We ensure that while making Inbound Investments (e.g. Liaison Office, Branch Office, Joint Venture, Wholly owned Subsidiary, etc) as well as Outbound Investments (i.e. choice of appropriate jurisdiction, structuring of investments) You comply with all the relevant Rules and Regulations prescribed for Foreign Exchange controls under the Foreign Exchange Management Act (FEMA).
We obtain approvals from the Foreign Investment Promotion Board and the Reserve Bank of India, as the case may be; Advise on External Commercial Borrowings (ECBs) and obtain the necessary approvals; Advise on transfer of shares from Residents to Non-Residents and vice versa; and Advise on setting up of Liaison Offices, Branches and Subsidiaries in India and overseas.
We assist in compounding of offences under FEMA by assisting and representing you in the process of voluntarily admitting the contravention, pleading guilty and seeking redressal under FEMA.
What we can do
- Exports of any goods and services from India to outside, foreign currency
- Foreign exchange,
- Foreign security,
- Imports of goods and services from outside India to India,
- Securities as defined in Public Debt Act 1994,
- Banking, financial and insurance services,
- Sale, purchase and exchange of any kind (i.e. Transfer),
- Any overseas company that is owned 60% or more by an NRI (Non Resident Indian) and
- Any citizen of India, residing in the country or outside (NRI)
Major Provision of FEMA 1999
- Free transactions on current account subject to reasonable restrictions that may be imposed.
- RBI controls over capital account transactions.
- Control over realization of export proceeds.
- Dealing in foreign exchange through authorized persons like authorized dealer or money changer etc.
- Appeal provision including Special Director (Appeals)
- Directorate of enforcement
- Any person can sell or withdraw foreign exchange, without any prior permission from RBI and then can inform RBI later.
- Enforcement Directorate will be more investigative in nature
- FEMA recognized the possibility of Capital Account convertibility.
- The violation of FEMA is a civil offence.
- FEMA is more concerned with the management rather than regulations or control.
- FEMA is regulatory mechanism that enables RBI and Central Government to pass regulations and rules relating to foreign exchange in tune with foreign trade policy of India.