The government on Friday sent fresh signals about it commitment to disinvestment, saying preparations for stake sales in a number of Power companies are underway a little over a week after it announced an ambitious agenda to sell shares in dozens of profitable firms owned by it.

The government today announced a five percent increase in the dearness allowance for the central government employees and pensioners, with effect from July this year, entailing an outgo of about Rs 2,904 crore this fiscal.

The government is actively considering raising the retirement age of all central government employees, including those in the armed forces, from the present 60 to 62 years.

The Government of India has slapped a show cause notice to the US-based Continental Airlines for violating guidelines, in the wake of airliner’s “unpardonable” act of frisking of former President A P J Abdul Kalam at the Indira Gandhi International Airport in New Delhi.

The Delhi High Court has ruled that commercial renting of premises will not attract service tax , in a move that will cheer India Incfighting a slowdown but leave the central government about Rs 8,000 crore poorer every year.The Centre will challenge the order in the Supreme Court, said a government official who did not wish to be identified.