A look at the June quarter earnings presents a mixed picture of India Inc. While commodity users bore the brunt of elevated raw material prices, commodity suppliers enjoyed abnormally high profits. Profit margins, however, squeezed across the board as corporates couldn’t pass on the entire increase in costs to consumers.  Analysis of about 1,940 companies, excluding financials, shows that while aggregate net profit rose from 1.41 trillion rupees to 1.58 trillion rupees on a year-on-year basis in Q1FY23, the aggregate profit margin contracted from 7.9% to 6%. Sequentially, net profit fell from 2.03 trillion rupees, and margin shrank from 8.3%. Within the Nifty50 universe, profits of the 31 Nifty companies, that had released their results till the end of July, rose 12% YoY, single-handedly driven by BFSI. If one were to exclude banks and financials, the profits would have declined 1% YoY. Analysts say unusually high inflation was the biggest sore point for earnings. Jitendra Upadhyay, Senior Research Analyst, Bonanza Portfolio, says high inflation and consequent price hikes have hit demand. Managements cautioned against demand slowdown. Certain sectors saw reduced growth guidance, he says. On its part, the Reserve Bank of India has hiked repo rate by 140 basis points, and cash reserve ratio by 40 bps so far in FY23; yet it has kept FY23 inflation estimate unchanged at 6.7% YoY. Market mavens say the status quo on inflation above the upper tolerance level of 6% entails risk of destabilising demand expectations. Overall, FY23 earnings have been downgraded by over 4% driven by aviation, metals and energy. Going forward, earnings growth will hinge on commodity prices. Vetri Subramaniam, Chief Investment Officer of UTI AMC, for instance, believes, “With the retreat in commodity prices, the worst of the margin pressure is behind us. Earnings estimates in sectors where volumes and pricing are sensitive to global growth trends could see challenges as concerns about growth.” Motilal Oswal, too, says, “Earnings miss by heavyweights Reliance Industries and Tata Motors led to aggregate earnings miss in Q1FY23. However, as the benefit of the recent moderation in commodity costs start accruing in the second half of fiscal 2023, we expect laggards of Q1 to contribute in growth.” Stock markets will be guided by global cues and stock-specific action today.

In April this year, the Union finance ministry had barred ministries and departments from issuing letter of comfort. The idea was to usher in transparency. And now, the Reserve Bank of India has disallowed such quasi bank guarantee instrument provided by a corporate. So what is this document? A letter of comfort is a support document issued to a borrower that adds some strength to the transaction when giving loans. Letter of comforts are usually issued by a third party or a stakeholder in the transaction. For instance, a holding company can give a letter of comfort on behalf of its subsidiary or a government can issue a letter of comfort for public sector enterprises. The letter of comfort can also be issued by banks, NBFCs and auditors. The letter of comfort is not legally binding or an obligation by the holding company to repay the loans. It is just an assurance to the lender that the holding company is aware of the transaction, the policies of the subsidiary and its intentions in seeking a loan. This provides some comfort to the financial institution to lend money for short term or long term. One can say that the letter of comfort could become a moral obligation and not a legal one.   In some cases, the letter of comfort can become legally binding. Sometimes, the wording used in the letter could be interpreted in a way to force legal obligations and hence those issuing it are doubly careful. A letter of comfort is different from a letter of guarantee. As spelled out in the name, the letter of guarantee acts as a commitment to the lender that the issuing company is taking responsibility for the repayment. It is also legally binding and the transaction becomes an obligation for the guarantor. Holding companies usually give letters of comfort when they are unable or unwilling to give letters of guarantees. According to a recent report in a leading daily, loans worth thousands of crores are at risk of downgrade as the Reserve Bank of India disallowed letters of comfort provided by a corporate. The RBI has also directed all credit rating agencies to rely on explicit guarantees and not letters of comfort or support while assigning credit enhancement.

The Big Bull of Dalal Street, India’s Warren Buffett, Man with the Midas Touch, the Eternal India Optimist, King of the Stock Market – the legendary investor Rakesh Jhunjhunwala carried many nicknames. His death on Sunday at 62, prompted an outburst of tributes from businesspersons, politicians and investors big and small who followed his insights and stock bets. Jhunjhunwala’s investing career started in 1985 with 5,000 rupees of borrowed money. At the time of his death, his net worth is estimated at $5.8 billion or 46,000 crore rupees. His first big profit came from the 5,000 shares of Tata Tea he bought in 1986. In three months, Jhunjhunwala tripled his money. There was no looking back after that.    In the late 1980s, the qualified chartered accountant made a leveraged bet on iron ore exporter Sesa Goa which brought him his first crores. He bought the stock at 25-26 rupees and sold the holding in tranches, riding the stock till it reached 2,200 rupees. His investment in Tata Power also paid off at the time.  Jhunjhunwa’s affinity for Tata group stocks continued. In fact, Tata’s Titan Company made him the most wealth. He first purchased the jewellery and watch maker’s shares in 2002.  His other stock holdings from Tata group were Tata Motors, Indian Hotels Company and Tata Communications. He also multiplied his investments several times in stocks such as Lupin and CRISIL.  His biggest holding at the time of death remained Titan, accounting for over Rs 11,000 crore or one-third of disclosed portfolio value.  Although famous for his bets in listed stocks, Jhunjhunwala did not shy away from taking bigger risks through private market investments He reaped a windfall when three of his portfolio companies, Nazara Technologies, Metro Brands and Star Health and Allied Insurance, hit the public markets last year.  A Business Standard analysis showed that 76% of the value of Jhunjhunwala’s disclosed portfolio emerged in the last seven years after he turned 55 and the biggest gains came in the past two years. The value of his disclosed portfolio rose from 8,431 crore rupees in March 2020 to 30,652 crore rupees in August 2022.  Raamdeo Agrawal, Chairman & Co-Founder, Motilal Oswal Financial Services says, he was an ‘economic philosopher’, liked making predictions. Jhunjhunwala was a terrific bargain picker and he always tried to help his friends, be it with money or guidance, says Agrawal.  Rakesh Jhunjhunwala was astute not just as an investor who picked stocks for long-term holding but as a trader too. In 2018, he said he made a lot of money by shorting stocks and one of his biggest fortunes came from short selling in 1992 when the Harshad Mehta scam roiled the markets.  Rakesh Jhunjhunwala had his misses too in stocks, like Dewan Housing Finance Corporation, DB Realty and Mandhana Retail While some of his private investments paid off handsomely, In March last year, he acknowledged that half of his 20 private equity investments by then had turned out to be duds. His last bet was Akasa Air, in which he held a 40% stake. Motilal Oswal’s Agarawal described this bet as the ultimate bargain, as Jhunjhunwala made the most of the discounts offered by the aircraft manufacturer.    Jhunjhunwala made his last public appearance at the inaugural flight of Akasa, on August 7th.  Among India’s notable philanthropists, Jhunjhunwala’s faith in the India story and bullish commentary on the economy and markets was visible till the very end.  Such was his infectious optimism for India that Jhunjhunwala told a business news channel six days before his death, that regardless of global developments, Indian markets will grow, but at a slower pace. According to him, India was entering a golden age.

75 years ago, Jawaharlal Nehru had addressed the nation from here as he laid the foundation of a new nation. And this Monday, when Prime Minister Narendra Modi addressed the country from the ramparts of the Red Fort, he laid the foundation of the next 25 years. The sky was overcast with a slight nip in the air. Wearing a tricolour turban, PM Modi asked people to focus on 'Panchpran', or five promises. First, to move forward with bigger resolves and the resolve of a developed India. Second, to erase all traces of servitude. Third, to be proud of India’s legacy. Fourth, to focus on India’s unity, which is its strength. And fifth, to fulfil the duties of citizens with honesty.   But what is the ground situation like? A comparison with the developed countries shows that the government has a long road ahead if it wants to turn India into a developed economy within the next 25 years. In 2021, India’s per capita income, calculated in international dollars based on purchasing power parity, at 7,333.5 dollars was less than half of China’s in 2021. It was a seventh of Organisation for Economic Co-operation and Development countries’ per capita income of 48,482.1 dollars. OECD is a group of developed economies. While India’s per capita income grew at double the rate of OECD nations in the last 25 years, it would need to grow at 12.4 percent consistently to catch up to OECD countries within the next 25 years. It will have to grow at 8.2 per cent just to reach the level at which they are today.   India will need to take similar leaps to catch up when it comes to social indicators too. The infant mortality rate-- the number of infant deaths per 1,000 live births -- reduced from 76 in 1996 to 27 in 2020, but it was still over four times the OECD average of six. At the current pace, India will only be able to achieve an infant mortality rate of 10. Similarly, life expectancy at birth would have to increase faster than it did in the last 25 years to reach OECD levels. At the current pace, it would fall short of OECD economies. India added nine years to life expectancy for both males and females between 1995 and 2020. Prime Minister Modi also listed equality, specifically equality for women, as one of the five pledges citizens must take. It is a pledge that will challenge the nation on many fronts. One of the bleakest spots is the Female Labour Force Participation Ratio. It has dropped sharply and steadily in the last decade and a half, from 32 per cent in 2005 to just 19.2 per cent in 2021, although the latest data is a small recovery from 18.6 per cent – the lowest in 32 years -- in the first pandemic year of 2020. However, it is not all gloom. In the recently concluded Commonwealth Games, 40 per cent of India’s medallists were women, though that is lower than the 46.4 per cent in the 2002 Games. The new clarion call given by the Prime Minister will call for all levels of government, both Centre and state, and all sections of the citizenry, irrespective of caste, creed or religion, to work hand in hand. While policies and their effective implementation will be the primary levers to achieve this goal, ensuring unity, and thus, a unified purpose, should be the first step towards 'Mission 2047'.

As our country celebrates its Platinum Independence anniversary, here’s a throwback on the many events that brought financial markets to where they are today. Even before India got independence in 1947, it had at least one stock exchange up and running in BSE in 1857. The other prominent exchange, the NSE, was incorporated in 1992, and was recognised as a stock exchange by market regulator Sebi in 1993. BSE, meanwhile, remains one of the world’s oldest stock exchanges and the 8th largest exchange in terms of market capitalisation. One of the first few steps taken by the government post-independence was enactment of The Capital Issues (Control) Act that set the ball rolling for the Indian capital markets. And as investors equated investing in stock markets with wealth creation, the pool of investors kept growing over time. At the end of fiscal year 2021-22, the total demat account holders in India stood at 89.7 million compared to 35.9 million at the end of FY19 – up almost 150% in three years. In all these years, veterans have innumerable stories of booms and busts spread across decades. Within a decade of independence, India saw its first market scandal, involving Life Insurance Corporation of India and Haridas Mundhra group. The scam led to the resignation of the then finance minister. After the markets stablised, Reliance Industries launched its initial public offer in 1977, which market mavens say, brought about the equity cult in India. In fact, Dhirubhai Ambani had booked an entire football stadium in 1985 to hold its annual general meeting - a gala event for its 12,000 shareholders back then. And then there was no looking back for the equity markets then. After the big-bang ‘reformist’ Budget in 1991, FPIs and FIIs were allowed to invest in Indian equities in 1992. Today, they hold stocks worth around a fifth of India’s total market capitalisation. The period, thereafter, saw more frequent troughs than peaks. The Harshad Mehta scam hit the markets in April 1992, when the Sensex tanked 13%. While Mehta died in 2001, the stories of his modus operandi live on through OTT series like Scam 1992. The crashes that followed, include the Dot-com collapse of 2000; the 2004 fall post NDA’s defeat in the national elections; and 2008’s market slump amid the Global Financial Crisis. The GFC led to a sharp crash with the Sensex plunging 63% in 2008 to under 7,700 levels. 2008 also saw India’s financial capital under siege amid the 26/11 attacks, rattling investors. The last market crash came in 2020, when the world was hit by the Covid-19 pandemic. The Sensex and Nifty closed at their lowest level in four years, after nosediving 33% in just 13 trading sessions. In the commodity market, WTI crude oil futures dropped 306% on April 20, 2020, to settle at minus 37.63 dollars a barrel. The one-day plunge was the largest based on records going back to 1983. But, between these crashes, there were periods of massive gains. India’s Sensex touched 1,000-mark for the first time in 1990, and marched to hit the 10,000-mark in 2006. The index, then, hit the milestone of 25,000 in 2014, and scaled mount-50K in 2021. The lifetime high for the markets was during the same year. Going ahead, as India looks forward to its Centenary year celebration 25 years down the line, equity investors in India are optimistic that the BSE Sensex 30 will have scaled the 100,000-mark by then.

Along with the proliferation of brands, the growth in the broadening of the Indian markets is another of the country’s achievements. The Indian stock market has grown just like India has, stronger and more confident. It has benefited from India's growth while also helping it grow. In this episode of the podcast we take you on the journey that recalls the key moments that shaped Indian markets.

Let's start with J R D Tata and Ratan Tata. The Tatas’ business interest was diverse, though Jehangir Ratanji Dadabhoy Tata’s love for flying surpassed all else. A rare interview showed JRD telling host Rajiv Mehrotra that his biggest contribution as an industrialist was the creation of Air India. As India celebrates the 75th year of Independence, Tatas have Air India back with them once again. JRD’s successor, Ratan Tata, gave automobiles a new direction within the salt-to-software group: from Indica to Jaguar-Land Rover. And, the biggest corporate battle in India Inc played out in 2016 when Cyrus Mistry, then chairman of Tata Sons, was ousted in a boardroom coup overseen by Ratan Tata. Moving on, there's no way to talk about India Inc without delving into the role of the Ambanis. When Dhirubhai Ambani returned from Yemen in the late 1950s to set up a textile mill in India, not many had expected him to re-write the rules of the game. In 1977, Ambani listed his company — Reliance Industries, now India’s largest company in revenues. From thereon, Ambani was unstoppable. However, after Ambani died without a will in 2002, his sons fought a bitter legal battle over control of the flagship company. In 2005, the siblings signed a peace agreement. Since then, while Mukesh Ambani-led Reliance Industries has flourished, the businesses held by Anil Ambani went to bankruptcy court. The next big chapter in Reliance Industries is currently being written with Mukesh launching his succession plan at the centre of which is GenNext of the Ambanis: Akash, Isha and Anant. Now, let's take a trip down memory lane. Remember the iconic “Hamara Bajaj” tagline? Well, today, let's remember the industrialist behind it. From putting up a relentless fight against Licence Raj and giving millions of Indians an opportunity to own a two-wheeler to standing up to power, Rahul Bajaj led from the front. “Hamara Bajaj” came to be associated as much with the scooter as with the man riding it. Over the four decades that he helmed Bajaj Auto, he transformed it into a global manufacturing giant. Today, the business empire — comprising Bajaj Auto, Bajaj Finance, Bajaj Finserv, and Bajaj Holdings and Investment — boasts a combined market capitalisation of over 8.4 trillion rupees. Corporate India owes much to the man who never shied away from calling a spade a spade. With his death in February this year, at age 83, India Inc lost a doyen and the curtain fell on an era. Speaking of doyens, the roaring success of India's IT sector brings one name to mind, a business leader who has made an indelible impact on modern India. We are talking of N R Narayana Murthy, who is known as the “father of the Indian IT sector”. He founded Infosys in 1981, which became the first IT company from India to be listed on NASDAQ. It has grown to become a company with a market capitalisation of approximately 104.71 billion dollars. Murthy has received the Legion d’honneur from France, CBE from Britain, and Padma Vibhushan from India. The Economist ranked him among the 10 most admired global business leaders in 2005. Now, let's drive down south to another manufacturing powerhouse. In 1911, T V Sundram Iyengar founded the now multinational conglomerate TVS Group. But the man who’s carrying the torch forward is the automobile pioneer’s grandson, TVS Motor Company Chairman Venu Srinivasan. Srinivasan is credited with transforming TVS from a 50cc moped maker in the 1980s to the third-largest two-wheeler manufacturer in India, competing with the likes of Hero, Bajaj and Honda. While the company still has a monopoly in mopeds, its range of products extends from e-scooters and gearless scooters to race motorcycles and BMW bikes. Moving on, let’s look at how two personalities turned a large family business into a global conglomerate, Aditya Birla Group. While Ghanshyam Das Birla or GD Birla, set up industries in critical sectors such

Amul Currently ranked as the eighth largest dairy organisation in the world, Amul was founded in 1946 as part of a cooperative movement against Polson Dairy and grew under the chairmanship of Verghese Kurien. What would become “the taste of India”, was at its heart a movement to ensure fair earnings for the country’s farmers. The brand found its mascot in the round-eyed utterly butterly Amul girl in a polka-dot dress. That was back in the ’60s. The Amul girl has since kept a close eye on the goings-on in the country, recording them day after day with her puns, witty takes and compassion, depending on what emotion the event calls for. From the Pokhran nuclear tests of 1998 to when India lifted the cricket World Cup in 2011 to Wordle, through her, Amul has kept a finger on the country’s pulse. Parle-G Amul milk has given you chai. But what is tea without Parle-G? The perfect accompaniment to chai in the middle of a busy work day, Parle-G was founded on swadeshi ideals in 1929 by Mohanlal Chauhan. It was an answer to expensive British biscuits — perhaps with a touch of French. As the ’80s approached, competitors started to launch their own glucose biscuits. Parle-Gluco could see its market share thinning as people started getting confused by similar brand names. Many also just wanted glucose biscuits — brand no bar. So, in 1982 the brand reinvented itself as Parle-G. A powerhouse of energy, a huge section of society started depending on Parle-G, not just for fulfilling nutritional needs but also for its budget-friendly prices — the prices remain so. Along with milk, Parle-G came to be considered staple baby food. The signature white-and-yellow striped biscuit packet, with the chubby Parle baby girl, is probably the most recognisable brand in the country, and according to Nielsen, continues to be the world’s best-selling biscuit. Maruti800 Another product that is inseparable from the India story is the Maruti 800. The joint venture between Maruti Udyog and Japan’s Suzuki Motors started with this small, box-like hatchback that was affordable and offered great mileage. It launched in 1983 at a price tag of 47,500 rupees. Tailor made for tribulations on the average Indian road and the aspirations of the average Indian family, the small car proved a revolution in the Indian auto sector, eventually replacing the legendary Ambassador and much-loved Fiat Padmini as the car of the first choice. Even as the economy opened up in 1991, the 800 remained a favourite, and Maruti Suzuki continued its hold over the auto market with the largest share, with its successive offerings. Air India If Maruti Suzuki is the king of Indian roads, Air India is the Maharajah of the Skies. The carrier is known for its royalty when it was born out of the J R D Tata-led group in 1932. But the brand struck a chord with the average Indian reader too. Back in the days, it had an aura about it and was one of the few organisations that put India on the global map. The carrier hit the skies roaring and found success for many decades thereafter. But then, turbulence hit. Air India was nationalised and it had seen fair share of losses. Amid all of this, Air India shouldered some of the biggest Indian evacuations during the Gulf war and most recently in a pandemic. Now back with the Tatas, the maharajah hopes to revive its glory days. Bollywood Moving on from Maharajah to the brand of brands which gave us the “Badshah” of Bollywood Shah Rukh Khan. How does one even begin to describe a brand like Bollywood: India’s biggest entertainer; society's mirror; the most influential influencer; a world of storytellers and dream merchants; one of the country’s most popular exports....Where does one start from? From Dadasaheb Phalke or Dadasaheb Torne? From Satyajit Ray or Bimal Roy? Or Hrishikesh Mukherjee, Basu Bhattacharya or Shyam Benegal? Which stars does one focus on? The gorgeous Madhubala? The institutions called Prithviraj K

Have a domestic vacation planned in the coming months? Or, are you planning to fly back home during the festive season? If yes, then this news may concern you. Starting 31st of August, the civil aviation ministry will remove price caps for the domestic aviation sector. This will give airlines flexibility on passenger fares. Under normal circumstances, airlines would be broadly expected to continue with current levels of fares despite the government deciding to remove domestic fare caps. This is mainly on account of costlier fuel. However, that could change based on whether airlines maintain pricing discipline or not. Airline executives have also told Business Standard that low-demand routes, flights with poor loads, and new routes could see discounts.  Caps on fares and capacity were introduced in May 2020 as air travel resumed after the nationwide Covid-19 lockdown. While the government allowed 100 per cent capacity deployment in October 2021, it continued with the pricing regulation.   Under the current policy, the government has been setting minimum and maximum fares for domestic flights that are applicable for up to a period of 15 days from the booking date on a rolling basis. For bookings beyond 15 days, airlines have been free to set their own fares. Going ahead, capacity addition, the demand-supply situation, and fuel prices could determine pricing. How much you end up spending could also depend on which route you're flying. Aloke Bajpai, the co-founder and group CEO of ixigo, told Business Standard that airfares should gradually decline on routes with softer demand. Basically, customers can enjoy lower pricing on sectors or routes with comparatively low flight loads. However, another travel agency company executive believes that select flight routes, for instance between Indian metros, were likely to see a surge in pricing.   When you are travelling also matters. The announcement has come when traffic is lean. One financial daily reported that airline executives believe that a fare war could erupt. Ticket prices will decline if that happens. According to the report, airline executives see airfares falling considerably at least till the end of September due to lower traffic. They do expect airlines to maintain pricing discipline in the festive season that starts from October. However, it is possible that airlines that urgently need liquidity might undercut prices even then. According to data provided by travel portal ixigo, for tickets purchased about two weeks in advance, the average one-way fares on some of the top domestic routes have decreased by as much as 31%. For example, a Delhi – Mumbai ticket, which cost Rs 7,587 a month ago was down 24% to Rs 5,801 in the second week of August. Similarly, ticket prices on the Delhi-Goa route were down 20%, and Mumbai-Chennai route fell almost 15%. But the decline came from a high base. It was driven by airlines and online travel aggregators trying to cash in on the long Independence-day-weekend. The fares in July were 25 to 30% higher compared to January this year.

A slight turbulence in any aircraft, as it is thousands of feet above the ground, makes fliers edgy and unsettled. And what if there is a technical snag? Hundreds of fliers in a snag-hit Hyderabad-bound flight recently heaved a sigh of relief after their plane landed in Karachi. Under normal circumstances, they wouldn’t have been that happy.   Against the backdrop of a spate of emergency landings this year, the government told the Parliament on August 1 that airlines have reported 478 technical snags between July 1, 2021 and June 30 this year.   The recent incidents also forced the Directorate General of Civil Aviation or DGCA to direct SpiceJet to reduce its flights by half for eight weeks. The airline had reported a maximum number of snags in the last few months.   So what do these rising incidents of technical snags say? Are airlines cutting corners to stay afloat and are compromising on safety? The DGCA report suggests so.   The aviation regulator found that airlines were deploying staff with Category A licence as the final authorities in certifying planes. On July 18 it issued an order that only aircraft maintenance engineers or AMEs with category B1 and B2 licenses should do that job as they are more qualified and trained.   Category A licence engineers or technicians carry out minor line maintenance tasks based on their knowledge and experience,   While category B1 and B2 licence holders get specific type-rated training by airlines. Category B AME licence holders are also approved to do major maintenance works including repair, overhauling of mechanical components of heavy aircraft. Airlines usually determine the number of type-rated engineers required at any station.    Jitendra Singh Rawat, Former Joint DG in DGCA says airlines are type-training very few engineers for commercial reasons. Airlines are looking at this only as a way to meet their requirements, but not to establish an MRO. Major flight maintenance activities are outsourced by airlines to other countries.   Experts say the aviation regulator had adopted the European Union Safety Agency model for the aircraft maintenance staff that allowed airlines to issue Category-A licence to technicians. As a convenient measure and to conserve cash, the airlines started utilising Category-A licence holders at the transit base.   Clearly, there is a need for more well-trained manpower with Category B1/B2 licences. The DGCA says it issues enough licences. Between 2014 and 2022, it has issued 7,232 AME licences.   While the aircraft maintenance engineers with DGCA-approved licences get paid relatively well in line with the industry norms, the technicians at the bottom rank of the hierarchy argue that they get very less amount when they enter the industry as freshers. The pay-scale varies from airline to airline. But it is usually in the range of Rs 14,000 to Rs 19,000 per month for technicians, they say. As they move up the ranks, the staff get paid over Rs 20,000 per month. The trainee technicians are non-certified and don't have DGCA-approved licences. IndiGo has about 2,000 non-certified technicians on its payroll.   Currently, there are over 50 AME institutes approved by the DGCA. Experts say AME institutes only equip students with basic knowledge that is needed to get licences.   Airline executives have recently told Business Standard that high jet fuel prices and nascent recovery from pandemic have been holding them back from increasing the budget towards all this.   Globally too, technicians get paid less. According to an Aviation Technician Education Council (ATEC) survey in the US, the average entry-level hourly pay for a mechanic was $22.36 in 2021. Aircraft maintenance workers and pilots are demanding higher wages to cope up with high inflation. Recently, German carrier Lufthansa’s ground staff, including aircraft mechanics, went on a strike seeking higher pay of at least $358 per month.   Apart from the manpower, the DGCA has found tha