Term Sheet for APSFC Series VI : Primary Issue

Term Sheet for APSFC Series VI : Primary Issue

Description of the Bonds	APSFC Non SLR Bonds Series VI
Issuer	Andhra Pradesh State Financial Corporation (APSFC)
Issue Size	Rs. 160 crore with a green shoe option upto Rs. 160 crore
Nature of Instrument	Unsecured, Redeemable & Non Convertible Bonds in the nature of Debentures.
Mode of Issue	Private Placement
Instrument Form	In Dematerialized Form
Credit Rating	BWR A+ (SO) (Outlook:  Stable) by Brickwork Ratings and IND A (SO) (exp) by India Ratings and Research Limited.
Government Guarantee	Unconditional and Irrevocable guarantee from the Government of Andhra Pradesh for repayment of principal and payment of Interest.
Face Value	Rs. 10,00,000/- per bond
Tenure	10 Years
Call Option	At the end of 5th year.
Put Option	Nil
Redemption	In case call option is not exercised at the end of 5th year, the Corporation repays @ 20% on the bond value every year from the end of 6th year onwards.
Coupon payment	9.15% p.a. Payable Semi-annual.
Annualized Yield	9.36% p.a.
Offer opening date	11-01-2013
Offer Closing date	15-02-2013
Listing	The Bonds issued are proposed to be listed on the Wholesale Debt Market Segment (WDM) Segment of the Bombay Stock Exchange (BSE).
Registrar to the Issue	M/s. XL Softech Systems Ltd.
Trustee to the Issue	M/s. GDA Trusteeship Ltd., Pune to act as Agent & Trustees for and on behalf of the holder(s) of the Bonds.
Bankers to the Issue	HDFC Bank

Top EPFO officer suspended

Top EPFO officer suspended

The Union Ministry of Labour and Employment has suspended P Sudhakar Babu, the second senior most officer in Employees Provident Fund Organisation (EPFO), in the Rs 72-crore PF scam related to Andhra Pradesh-based Chaitanya Group of Educational Institutions. The case is being investigated by the CBI’s Anti-Corruption Bureau, Hyderabad, which requested for his suspension.

Sudhakar Babu was earlier posted in Hyderabad as Additional Central PF Commissioner. He was later posted as Additional Central PF Commissioner of Karnataka and Goa states. Babu was suspended Friday evening based on a request by the CBI which had filed an FIR last September against Babu and four regional PF commissioners — G R Suchindernath, K S Arya, A Ravi Kumar, and S S Shastry. “Sudhakar Babu is the main accused in the case, we had sent a request to the ministry. The investigation is still going on, it is a very lengthy process,’’ CBI SP H Venkatesh said on Sunday.

Controversial circular, interest rates kept EPFO busy in 2012

Controversial circular, interest rates kept EPFO busy in 2012

From slashing interest rates on EPF to a controversial circular that proposed to make it difficult to probe defaulting employers and recover provident fund dues of workers, it was an unusual year for the retirement fund body EPFO.

The circular, issued by EPFO head on his last day in service, was red flagged by trade unions as well as internally.

Only after the Labour Ministry's intervention, the Employees' Provident Fund Organisation (EPFO), which manages PF accounts of over 5 crore subscribers, decided to keep in abeyance its implementation.

The EPFO circular has sought to tighten norms for initiation of inquiry against employers in provident fund (PF) cases and clubbing of allowances with basic wages for computing PF contribution.