Day-549 | Daily MCQs | UPSC Prelims | CURRENT DEVELOPMENTS

Answer: C
Context: In October, 2023, the Chhattisgarh Government has granted habitat rights to its Baiga PVTG (Particularly Vulnerable Tribal Group) after the Kamar PVTG received habitat rights in the state.
Explanation:
Statement 1 is correct: Habitat rights are given to PVTGs under section 3(1) (e) [rights including community tenures of habitat and habitation for primitive tribal groups and pre-agricultural communities] of The Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006 also known as the Forest Rights Act (FRA).
Statement 2 is incorrect: Out of 75 PVTG in India, only three have habitat rights. The Bharia PVTG in Madhya Pradesh was the first, followed by the Kamar tribe and now the Baiga tribe in Chhattisgarh.
Additional information:
● Habitat rights recognition provides the community concerned rights over their customary territory of habitation.
● It includes socio-cultural practices, economic and livelihood means, intellectual knowledge of biodiversity and ecology, traditional knowledge of use of natural resources, as well as protection and conservation of their natural and cultural heritage.
● According to Section 2(h) of FRA, “Habitat includes the area comprising the customary habitat and such other habitats in reserved forests and protected forests of primitive tribal groups and pre-agricultural communities and other forest dwelling Scheduled Tribes.”
● Habitat rights safeguard and promote traditional livelihood and ecological knowledge passed down through generations.
● They also help converge different government schemes and initiatives from various departments to empower PVTG communities to develop their habitats.

Answer: B
Context: The Securities and Exchange Board of India is exploring the possibility of permitting the delisting of companies through a fixed price mechanism instead of the existing reverse book-building procedure.
Explanation:
Statement 1 is incorrect: In this method, shareholders of the company place offers to sell their securities back to the promoters or large shareholders who hold significant influence over the company’s policies. There is no fixed price mechanism in this process.
Statement 2 is correct: Reverse book building is a process used for efficient price discovery. During the period for which the reverse book-building is open, offers are collected from shareholders at various prices, which are above or equal to the floor price. The buyback price is determined after the offer closing price.
Additional information:
● Delisting means removing the securities of a listed company from a stock exchange. Once delisted, the securities of that company can no longer be traded on the stock exchange.
● Delisting can be either voluntary or compulsory.
1. In voluntary delisting, a company decides on its own to remove its securities from a stock exchange.
2. In compulsory delisting, they are removed as a penal measure for the company not making submissions or complying with requirements set out in the listing agreement within the prescribed timeframes.
How does Reverse Book-Building Work?
● Price Collection Phase: During the reverse book-building process, the company announces the intention to delist, specifying the floor price—the minimum price at which the company will buy back shares from the public shareholders. The company sets a specific period during which shareholders can submit their offers to sell their shares at various prices above or equal to the floor price.
● Gathering Offers: Shareholders, including retail and institutional investors, participate in the process by submitting their offers. They indicate the number of shares they are willing to sell and the respective price at which they want to sell them.
● Price Determination: At the end of the offer submission period, the company analyzes all the offers received and determines the final buyback price based on the demand and supply of shares at different price points. The objective is to arrive at a price that encourages a sufficient number of shareholders to participate and ensures a fair exit opportunity.

Answer: B
Context: The launch of GIFT NIFTY, formerly known as SGX NIFTY, marked a new milestone in the collaboration between India and Singapore. It began trading at the Gujarat International Finance Tec-City (GIFT City) in July, 2023 attracting more than 30,000 trades in one session.
Explanation:
Statement 1 is incorrect: It is the first cross-border initiative in connecting India and Singapore’s capital markets. It is a new product that allows investors to trade futures and options contracts on the NIFTY 50 Index, which is the benchmark index of the National Stock Exchange of India (NSE), on the Singapore Exchange (SGX).
Statement 2 is correct: Any trading member Indian or foreign setting up its office through subsidiary/branch model can start trading in the GIFT Nifty products by taking member ship of NSE IX. They can be either registered or non-registered.
Statement 3 is correct: GIFT NIFTY contracts are denominated in US dollars, which reduces the currency risk and conversion costs for international investors.
Additional information:
● The GIFT NIFTY stands for Gujarat International Finance Tec-City (GIFT) NIFTY, as the contracts are cleared and settled at the International Financial Services Centre (IFSC) in GIFT City, Gujarat, India.
● The IFSC is a special economic zone that offers various incentives and benefits to participants, such as lower taxes, relaxed regulations, and access to global markets.
● It is supported by the regulatory authorities of both countries, namely the Securities and Exchange Board of India (SEBI) and the Monetary Authority of Singapore (MAS).
● The GIFT NIFTY contracts are available for trading from 9:00 am to 11:55 pm Singapore time (6:30 am to 9:25 pm India time), which covers both the Indian and Singapore market hours, as well as some of the European and US market hours.
● The GIFT NIFTY contracts also have lower transaction fees and margin requirements than the existing NIFTY 50 contracts traded on the NSE.

Answer: A
Context: In May, 2023, the Andhra Pradesh government has started removing “dotted lands” in the state from the prohibited list, restoring full rights of selling or pledging these lands to the farmers who own them. Over 2 lakh acres of these British-era dotted lands have been identified for permanent denotification.
Explanation:
● Dotted lands are disputed lands for which there are no clear ownership documents. Typically, one or more individuals as well as the government’s Revenue Department lay claim over the land.
● These lands came to be known as “dotted lands’’ during, land ownership surveys and resettlement of land records the British era.
● In British era local revenue officials who were tasked with identifying government-owned and privately-owned lands put dots in the ownership column if more than one person claimed ownership.
How did these ownership disputes arise?
● This could happen if landowners did not leave clear wills passing on land to their heirs or children, and if a dispute arose because more than one heir lay claim over the land.
● Also, land could be deemed by the government to belong to the state but was under occupation by private parties.
● Some of the land records in question are more than 100 years old, and had been locked up in the prohibited list in and registers.
● During subsequent surveys, government officials left the ownership column blank indicating their disputed status as per Section 22A of the Registration Act.

Answer: D
Context: In June 2023, the Gandhi prize was awarded to Gita Press for its ‘outstanding contribution towards social, economic and political transformation through non-violent and other Gandhian methods’.
Explanation:
Statement 1 is incorrect: This award is given to individuals, associations, institutions or organizations who have worked selflessly for peace, non-violence and amelioration of human sufferings.
Statement 2 is incorrect: The award carries an amount of Rs. 1 crore, a citation, a plaque and an exquisite traditional handicraft/handloom item. The award is conferred by the President of India at a function in Rashtrapati Bhavan.
Additional information:
● Gandhi Peace Prize is an annual award instituted by Government of India in 1995, on the occasion of 125th Birth Anniversary of Mahatma Gandhi as a tribute to the ideals espoused by Mahatma Gandhi.
● The award is open to all persons regardless of nationality, race, language, caste, creed or gender.
● The Award may be divided between two persons / institutions who are considered by the Jury to be equally deserving of recognition in a given year.
● Work by a person since deceased cannot be the subject of an Award. If, however, his death occurred subsequent to a proposal having been submitted to the Jury(headed by the Prime Minister) in the manner stipulated in the Code of Procedure of the Prize, then a Posthumous Award may be made.
● Established in 1923, Gita Press is one of the world’s largest publishers, having published 41.7 crore books in 14 languages, including 16.21 crore Shrimad Bhagvad Gita.
● The institution has never relied on advertisement in its publications, for revenue generation. Gita Press, along with its affiliated organizations, strives for the betterment of life and the wellbeing of all.