Fitch downgrades India’s rating
New York—Fitch, the international rating agency has downgraded India’s sovereign rating from stable to negative, citing concerns about fiscal policy, privatization, deteriorating foreign investment climate against the Enron fracas.
Fitch rates the foreign and local currency obligations of India as BB plus and BBB minus, respectively.
Continued fiscal profligacy and back-paddling on privatisation and other structural reforms could adversely affect sovereign credit worthiness, prompting a more severe rating action over time, it said.
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Directors appointed under Sica valid
New Delhi- The department of company affairs (DCA) says that the special directors, appointed under Section 16 (A) of the Sick Industrial Companies Act (Sica) by the Board for Industrial and Financial Reconstruction, (BIFR) will not be disqualified for appointment as directors in view of new Section 274 (1)(g) of the Companies Act, 1956.

The DCA has further clarified that the provisions of Section 16 (5) of the Sick Industrial Companies Act have an over-riding effect over the Companies Act, 1956.

The provisions of Section 16 (5) of the Sick Industrial Companies Act, 1985 provide that the appointment of a special director, done under Section 16 (4) of the Companies Act, will be valid and effective, notwithstanding, anything to the contrary contained in the Companies Act or in any other law for the time being in force or in the memorandum and articles of association or any other instrument relating to the industrial company, and any provision, regarding share qualification, age-limit, number of directorships, removal from office of directors and such conditions contained in any such law or instrument aforesaid, will not apply to any director appointed by the Board for Industrial and Financial Reconstruction. 
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Trade deficit down during April
New Delhi— In the month of April the trade deficit was down by nearly 55 due to 10 per cent dip in imports coupled with an over 5 per cent increase in exports The deficit stood at $473.6 million compared to $1,090.82 million in the same period last year.
In rupee terms also the trade deficit fell by over 50 per cent in April at Rs 2,215.78 crore compared with Rs 4,760.21 crore in April 2000, as per provisional data released by the commerce and industry ministry on Friday.
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