1. E-Stock Exchange Report prepared by Mr Sovik Bhattacharjee, B.Sc Mathematics Honors, MBA- HR & FINANCE, pursuing CS Executive (Registration Number: 140084567/04/2014)

2. A FEW SOCIAL, POLITICAL, EDUCATIONAL & PSYCHOLOGICAL REFORMS REQUIRED: In India our biggest challenge is we have got seniors who born & brought up in an environment where there is suppression of voice & innovation. In India, professional measure of an Individual is considered on the basis of professional experience & not in terms of Skills, competencies & passion for the subject. Under this situation, how can we expect that Indians will be able to transform Indian economy to a developed economy? People might think, why I am saying so, when India is a developing country? Well, answer is India was a developing country, India is a developing country & India will be a developing country but we truly don't know when India will become a developed country. Reason being a country cant become developed country, if existing parrot system of education continue & mentality of seniors holding critical positions does not change. I am not underestimating or humiliating anyone, but my question is why development of science & technology is not taken into consideration while designing our strategies. In this regards, I would like to highlight a few facts stated by Mr Ratan Tata (Former Chairman of Tata Group), recently via twitter. I firmly agree & endorse what Mr Tata, has said. I also agree that strategies of West Bengal, Government are obsolete & not in favour of Industrialization. But my request to Mr Ratan Tata is youth of Bengal, are also made up of flesh & blood, have some requirements like Jobs, foods, social life & social security etc thus effect of these hot discussion should not fall in business of Tata group in West Bengal. As far as West Bengal, government is considered, if people of Bengal feels that this government should not be allowed to get in Powers on 2016, I am sure they will utilize their voting rights. But we should wait & respect decisions of Common people of West Bengal, yes what we can do, in order to ensure that free & fair polling happens, in 2016 we can request Central Government, to provide Para Military Forces & if required presence of ARMY in certain area of West Bengal or rather entire West Bengal, as we have doubt whether there is any rule of LAW going in West Bengal or not. It does not mean that all people of Current Government or ruling party bad or responsible for this, many good people are there but sorry to say, if someone is humiliating Code of Laws, then these good people are not in position or not taking sufficient action against such hooligans. What ever happens, due to words fight, effect on trade & commerce should not be there w.r.t expansion & development of projects of Tata group. West Bengal, government cant provide remuneration to staff properly, they are just empty vessels who sounds a lot to secure their position, but careers & living of many people directly or indirectly depends on these projects or expansions of Tata Group.

3. CONTINUATION Second, biggest challenge in entire India is rule of 2%, means for any government tenders, or private projects, government officials of certain class & including people with political colours are still there who thinks its their birth right to maintain corruptions. Thus, natural course of work will be delayed if 2% of net project worth is provided to them as bribe. HERE I WOULD LIKE TO MENTION, THAT INDIA IS OVERCOMMING THIS, BY POLICIES OF CENTRAL GOVERNMENT. AND THIS RULE OF 2% IS RAPIDLY FADING AWAY AS GOVERNMENT(S) ARE TAKING INITIATIVES TO MAINTAIN FAIR, CORRUPTION FREE GOVERNENCE. BUT STILL THIS RULE OF 2% & RED TAPE POLICIES SHOULD COMPLETELY GO AWAY. And I am quite sure during reign of Mr Narandra Modi, we would be able to see, end of corruption & development of trade & commerce

4. PUBLIC PRIVATE PERTNERSHIP & E- COMMERCE USAGE: Over last few years we have seen Indian Government, along with a few state government tried to introduce & boost public private partnership model. Moreover, recently 100% FDI (Foreign Direct Investment) channels were opened for Railways etc as we have seen failure of PPP model. Salient features which are responsible of failure of PPP model: 1. Government were expecting proposals from corporate houses. 2. Entire work & operations will be managed by private entity, moreover majority of finance will be done by private entity but government will ensure direct & indirect intervention & will exercise control, by means of policies & financing a minor part of the project. 3. We are expecting a similar situation in case of 100% FDI channels. Because Railway as an example depends a lot on policies of government. Thus how much private entities will be interested that's a question? 4. But still 100% FDI channels will for sure provide better result as compared to PPP model because rights of investors & objectives of investment of making profits will be possible, as Indian Railways is considered as one of the most profitable sector in India. 5. WITH PPP MODEL biggest challenge was infrastructure & quality management as its was near to impossible to attract global players. But this problem will be solved, up to certain extent with 100% FDI channels.

5. INTRODUCTION OF E-COMMERCE FOR CERTAIN FINANCIAL INSTRUMENTS - PROS & CONS. I firmly believe that PPP model along with 100% FDI channels would deliver much better result if e-commerce can be introduced & strategies of government are modified. I am sure what I am saying is revolutionary but its time for Reserve Bank of India, Securities Exchange Boards of India (SEBI) & Ministry of Finance along with Ministry of Corporate Affairs should think about these liberal policies. In India, major problem is finance or arrangement of funds. I do agree that currently government is not in position to invest huge sum of money in various sectors where development is required with priority reason is allocation & arrangement of fund. But does it mean, India is a weak & poor country? No. Untapped financial leverage is there which is not exploited successfully & that's a key factor. Its like if 'a thirsty person cant move & reach well to get water, then why don't we take water from the well & offer it to the thirsty person'. Think in this way, a shampoo bottle of Rs 100 will take much more time to get sold in Indian Market as compared to 100 packets of Shampoo of worth Rs 3. It is because purchase capacity & requirement relation. Moreover, if 100 packets of Rs 3, shampoo are sold then profit margin will be much more as compared profit margin of a shampoo bottle of Worth Rs 100. What I am saying we have various Securities Exchanges which are recognized by SEBI, be it NSE, BSE, MCX. Those of us, who are well aware of operating style of these stock exchange they knew this facts earlier stock used to be traded by investors physically. Like floors in BSE used to be opens, brokers & members of stock exchange used trade physically. With advent of technology, this picture have changed a lot but still common people are far away from Investments in stock. Reasons are investment capacity, awareness, ease to deploy funds etc. That's why we can see money marketing & chit funds are developing rapidly in India & most of them are formed to cheat people & investors. Compare it with example of Shampoo Bottle. What I am proposing, utilization of E-commerce by these recognized stock exchange should be there. A virtual platform, where stock brokers, members of stock exchange will be able to trade online with investors & only requirement for an Investors should be a universal ID (like Passport, pan card) & Credit card or Debit Card. Opening of a Deemat account can be done online using same platform. A platform where Chartered Accountants, MBA (Management Consultant), Bankers, Company Secretaries will be present & can interact with Investors directly or via chat. Guide & consult them(Investors).Their Authentication will be done by membership no or License no. Everything will be done in a fair way & to ensure compliance, government officers of SEBI, RBI, MCA can monitor all activities.

6. Advantages 1. Due to rapid development of Information Technology, a wide range of Investors can be socially connected & attracted. 2. Investment can be done in simple way. Means Maximum people will be able to utilize the benefits of Investments. 3. Unfair Practices of Stock Brokers, members of Stock Exchange & sub brokers can be controlled because consultancy of CA,CS, MBA will available on same platform. Records of transaction, can be maintained & managed, thus forgery will reduced.

7. ADVANTAGES 4. Suitable security gateways can be planted so that authenticate Investors & Authenticate traders & other authenticate persons can only utilize this platform. 5. Presence of bankers on same platform will provide much more advantages. Transaction can be done easily & with simplicity. 6. If top private entities are not interested in investment via PPP model, then why not Government take initiatives to open separate enterprise, if required work & operations can be outsourced & for fund, issue IPO, FPO, Derivatives, use future, forward, call market globally where even small investors can participate. Amount of Investments Government is looking from Private Entities can be obtained indirectly via these instruments & methods. Its like if a thirsty person cant reach well, then let us open our doors so that someone sitting millions of miles away can be aware that we are thirsty & hence he can bring water for us.

8. ADVANTAGES 7. Government will be able to secure safety of investors & will be able to manage funds effectively for 360' development. 8. Its not ' money is not there' rather the major challenge is information & scope of investment, security of investment (proper risk management & avoid forgery), returns on investment, ease of investment, attracting small & medium size investors along with large investors. 9. Public Private Partnership means both private entity & public entity will be shareholders of an enterprise where private will manage the operations. Same can be achieved if Government opened an enterprise and then gather funds by issueing of IPO, FPO, Derivatives, Stocks, equities, preferential shares. Then Outsource the work if it does not wish to manage operations. Advantages will be since enterprise is a Government enterprise, Investors (globally) especially small to medium scale can be easily attracted, control of government in affairs of operations will be there at the same time will be able to generate jobs for millions. Its all about FUND MANAGEMENT

9. A VERY GOOD QUESTION A very good question asked about virtual stock exchange, if we see such things in future. Question is which market will be affected or will be target market? answer is retail investment market with ceilings upto 2lakhs. HNI MARKET SEGMENT, generally would not be affected, as such platform will be able to tap potential retail investment & would attract retail investors. I have seen recently how a few guys, friends of my brothers lost a fund upto 50 lakhs by investing in commodity market. The loss is of book loss kind. The broker in other words made them fool by doing repeated transaction which result in fictitious loss. Trading permission were not taken from the investors. Brokerage in stock market follows 2 methods generally, means 1: either up to 5% of net investment or 2: transactional billing, where broker gets commission on the basis of number of transaction. A most important feature associated with retail market, is holding investment up to certain tenure till it provide profits, often it has been proved frequent trading result in loss, exceptions are there. Here a CA or A management consultant can provide vital suggestion. I remember, our tenant, who also invest in stock market was suffering losses. Fortunately I was able to guide him to recover his losses. Yes, a point should also be considered i.e his patience & luck. Advantage for us is we continuously monitor the market, have significant network to know what may happen in the market & most important credit rating agency play a vital part. Thus if a virtual platform can be designed keeping in views of these minor feature, retail investors can be attracted for sure.