Your Weekly dose of Legal, Technology and Risk Insights
TOP STORY OF THE WEEK
India and the European Union finalise a free trade agreement
India and the European Union have signed a landmark free trade agreement, described by both sides as historic. The deal covers India and all 27 EU member states, representing nearly two billion people and a combined market of around $27 trillion, or about 25% of global GDP. The agreement was announced during high-level engagements in New Delhi, attended by Prime Minister Narendra Modi along with European Commission President Ursula von der Leyen and European Council President Antonio Costa. Leaders said the pact will open up significant economic opportunities and further strengthen the strategic partnership between India and Europe.
LEGAL & TECH
White paper released to ensure safe and trusted AI ecosystem through techno-legal framework
Ahead of the India-AI Impact Summit next month, the Office of the Principal Scientific Adviser (PSA) has released a white paper titled Strengthening AI Governance Through a Techno-Legal Framework. The paper outlines India’s approach to building a trusted, accountable, and innovation-friendly AI ecosystem. A key focus is enabling “safe and trusted AI” across the entire AI lifecycle. It proposes a techno-legal governance model to balance risk mitigation with flexibility and innovation. The 40-page document highlights a pro-innovation regulatory approach that blends legal safeguards, sector-specific rules, technical measures, and institutional oversight.
Bengaluru: Case filed against Karnataka BJP over defamatory X post targeting CM Siddaramiah, Dy CM Shivakumar
The Karnataka Pradesh Congress Committee (KPCC) has lodged a complaint with the cybercrime police against the Karnataka BJP’s official X account for sharing defamatory content targeting Chief Minister Siddaramaiah, Deputy Chief Minister DK Shivakumar, and other ministers. KPCC’s legal team submitted the complaint at Bengaluru’s Cyber Crime Police Station, leading to the registration of a case. The complaint claims that the post, featuring images of the CM, DCM, and other ministers with the caption “Scam Lords,” aimed to tarnish their reputation and mislead the public by falsely accusing them of looting the state.
Supreme Court Rules on Contract Labour Dispute in Premium Transmission Case
The Supreme Court dismissed an appeal by M/S Premium Transmission, ruling that a formal demand notice to management is not a mandatory prerequisite for referring an industrial dispute to adjudication, especially when a dispute is "apprehended". While the Union claimed their labor contracts were a "sham" designed to deny benefits, the Court set aside an interim order for immediate reinstatement, stating that employer-employee relationships must be proven first. The Bench emphasized that Section 10 of the ID Act allows the government to intervene before industrial peace is shattered. Ultimately, the Industrial Court was directed to determine if the management was the true principal employer within a four-month timeframe.
CORPORATE COMPLIANCE
India’s central bank has postponed plans to make climate risk disclosures mandatory for banks
India’s central bank has paused plans to require banks to disclose and manage climate-related risks, sources said. The proposed norms, under discussion since 2022, were aimed at improving transparency around climate exposure and green investments. Similar disclosures are mandatory in several countries, but global focus on climate risk reporting has softened recently. The RBI’s draft rules had envisaged voluntary disclosures from the 2027 financial year. While the guidelines are ready, the regulator does not see them as an immediate priority, according to sources.
SEBI introduces a standardized compliance reporting framework for Specialized Investment Funds
Sebi on Thursday introduced a standardized compliance reporting format for Specialized Investment Funds (SIFs) to ensure uniformity in disclosures by mutual funds and asset management companies (AMCs). The updated Compliance Test Report (CTR) now requires AMCs to provide details on investment thresholds, fund manager certifications, strategy compliance, fee limits, and investment restrictions. It also covers derivatives, REITs/INVITs, branding, offer document disclosures, portfolio reporting, and redemption rules. The Half-Yearly Trustee Report (HYTR) has been amended for trustees to confirm AMCs’ systems, risk management, and investor protection measures.
RISK INTELLIGENCE
TVS Supply Chain Solutions acquires Swamy & Sons 3PL in an Rs 88 crore deal
TVS Supply Chain Solutions (SCS) on Wednesday revealed that it has taken over Hyderabad-based third-party logistics firm Swamy & Sons 3PL (S&S3PL), marking a strategic expansion move by the company. The acquired firm brings with it a robust operational network and long-standing relationships with prominent clients in the FMCG and FMCD sectors, particularly across Andhra Pradesh and Telangana, where it has a dominant footprint. The transaction was carried out through TVS SCS’s fully owned arm, FIT 3PL, at an enterprise valuation of Rs 88 crore. The deal will be financed entirely through the company’s internal funds. S&S3PL has built specialised capabilities in FMCG logistics over the years and caters to several leading brands across India.
India Is Undergoing an Unprecedented IPO Boom
India’s IPO market saw a record-breaking boom in 2025, with over 100 companies raising around $22 billion, driven by strong domestic and foreign investor participation. Major listings included Tata Capital, HDB Financial Services, and LG Electronics India, many of which were heavily oversubscribed. The surge reflects a shift toward tech- and innovation-led sectors, higher valuations, and deepening domestic investor interest through mutual funds and insurance. Strong equity market performance, easy access via mobile trading, and long-term market growth have bolstered confidence. Analysts expect the momentum to continue in 2026, with projected IPO proceeds of $20–25 billion and several high-profile listings lined up.
The CBI has launched searches across several Kolkata sites linked to a Rs 1,000 crore bank scam
The Central Bureau of Investigation has initiated extensive search operations at the offices and homes of a Kolkata-based finance company's directors. The probe centers on the misappropriation of approximately Rs 1,000 crore from a public sector lender over a six-year period. Officials confirmed that the raids, conducted under heavy security, aim to uncover evidence of fund diversion disguised as legitimate borrowing.