combat protracted financial crisis. 

June 2008: Home repossessions more than double as US housing crisis deepens. Bear Stearns execs join 400 charged with mortgage fraud.

July 2008: California mortgage lender IndyMac collapses. Troubles for Fannie Mae and Freddie Mac continue to grow. US Treasury, Fed move to guarantee debts of Fannie, Freddie. Bush defends move, telling Americans to take a "deep breath" and have "confidence in the mortgage markets."

US Congress gives final passage to multi-billion-dollar program to address mortgage and foreclosure crisis. Spain's largest property developer, Martinsa-Fadesa, declares insolvency.

September 7: US government seizes control of Fannie, Freddie in $200-billion bailout.

September 15: Lehman Brothers investment bank declares $600-billion bankruptcy. Merrill Lynch acquired by Bank of America. 

September 17: US bails out AIG insurance giant for $85 billion. 

September 19: White House requests $700-billion bailout plan from Congress for all financial firms with bad mortgage securities to free up tightening credit flow. 

September 22: Last two standing investment banks, Morgan Stanley and Goldman Sachs, convert to bank holding companies. 

September 26: Feds seize Washington Mutual in largest-ever US bank failure.

September 29: US House of Representatives rejects mammoth $700-billion bailout plan.

September 29: Governmental bail-outs announced for key banks in Britain, the Benelux and Germany as well as a state takeover of a bank in Iceland. British government intervenes to save major mortgage lender Bradford & Bingley. Netherlands, Belgium and Luxembourg to take over substantial parts of Belgian-Dutch banking and insurance company Fortis.

German Finance Ministry announces that government and top banks were moving to inject billions of euros into troubled mortgage lender Hypo Real Estate. Iceland government and Glitnir bank announce state takeover of 75-percent stake in Glitnir.

September 30: Wachovia Bank teeters on collapse, starts negotiating with Citi group for takeover deal. 

October 1: US Senate adopts massive bail-out plan, adding sweeteners to get House acceptance.

October 3:The House passes the bailout bill. The House of Representatives approves the $700 billion economic rescue package by a vote of 263 to 171. President Bush signs the bill into law.

Wachovia snubs Citi group and agrees to be bought by Wells Fargo for $15.1 billion in stock. Citi group had offered to buy only Wachovia's banking business for $2.2 billion.

U.S. employers shed 159,000 jobs in September, the most in more than five years. The unemployment rate holds steady at 6.1 percent.

October 6:The Dow plunges almost 800 points before staging a late-day rally to close down 370 points, falling below 10,000 for the first time in four years

Bank of America agrees to rework the mortgage terms of up to 400,000 distressed borrowers to settle lawsuits pending against Countrywide Financial, the defunct mortgage lender it purchased in July.

Over the weekend, Germany says it will guarantee all private bank accounts after a $50 billion plan to rescue Hypo Real Estate collapses.

October 7:European finance ministers more than double the guarantee on bank deposits to 50,000 Euros.

October 8:The Federal Reserve and European Central banks simultaneously order emergency rate cuts of a half a percentage point early in the morning.

The International Monetary Fund predicts a major global economic downturn

Japan's Nikkei index falls 9.4 percent, its largest one-day loss since 1987. The British government promises to inject tens of billions of dollars in capital into U.K. banks after two consecutive days of dramatic stock market losses. (Source - Deutsche Welle & Washington Post)


Impact of Global Credit Crisis in India ?

So far we have heard of US and European Banks announcing failures. So back home in India, Are we safe and immune to the credit crisis ? Well, I would say that as of now Yes. There are three main reasons for saying so

1. Indian has a Saving oriented culture as against US and European countries which has a spending culture. They factor their future earnings and borrowing accordingly. Hence they enjoy their present at the cost of their future. In India, people sacrifice a part of their present enjoyment to enjoy in future. So our basics are in place and this foundation has so far kept India out of this failure.

2. The major trigger for the credit crisis was the downturn in US Housing markets. This is not the case with India. The real estate prices in India are stable and the probability of a sharp fall is ruled out.

3. The public sectors banks in India have stringent norms for providing loans and hence the quality of loans in India is comparatively much better.

Having said so, let me tell you that India is not averse to a credit crisis given the growth of 25-30 % credit growth we have seen in past few years.  The private sector banks have been involved in a mad race to sell loans to individuals and if something of this sort happens in India Private sectors banks like ICICI bank, Citibank and other private sector plays will be in the forefront of this mess. Even then, the maximum impact I see is the erosion of the profitability of such banks and not a total failure, thanks to the stringent Banking regulations in India.

However Indian stock markets are not immune to the global crisis, and as more and more banks globally announce the failures, the markets are going to reflect the same in the indices. Since India has sizeable presence in the global markets, any global downtrend is sure to impact India and hence investors should keep this in mind. Since India has sizeable Foreign Institution Investment in Stock markets, any global downtrend will seriously impact the stock markets as the huge rise in sensex last year was majorly attributed to ample liquidity in the system which was brought by the FII Investments.

The Liquidity Game

The biggest concern for the Indian markets are that FII are fleeing from the scene. While FII's have pulled out nearly $10 billion from the Indian stock markets, the taps of liquidity have dried up. Mutual funds are seeing huge redemption pressure and individual investors who are already stuck with their money invested at higher levels in markets have lost confidence and are not ready to invest further. As I write this post Dow Jones and Nasdaq are down by more than 4%  and it shows that investors do not confidence on the bailout package offered by the government. Dow has seen 5 year low today !

I feel that this is not the end of the whole drama and I expect further pullout by the FII's and hedge funds from the Indian markets as they face difficulties back at their homes.

Crude and Inflation become lesser evils

When the stock markets in India started falling in the month of March, the blame was squarely put on the rising Crude Oil and staggering rise in inflation. However, Crude has come off its high of $140 per barrel to $84 per barrel on fears of lower demand due to ongoing crisis. Inflation has also started drifting downwards and the huge fall in Crude oil prices as well as commodity prices is expected to bring it down further. However, both of these factors have taken a backseat now given the bigger evil of global slowdown concerns.

How much can sensex fall from here ?

The sensex is near the 11,000 levels and has already tested the 10,700 levels. Given the concern that the current crisis is not yet over and the relief measures are not working, I expect the markets to fell further. The extent of further fall will depend on the how the crisis unfolds going forward, but a primarily it looks that the sensex may even touch 9,000 levels if the global situation is not brought under control. So we still have a risk of couple of thousand points from here.  You can wait before buying into the stocks and you will find better prices to enter from a long term perspective. Don't get carried away by small bouts of up-moves and use them to get rid of some bad positions. Don't try to trade for short term as the markets would be very volatile. Any long term Investment should only be made from at least 2 Years perspective.

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DDA Housing Scheme gets good response, Allotment Details

The DDA Housing Scheme 2008 has attracted about 3.5 Lac applicants for the 5010 flats put for sale. DDA had a dream run in terms of money collected on Application forms and will earn a interest of about 45 crores in the 3 month period on the Registration amount collected from the applicants. The lottery draw will be held in the Month of December.

Result of Allotment

The results of the draw shall be displayed on the Notice Board of DDA at Vikas Sadan, D-Block, INA, New Delhi-23. In addition the result shall be displayed on the website of DDA with the address The result will also be published in the leading national Newspapers.

Allotment Cum Demand Letters will be dispatched through Speed Post/Courier/Registered Post

Waiting List

A separate waiting list of 200 applicants will also be declared in order of priority. The waiting list will be valid only for 9 months from the date of issue of demand letters. The registration money of the wait listed registrants shall be refunded along with unsuccessful registrants. However, before going for the draw in case the same takes place for filling up the vacancies, all such eligible wait-listed shall be asked to deposit the registration money. 15 days time shall be given to them to do so and only those names shall be included who would be depositing their registration money prior to the draw. A draw will be held only once after six months, from date of issue of demand letters, for allotment of the surrendered flats to the wait listed registrants as per the priority decided initially. Only those flats which are surrendered within six months from date of issue of demand letters would be included for allotment to waitlisted registrants. The waiting list is created just to ensure that the surrendered flats (if any) are allotted to same registrants rather than keeping them vacant and the list will be valid only for 9 months, hence it doesn’t create any right of the wait listed registrants if they fail to get a flat from the surrendered ones. If successful, the cost would be the cost of the flat on the date the demand cum-allotment letter is issued.

Interest on Registration money

In case registration money is not refunded within three months from the closure of the scheme, in case of unsuccessful applicants, simple interest @ 5% will be paid on the registration money for the period beyond three months after the closure of the scheme up to the last date of the preceding month in which refund has been made.

Can I surrender my Flats on allotment ?

The successful applicants shall have the options to surrender the flats before the issue of the possession letter. Flat will be automatically cancelled in case payments are not made within the prescribed period. No show cause notice shall be issued for the purpose. In both the cases, amount deposited is refundable without any interest. However, cancellation charges shall be recovered

How to check DDA Flats Draw Results and Application Status ?

Step 1. Go to the DDA Website by clicking following link

DDA Draw Result Website

Step 2. You will see the following screen.


Select the Scheme and Reserved Category as shown above and put your Registration number or Priority No. and Category of Flat.

Click Search and see the Status of your application. Please not that the draw is expected in later part of December,2008.

Related Articles on this Blog :
  • SBI Offers Lowest Interest on Loan for DDA Flats
  • Bank Loan for DDA Flats
  • DDA Housing Scheme'08 Brochure and Application Form
  • DDA Scheme launched
  • DDA Scheme -Investment Opportunity
  • DDA Housing Scheme -Highlights
  • Read More!

    Lehman files for Bankruptcy, Market Reacts


    "Lehman Brothers Holdings Inc said it plans to file for bankruptcy protection, but the Chapter 11 filing will not include its broker-dealer operations and other units, including Neuberger Berman.

    Lehman is looking at selling its broker-dealer operations, and is still in advanced discussions with a number of potential buyers of its investment management division.

    Bankruptcy represents the end of a 158-year old company that survived world wars and the collapse of Long-Term Capital Management but could not survive the global credit crunch.

    Investors in recent weeks had grown increasingly jittery about Lehman's $46 billion of mortgages and asset-backed securities, as well as its credit rating and its ability to raise capital.  Source : Reuters"

    The news has broken hell on the global as well as Indian stock markets. As a public company Lehman had never reported a Qaurterly loss until June'08. The bank had actually reported a record net profit of $4.2 billion in year 2007. The ruptured U.S. financial system faces an unprecedented shakeup with Lehman Brothers set to file for bankruptcy, Bank of America buying Merrill Lynch, and the Federal Reserve saying for the first time it will accept stocks in exchange for cash loans.

    I had mentioned in my Recent presentation on stock markets that the credit crisis in US is yet to unfold and may unsettle the dynamics of the financial regulations globally. There are other financial institution in pipeline to declare themselves on the verge of bankruptcy. It is high time that Indian banks take stock of their credit regulations and control in place for determining quality of credit. It's a wake-up call for the RBI to do a check on potency of its banking regulations.

    What is Chapter 11 Bankruptcy?

    Chapter 11 bankruptcy is a form of corporate financial reorganization in which a company's assets gets sold off to remunerate past due creditors. In some cases, Chapter 11 bankruptcy allows companies to continue to function. The theory here is that businesses which are allowed to move forward will generate revenue, protect jobs, and otherwise heal creditor wounds. Scraping and selling businesses for their parts, on the other hand, may lead to less than optimal utilization of company resources. Chapter 11 bankruptcy filings may be “strategic”. In other words, management may wish to reorganize for political reasons, not simply for the sake of balancing books.

    Much of Chapter 11 bankruptcy case law is devoted to the finding what constitutes asset exemptions under the law. In cases in which parent companies and/or partnerships are involved, assets may be shielded by selling them off or otherwise hiding them within the financial infrastructures of sympathetic firms. It's even legally possible, under certain situations, to offshore assets to shield them from creditors. Despite the abundance of case law designed to establish precedent for Chapter 11 bankruptcy situations, the emergence of "globalized business" has added a new wrinkle to the ongoing debate over how failing businesses should repay creditors. (Source : Super Pages)

    For Detailed study of Chapter 11 US Courts website provide a comprehensive reading material. Go to US Court Website to read more. Read More!

    Banks rush to provide loan for DDA Flats Registration

    SBI Offers lowest Interest Charge for financing DDA Flats

    As the last date for submitting the application form for DDA flats is approaching near, the War has begun. Almost all Banks have jumped the bandwagon to offer loans for financing the registration amount of Rs. 1.5 Lacs for the DDA flats offered under the DDA Housing Scheme'08. State Bank of India has come to the forefront by offering the cheapest loan for application money. Interest rates offered by banks for the DDA Housing scheme varies from Bank to Bank and hence investors should be compare these before approaching the nearest branch for a loan. Currently SBI is the best option for availing the loan as it is charging Rs. 5,050 towards interest and processing charges against Rs. 6600 charged by private banks.

    One should go to the Public Sector banks to avail the loan for DDA flats as they are charging less interest rates as compared to the Private Banks. Private players like HDFC, ICICI Bank, IDBI Bank and others  are charging Rs. 6,600 as Interest charge and processing fee.  Union Bank of India is charging Rs. 5,700 while Central bank of India is charging Rs.5,680.

    Interest Rates charged by Banks on Loan for  DDA Flats Registration


    Interest & Processing Charges
    State Bank of India

    Rs. 5,050

    Central Bank of India

    Rs. 5,680

    Union Bank of India

    Rs. 5,700

    HDFC Bank

    Rs. 6,600

    ICICI Bank Rs. 6,600
    IDBI Bank Rs. 6,600


    Important point to Note while availing Loan for DDA Flats

    While the whole idea of getting the deal financed through bank for the Registration amount may sound appealing, there is an important rider which the applicants should keep in mind. The Interest charges mentioned above are for a period of Three Months. If DDA fails to conduct the selection process within three months and delays the lottery date, the applicants would have to cough up interest charges for the further period which may range anywhere in the range of 11-14% depending on bank to bank. Applicants should keep this in kind while applying for a loan.

    Read More!

    Sixth Central Pay Commission notification released

    6thpaycommissionThe much waited release from the Ministry of Finance on the Sixth Central Pay commission notification has finally been published in the Gazette of India. There was an unprecedented rush on the Press Information Bureau and Ministry of Finance website. With the release of the notification, the 6th Pay commission recommendations have converted into directives and would clear the way for implementing these recommendations.

    Recommendation of 6th CPC which have not been accepted by Government

    • Liberal "Severance Package" for those employees who want to leave service without pension with more than 15, but less than 20 Years of Service


    • Recommendation related to Holiday policy that there should be only three closed holidays for Government Employees.


    • Flexi-hours for Women Employees and flexi-weeks for employees with disabilities.


    Readers can browse through the following links to download the relevant documents

    » Resolution containing Government's decision on Sixth CPC Report

    » CCS (Revised Pay) Rules 2008


    Full Download:  6th CPC Report | Annex

     Errata to the Report

      Basic Pay-Definition

     Placement of Group D in PB-1

     Running Allowances and PLB

    Sixth Central Pay Commission

    The Sixth Central Pay Commission submitted its Report to the Government on 24th March, 2008. The Report and main highlights can be viewed through the following links:-

    » Highlights of the Report

    » Report of the Sixth Central Pay Commission (Chapter Wise)

    » Annex to the Report of the Sixth Central Pay Commission

    The detailed notification can also be downloaded from Investment Guru Blog's Google pages

    Read More!

    Zenith Desktop for Rs.11,990 Laptop for Rs. 14,990


    Bridging the Digital Divide with affordable Computers

    zenith Zenith Computers has announced the launch of Desktops and Laptop’s under the brand name “Eco Style” in the price range of Rs.11990 to Rs. 14990. The company has launced these desktops and laptops in collaboration with global software giant “Microsoft”.

    These products are based on Microsoft operating system and available with Windows Vista and Microsoft XP home edition through its exclusive tie up with the software major. The offer is in line with compamy’s Motto of providing “MNC quality at Indian prices”.

    The company said that the EcoStyle laptop is ideal for youth as it is quie trendy. The laptop is Net-enabled and comes preloaded with the Microsoft productivity suite. The EcoStyle PC will give the customer an option of choosing Windows Vista Starter or Microsoft Windows XP Home. The portability of the PC makes it convenient for professionals to carry it whenever they need to -- it weighs just 2.2 kg and has dimensions of 185mm x 250 mm x 70 mm. The desktop will also come preloaded with the Microsoft productivity suite.

    Bringing together ease of use and professional performance, the EcoStyle PC is ideal for small office or home offices owners. The company said that in addition to the portability and the relevant content, both the computers have an added advantage of reduced power consumption due to a smaller screen size. One an average, they consume 30% less power.

    Zenith has been the leader in India in terms of providing desktops and laptops at affordable price and the new scheme is going to further boost the topline of the company. This will also help to bridge the digital divide in India mainly due to higher cost of laptops and high end desktops. The new scheme is going to affect mostly the business of the assemblers who use to sell assembled Desktop’s and Laptops. One good thing about Zenith is that the company had earned itself a good reputation in terms of quality of its products and hence increased customer satisfaction. On the other hand, assembled computers run risk of high maintenance and repair charges. With the new offer more competitive even in terms of both price and barand value as compared to the assembled products, Zenith is set to rock the low end segment of this industry.

    About Zenith Computers

    Zenith Computers Ltd is one of most powerful brands in the Indian IT industry.
    One in every three branded PCs in Indian homes is a Zenith PC. Zenith Computers, headquartered in Mumbai, India, is celebrating it silver jubilee this year. With annual turnover of Rs. 3.25 Billion, it has over 1000 employees spread all over India in its 15 offices and manufacturing plant in Goa.
    The company exports PC’s to Europe, South Africa, Asia and the Middle East
    With 800 Authorised Dealers and 350 Exclusive Retail Showrooms, the company boasts of a well knit distribution and service platform across the country

    Read More!

    Corp Buzz: Infosys to Buy UK based Axon group


    infosys-logo    Business Standard and Economic times have reported that Infosys is all set to buy UK based Axon group for $753 Million. The deal is to be completed by November 2008. The UK based Axon Group is into consultancy services to multinational organizations that have chosen SAP as their strategic enterprise platform.

    Axon Group has 2000 employees. The Q1 revenue for Axon was 204.5 mn pounds in 2007. The profit after tax for the same period was 20.2 mn pounds. According to sources in Infosys, transfer of ownership will be completed by November.

    Kris Gopalkrishnan, CEO of Infosys said, “This strategic combination of our groups will accelerate the realization of our common aspiration - that of becoming the most respected provider of business transformational services in the global marketplace”.

    The Axon Group Web site carry the following statement in its latest news section

    On 25 August 2008, the boards of Axon and Infosys Technologies Limited ("Infosys") announced that agreement had been reached on the terms of a recommended cash offer to be made by Infosys for the entire issued and to be issued ordinary share capital of Axon (the "Offer"). The Offer, which is expected to be implemented by way of a scheme of arrangement, values Axon’s existing issued and to be issued (fully diluted) share capital at approximately £407 million (US$800 million) on a cum-dividend basis.

    The Shares of Axon are currently trading at 502 pounds, up by 2% against yesterday's close.

    About Axon Group

    Axon is a business transformation consultancy that designs, implements and supports solutions that address complex business issues faced by large organizations who have selected SAP as their strategic enterprise platform. The company provides services in the field of Business Consultancy, Solution Implementation and Application Management.

    The company has recently signed a joint venture with Pratt & Whitney to establish a world-class SAP services centre in Puerto Rico. Axon also executed few acquisitions recently. It's subsidiary Axon Solutions Inc. has acquired the business of EnterSys Group L.P., a leading provider of SAP consulting services to the oil, gas & chemical sector in North America. It has also acquired the business of SCM Solutions L.P. ('SCM'), a provider of specialist supply chain SAP consulting services in North America.

    Axon's Financials

    As per the latest Annual Report available for the year endind December31st,2007.

    • Turnover* up 49% to £204.5m (2006: £137.5m):
      • US generated revenues of  £74m, 36% of the group, up from 23% in 2006
      • The proportion of revenues generated by our top 10 clients reduced to 67% (2006: 74%)


    • Strong profit performance with adjusted operating profit** up 65% to £36.5m (2006: £22.1m)
      • Operating profit up 69% to £30.6m (2006: £18.1m)*
      • Profit before tax* up 67% to £29.5m (2006: £17.7m)
      • Adjusted profit before tax** up 63% to £35.5m (2006: £21.8m)


    • Successful integration of acquisitions:
      • Two US acquisitions made in Q4 2006 were fully integrated in 2007 and now trade under the Axon name
      • The acquisition of JSPC, an SAP listed firm trading in Malaysia and China has now been fully integrated into Axon’s existing Malaysian off-shore centre


    • Diluted earnings per share up 56% to 31.7p (2006: 20.3p)


    • Proposed final dividend of 2.5p (2006 2.25p) making a total dividend per share for the year of 4.5p (2006: 4.0p)


    Investment guru is of the view that the merger of Axon group with Infosys would help it tap the North America and UK markets where Axon was doing exceedingly well as well as strengthen its position in the Business Consultancy services. The deal at around 20 times the earnings of Axon is surely not an attractive deal as far as price is concerned but the long term benefits in terms of market share and access to Axon clients would be significant. Since it is a small ticket acquisition, the share price of Infosys would remain more or less range-bound.

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    Apple iphone 3G priced at Rs.31,000 for 8GB, Rs.36,000 for 16 GB

    Apple i-phone launch to be a flop show in India

    Good news for companies like Nokia and Samsung and Bad news for those who were eagerly waiting for the launch of Apple iphone 3G in India at a eye catching price of Rs. 8400. The dreams have been dashed , with Vodafone announcing the prices of iPhone in India. Vodafone and Airtel are launching the iPhone on 22nd August in India. The 8GB Model would cost you a whooping Rs.31,000 and the 16GB version would cost Rs. 36,000.

    The most important factor in creating hype for the Apple phone was the Pricing Factor. These i-phones have been priced in UK at $ 200 which is equivalent to Rs. 8600 at current forex rates. Most of the Indians who were planning to buy an I phone in India had built an expectation of a price between 8000-12000. But the prices announced by Vodafone is substantially higher. The irony is that the 3G services are still not functional in India and hence it would not be possible to use all the features of i-phone in India.

    I had built an expectation that I will go for I-hone if it is priced around 15000, but now I have made up my mind not to go for it and wait for price corrections to happen before I buy it. I would continue with my good old Nokia phone till then.

    The pricing for Apple phone in India should definitely bring smiles to Nokia and Samsung as they were expecting a major hit to their market share with launch of Apple iPhone. They can be relaxed now since Apple with this pricing cannot gain a strong foothold in the Indian markets where the customers are on a constant look out for quality but at affordable price. I think Apple would miss an excellent opportunity to create a strong base for its product in Indian markets cos of its pricing.

    For those of you who still want to join the bandwagon, If you have pre-registered for the i-phone you would have received an SMS regarding the price from Vodafone and you would have to do advance booking by paying Rs. 10,000 today or latest by tomorrow. You would be given an appointment time for collecting your i-phone on a designated date. The offer is on first come,first serve basis.

    Read More!

    EAC Outlook for 2008-09 on Indian Economy

    Has Indian economy Peaked ?

    The Economic Advisroy council to the prime minister,headed by Dr. C. Rangarajan, has come out with the Economic outlook for the year 2008-09. The Report has thrown some interesting parameters to gauge the present condition of our India's economic growth in past several years and estimates for current year. The report has pegged India's economy to grow at 7.7% in the year 2008-09 against 9% last year. The council has expressed concern over negative global clues like crude oil and sub prime on one hand and inflation and slowdown in consumption and investment rate on the other. What does this suggest ? Has the Indian economy reached the peak of its economic growth cycle and has it started to slow down ? Let us look at some of the facts and figures and try to find out the truth behind India's story.

    Economic Growth- Stepping down the ladder

    • Indian economy has grown 9% in 2007-08 against 9.6% in 2006-07 and 9.4% in 2005-06. Our economy has grown at an average rate of 8.8% in the last 5 years. However, we are expected to clock a growth rate of just 7.7% for the current year 2008-09.

    • The farm sector has seen tremendous growth in the last 4 years with average growth of 3.5%. However, the growth rate looks unsustainable in absence of focussed approach on rural infrastructure and technical improvements in productivity.

    • The Manufacturing sector, after posting a record high growth of 12% in 2006-07 is expected to grow by 7.2% in 2008-09 which signifies that this sector is witnessing increased pressure of slowdown in consumption which again is a factor of rising inflation.

    • Other sectors such as Construction,Trade, Hotels,Transport etc. are all expected to post a single digit growth against double digit growth recorded last year. This doesn't auger well for companies operating in these sectors.

    • Finance,Insurance, Real Estate and Business Services are expected to post 10% growth against 13.9% growth posted in 2006-07.

    • Per Capita GDP growth is also expected to be at 6.2% against 8.1% clocked in 2006-07.

    • India's population is expected to stand at 1.154 billion against 1.106 billion registered in 2005-06.

    International Economics- Ugly Picture

    • The global economy has been subjected to the twin onslaught of a financial
      crisis that has gripped capital markets, and a sharp increase in the prices of primary goods, particularly those of crude petroleum and food. Simultaneous turmoil in financial, energy, and food sectors is unprecedented in recent world economic history.

    • This has adversely affected consumer confidence and prospects for world economic growth, dented a range of asset prices, heightened inflationary expectations and is severely testing theories of ‘decoupling’ through global contagion.

    • While expected losses from US subprime exposures have by now been mostly acknowledged, and banks have been able to raise capital in response, delinquencies and foreclosures in the US housing markets continue to rise sharply, house prices continue to plummet, loan deterioration has moved beyond subprime and housing portfolios, bank balance sheets and equity prices continue to be under pressure, and credit markets are still to normalize. It is therefore too early to assess whether the worst of the turmoil and loss of asset values is behind us.

    Consumption Vs. Investment Driven Growth

    The contribution of investment to growth has actually been as greater than that of consumption till 2005-06. The contribution of domestic consumption expenditure to overall GDP growth has been fairly steady since 2005-06, while its relative share in growth has risen over the past two years. This trend is projected to continue in 2008-09 also. Incurrent year, we expect to see both investment and consumption expenditure growth to slow down a bit.

    Inflation - Enemy at Home

    Inflation has skyrocketed from 3.8% at the end of December,2007 to 7.8% at the end of March,2008. It moved up further at 12.44 % as of 2nd August,2008. The rise in inflation is primarily contributed by rise in prices of Crude Oil, Commodities like Steel, and food prices of late.

    The council is of the view that tight monetary policy, cooling down of Crude Oil and good monsoon can bring the inflation rate down to 8-9 percent by March 2008-09.

    Besides the above factors, the employment rate has shown significant improvement in last 5 years nut the rate of growth is expected to slow down a bit. We have also witnessed wide variations in state wise emplyment growth which suggests huge divide between states.

    To sum up, Year 2006-07 was the golden year for the Indian economy in which most of the sectors have given highest growth rates. However, the growth rate has slowed down significantly due to negative gloabl cues and pressure of rising inflation back at home. Hence , we can say that a brake has got applied to the economy which was operating in th top gear. We are still much behind china in terms of economic growth and the overall assessemnt says that though the pace of growth has slowed down, it's not the end of the world. The shape of India's growth story in the coming years would depend on how it deals with these evils of growth and resume its fast track growth. The peak is yet to come.

    Read More!

    Bank loans for DDA Flats Registration amount

    Central Banks offers Loan for DDA Housing Scheme Registration Amount

    The Central Bank of India has taken the initiative to come forward and provide loans to applicants for DDA housing Scheme-2008. The Bank will provide loan for the Registration amount.

    For Financing the loan amount of Rs. 1.5 Lacs towards Registration amount, the bank will charge an upfront interest of Rs. 5680 which will include interest charge @10%, Service charges and Stamp paper cost. The loan is available at the Vikas Sadan Branch of the Central Bank of India. The Bank is also organising camps at Safdargunj Aiport, at Central School, safdargunj and opposite Vikas Sadan for the benefits of the people applying for the DDA Flats.

    This is just the beginning. Leading Banks like State Bank of India, HDFC Bank, Axis bank and Punjab National Bank are also most likely to announce loan scheme for DDA flats shortly.

    Related Articles

  • DDA Brochure & Application Form

  • Highlights of DDA Housing Scheme,2008
  • Read More!

    Govt. approves Sixth Pay commission report

    Independence Day gift for Govt. Employees

    Good news for Central Government employees and defence forces. UPA Government has approved the 6th Pay commission report which was submitted to it in March,2008. The Six Pay commission was headed by Justice B N Srikrishna.

    Highlights of Sixth Pay Commission Report

    • The average increase in salaries is to the tune of 21%.

    • The hike is with effect from January 1,2006. You can download the Salary Calculator spreadsheet to find out your Revised Salary after the pay hike.

    • The hiked salary would be given to the employees beginning September this year and the arrears from January 2006 would be given in cash in two installments - 40 per cent this fiscal and 60 per cent in 2009-10.

    • The government has increased the minimum entry level salary of a government employee to Rs 7,000 against Rs 6,660 recommended by the Commission.

    • The rate of Annual Increment has also been increased from 2.5% to 3%.

    • At least three assured promotions for all defence forces personnel and civilian employees under the modified Assured Career Progression scheme.

    • While civilians would get this after 10, 20 and 30 years of service, defence forces jawans would be promoted under ACP after 8, 16 and 24 years.

    • The government has also approved Military Service Pay for armed forces personnel, under which officers would get Rs 6,000 over and above their pay per month.

    • The lowest limit of disability pension for defence personnel has been doubled to Rs 3100 a month.

    • The Revision in pay structure would increase the total emoluments of an employee at the lowest level beyond Rs. 10,000 per month (including allowances)

    • In a significant modification of the Pay Commission recommendation, the government has raised the fitment rate, which helps in arriving at higher allowances in view of merger of 50 per cent DA with basic pay, in revised pay bands to 40 per cent as against 28 per cent.

    Impact of Pay Commission recommendations

    • Well, this is a three cheers news for the Central government employees as well as the armed forces since they would get 21% higher pay than what they used to get earlier. Their friends in private sector may feel jealous about it.

    • Since a large chuck of the Government employees come under the Middle Class segment, this would help increase their purchasing power and hence standard of living. The arrears from January,2006 would be an additional bonus and would mainly be used as saving corpus.

    • The Pay hike would cost the exchequer Rs 22,131 crore -- Rs 15,717 crore on the General Budget and Rs 6,414 crore on the Railway Budget -- in 2008-09. This would increase the fiscal deficit as a % of GDP.

    • The government would have to find additional sources of funds to bridge the deficit. Since the Macro environment is already worsening due to higher inflation, lower IIP and lower GDP growth estimates, the pay revision would be an additional challenge for the government.

  • Download Your Salary Calculator

  • Download Sixth Pay commission Report

  • Update:

    Salary Calculator (Modified as per Cabinet approved recomendations ) from Staff Corner ( Click below to download

  • Sixth Pay Commission Calculator Option 1

  • Sixth Pay Commission Calculator Option 2
  • Read More!

    DDA Housing Scheme-2008

    Download DDA Housing Scheme'08 Brochure and Application Form

    DDA has finally posted the Brochure for DDA Housing Scheme'08 on its website. Click Here to download the DDA Scheme Brochure which contains all the details regarding the scheme including how to apply, documents to be submitted, details of flats on offer and list of banks where forms are available.

  • Download DDA Scheme Brochure
  • Download DDA Housing Scheme Application Form

    You need to go to DDA website to generate the online application form.

    Go to the following link :
    DDA Scheme Application form - 2008

    You will see the window as shown below :

    Type your name in the box for "Applicant name" and Click generate. You if you have typed the name wrongly , click reset to type the name again.

    The application form will open up in the new window on your screen. The form will have the application number and your name printed on it. You can save the form and take print of it and then fill and submit it to DDA office before 16th September.

    If the DDA website doesn't open up for some reasons, you can download the brochure from link below

    Download Housing Scheme Brochure -2008

    Come back on this blog to read detailed analysis of the scheme and which flats should investors opt for in the scheme to get maximum gains.

    Related Articles :

  • DDA Scheme launched

  • DDA Scheme -Investment Opportunity

  • DDA Housing Scheme -Highlights
  • Read More!

    DDA Update: Housing Scheme'08 launched

    DDA launches Housing Scheme'08

    DDA has launched the Housing Scheme 2008. The scheme offer 5010 flats and allotment to applicants will be made through lottery system. DDA has started sale of application forms for scheme. Forms are available at DDA office at Vikas Sadan from 10:30 am to 4:30 pm. The last date of submitting application to DDA is 16th September.

    Application forms are also available at Vikas sadan branch of State Bank of India and Central Bank of India and also at Nehru Place branch of Union Bank of India. Application forms are also available at selected branches of Axis Bank, HDFC Bank, ICICI bank and IDBI Bank.

    The application form for DDA flats is not available online on DDA website yet.

    Applicants are advised not to rush for application form as the initial enthusiasm for collecting the forms will slow down in a week's time. Anticipating huge response, DDA has printed five lakh brochures and hence shortage of forms should not arise. DDA would post the application form for direct download from the DDA website. Investment Guru readers can also download the application form from this blog once it is made available online by DDA.

    More Updates on DDA Flats

    • Of the 5010 flats on offer are 3483 one bedroom flats, 889 two bedroom flats and 352 three bedroom flats. Another 286 flats will be under the expandable category where the owner can add upto two extra storeys. The flats are priced keeping in mind the middle and low income group.

    • Allotment will be done through a computerised process wherein every application after scrutiny will be allotted a random number to prevent irregularities and keep the process foolproof. The data will be fed into the computer and a draw will be carried out in the presence of judges and the media

    • Results are likely to be declared nearly three months after the application process ends on September 16.

    Related posts

  • DDA flats - An excellent opportunity to invest

  • Highlights of DDA Housing Scheme'08
  • Read More!

    Real Estate - DDA Housing Scheme'08

    DDA flats - An excellent opportunity to invest

    DDA is launching the Housing Scheme'08 on 6th August,2008. There are around 5000 flats on offer. See my post on highlights of the scheme. The question is " Should one apply for the flats under this scheme" ? Investment Guru is of the view that one should apply for the flats under the scheme. It's just like applying for an IPO in the stock markets. You are going to block Rs. 1.5 Lac of you funds and if you get allotment the gains would be significant. If you are cash starved there is another attractive option of getting the registration amount finance and wait for getting lucky in the draw.

    Why is DDA Scheme attractive ?
    The major attraction of the scheme is that the flats are being offered at a price which is around 30-40% lower than the prevailing prices in these localities. The chances of real estate prices going down in these location because of the lower prices offered by DDA is very low, since the number of flats on sale are quite low in comparison to the total real estate matrix of these locations. So an allotment in this scheme is going to generate significant gains for the investors. Real estate prices in locations like dwarka has seen consistent rise and has offered excellent gains to those who have applied in the 2006 Housing scheme. This time around too, people who get allotment are likely to fetch a premium in the range of 2-5 lacs on the DDA prices.

    I don't have money for Registration amount ?
    No problem. As soon as the scheme is launched you will see a flood of advertisements in the newspapers regarding banks and financial institutions offering loan for the Registration amount. In other words, If you don't have money for Registration or if you don't want to block your own cash reserves for this, you can avail a financing option from banks for registration amount. Banks generally come up with a scheme where they fix a Non-refundable amount for financing the Registration amount.

    In 2006, Banks came with a Fixed amount of Rs. 5000 for financing the Registration amount. This year it may be bit more in view of higher interest rates. Suppose banks fixes Rs. 7000 this time around, it would mean that in lieu of putting 1.5 lacs of your own, you would pay nothing but Rs. 7000 to a bank for financing the registration amount. If you do not get allotment then Rs. 7000 would be your loss in terms of financing the deal. If you get allotment, it would a peanut considering the gains for your allotted flat.

    I want to sell on allotment, Can I do so ?
    There is an active market for trading once you get the allotment of flats under the scheme. So, if you didn't intended to hold on to the flat, but just wanted to grab the premium for allotment of the flat, you can sell the flat in the open market.

    Related Posts
    DDA Housing Scheme'08
    DDA Website Read More!

    Realty Check : DDA housing Scheme'08

    DDA Housing Scheme'08 to offer 5000 flats

    After successful closure of DDA Housing scheme in 2006, Delhi Development Authority has once again come up with its blockbuster Housing Scheme'08 offering flats for as low as Rs. 7 Lacs. The DDA Housing Scheme'08 is scheduled to be launched on 6th August,2008.

    Highlights of the DDA Scheme
    • The Delhi Development Authority is launching a new housing scheme, “DDA Housing Scheme -2008”, to allot about 5,000 flats on a freehold basis.

    • The scheme will be open from August 6 to September 16.

    • The scheme aims at providing housing for all sections of society and hence offers wide range of choice.

    • There are 3483 One-bedroom flats, 889 Two-bedroom flats, 352 Three-bed room flats and 286 that can be later expanded.

    • Flats will be located in Pitampura, Dwarka, Motia Khan, Paschim Vihar, Dilshad Garden, Vasant Kunj, Narela, Shalimar Bagh, Jhilmil, Nand Nagari, Peeragarhi, Sarai Khalil, Rohini, Lok Nayak and Bindapur. However, majority of the flats are located in Dwarka, Narlea and Rohini.

    • Multi-storey ed flats with lifts will also be on offer at Pitampura, Dwarka and Motia Khan.

    • All freehold properties, the flats are within the price range of Rs 7.2 lakh and Rs 77.8 lakh depending on size and location.

    • Narela is offering the cheapest flats.

    • Most expensive is a 3 Bedroom flat in Motia khan priced at 77.8 Lacs.

    • Most Affordable is a single Bedroom flat in Narela at Rs. 7 Lacs.The application forms along with brochure will be available from the DDA sales counter at Vikas Sadan, almost all branches of AXIS Bank, HDFC Bank, ICICI Bank and IDBI Bank, besides the Vikas Sadan branches of State Bank of India and Central Bank of India.
    • The Draw is expected to happen in December 2008 or early January 2009.

    How to apply for DDA Flats ?

    • The application forms along with brochure will be available from the DDA sales counter at Vikas Sadan, almost all branches of AXIS Bank, HDFC Bank, ICICI Bank and IDBI Bank, besides the Vikas Sadan branches of State Bank of India and Central Bank of India.
    • The cost of the application form and brochure is Rs.100.
    • The registration amount under the scheme is Rs.1.5 lac.
    • The Registration amount has to be deposited along with the application form by a banker’s cheque/demand draft and no payment by cheque is acceptable.
    • The applicant can have five preferences for flats of all categories.
    • Applicant has to submit the self-attested copy of PAN and proof of residence.
    • Those who apply under the reserve category would have to submit a certificate to that effect.
    • The allotment to eligible applicants will be made through a computerised draw based on random number techniques.
    • The results of the draw will be displayed on the notice board at Vikas Sadan and would also be available at

    Should one apply for DDA flats under the DDA Housing Scheme'08 considering the ongoing confusion over future of real estate prices in India. Does it appeal as an investment option or should one apply only if he wants to use it as a residence ? How much profit can one earn in case of allotment? Are there any funding schemes for registration amount ? We will seek replies to these questions in the next post.

    Visit DDA Website

    Read More!

    Due date of filing Income tax return is 31st July'08

    Last day Tips from IncomeTax website

    Income tax department has posted few tips that would be beneficial for return filers and would avoid jamming of website due to heavy rush. The department's website is working fine as of now.

    • For a smooth E-filing experience please observe the following. 1>Completely prepare your return and generate xml and keep ready.

    • Login only when you are ready to upload your return.

    • At the time of login, do not, repeatedly click on the 'Login' button. Please wait till your first login request is accepted.

    • After login please click on submit your return and upload the xml file.

    • Please download your ITR-V from My Account-> My Return link or wait for ITR-V to be received via email.

    • Please immediately logout and close your browser. This will enable other users to login and submit their returns.

    • E-filing for AY 2008-09 is now available for all ITRs. Please download the free Return Preparation Software for these ITRs from the downloads page in the website.

    • Income Tax Department has launched Web service facility for E-Return Intermediaries. Please download the latest Web Services Manual and follow instructions to avail this facility.

    • Please efile early to avoid last minute rush! The due date for filing returns for individuals and non-corporates not required to get their accounts audited u/s 44AB is July 31st. E-filers will get a automatic 15 day grace period from date of E-return upload to submit their signed and verified ITR-V to the Income Tax Department.

    • To enable taxpayers to file returns in the electronic mode, Income Tax Returns (except ITR-7) have been made annexureless. The CBDT has issued clarifications on annexureless returns. Click here to download Circular 6 of 2008 and related Press Release.

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    Guidelines for filing ITR

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    IPO Update: Nu Tek India

    Sustaining growth a challenge – Avoid it

    Nu Tek India has entered the capital markets with an offer of 44 Lac shares at a price band of Rs. 179-192. Investment Guru is of the view that Investors should avoid the IPO on account of following reasons:

    • Nu tek is operating in a very competitive segment and has limitation of scale of operations.

    • In view of above, it would not be possible for the company to sustain its growth rate of over 47%. The growing trend of Infrastructure sharing by telecom companies would also act as a restraint.

    • The issue is priced at a PE of 15.6 which looks aggressive considering the current market scenario. Since the issue is small it may sail through, but it may not provide listing gains to the investors unless there is change of sentiment at the time of listing. The listing trend of recent IPO’s is sufficient to deter investors from applying blindly to the IPO’s. See my post on Initial profit-less option

    • The business model is skewed towards limited customers.

    • Large players have significant advantage in securing large scale orders and hence Nu tek faces serious challenge with regards to competitors like GTL who enjoy better presence and have better financial and technical competencies.

    Issue opens : 29-Jul-2008
    Issue Closes : 01-Aug-2008
    Registrar : Aarthi consultants
    Related Information
    About the company
    Company Fact Sheet
    Company's Strength
    Check IPO Allotment Status of NuTek

    Read More!

    File your Income Tax Return before 31st July

    Don't worry if you couldn't file return in time

    I am sure most of you must be spending a lot of time arranging your documents related to computation of Income Tax and trying to meet the Deadline of 31st July,2008 for filing of return of Income. Here are some tips which would be beneficial for you in filing the return without having unreasonable worries of implications.

    Deadline of 31st July for whom ?

    All individuals and business entities , other than companies, who are not liable to get their accounts audited are required to submit their return of Income by 31st July. For companies, the due date is 31st October. So all individuals, who have income from salaries, interest, house properties, capital gain tax or business income where the books of accounts are not required to be audited , are covered under this.

    Benefits of Submitting Return in time

    Well, the biggest benefit is that you get peace of mind and get rid of botheration of the implications. So Ideally I would recommend that one should submit one's return in time. The other benefit of submitting the return in time are

    • You would be allowed to file a Revised return of Income in case such need arises. Returns filed after due date are not allowed to be Revised.
    • You would be entitled to carry forward the losses under Capital gains. Later return filers lose this benefit.
    • You will save on interest charges on late payment of taxes. This applies if you have some tax payable in addition to what has already been deducted at source. In that case you need to pay interest @1% per month.

    Delay in submission of Return, Don't worry !

    Yes, 31st July is the due date for filing the return of Income, but it is not the last date of filing the return. You can file your return by 31st of March 2009 for assessment year 2008-09 without paying any penalty. Another good thing is that if you do not have any liability of paying tax in addition to what had already been deducted, you will not incur even the interest charges. So if your return does not show self assessment tax to be paid, you can safely deposit your return by 31st March, provided you don't get the need to revise your return.

    File your tax online and get 15 days more to submit ITRV

    Yes, this is a bonus for those who are filing the return online. What you need to do is file your return online and then you will get 15 days to get the acknowledgement submitted to your nearest IT office irrespective of the deadline of 31st July. So if I submit my online return on 31st July, I can deposit the acknowledgement form till 15th August and will still qualify for in-time submission. But remember to upload your return online before 31st July. It's a very easy and user friendly procedure. You can log on to Income tax department website to get step by step procedure of filing online return.
    Related post

    Guidelines for filing Income Tax Returns

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