Executive Summary:
This notification from the Reserve Bank of India introduces the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Fifteenth Amendment Regulations, 2014. It amends the 2000 regulations regarding the transfer or issue of security by individuals residing outside India, specifically deleting the existing explanation in clause viii (b) of Regulation 2. The regulations take effect from the date of publication in the Official Gazette, November 21, 2014.
Key Points / Main Content:
* **Amendment Regulations Title:** Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Fifteenth Amendment Regulations, 2014.
* **Effective Date:** The regulations come into force from the date of their publication in the Official Gazette, November 21, 2014.
* **Amendment Details:**
* The Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Regulations, 2000 are amended.
* In Regulation 2, clause viii (b), the existing explanation is deleted.
Impact Analysis:
Reserve Bank of India:
Impact: The RBI is responsible for implementing and enforcing the amended regulations under the Foreign Exchange Management Act, 1999.
Action Required: Ensure compliance with the new regulations and update internal procedures accordingly.
Persons Resident Outside India:
Impact: Individuals residing outside India who are involved in the transfer or issue of security will be affected by the removal of the explanation in Regulation 2, clause viii (b).
Action Required: Review their transactions and activities related to the transfer or issue of security to ensure compliance with the amended regulations.
Authorized Dealers/Banks:
Impact: Banks and authorized dealers that handle foreign exchange transactions related to security transfers or issues for persons resident outside India need to be aware of the changes.
Action Required: Update their operational guidelines and ensure that their staff are informed about the deletion of the explanation in Regulation 2, clause viii (b).
Key Entities Referenced
Reserve Bank of India: The central bank of India, responsible for managing the country's currency and monetary policy.
Mumbai, Maharashtra: City in India where the Central Office of the Reserve Bank of India is located, as per the notification.
Foreign Exchange Management Act, 1999: An act of the Parliament of India to consolidate and amend the law relating to foreign exchange with the objective of facilitating external trade and payments and for promoting the orderly development and maintenance of foreign exchange market in India.
Foreign Exchange Management Transfer or Issue of Security by a Person Resident Outside India Regulations, 2000: Regulations pertaining to the transfer or issue of security by individuals residing outside India, as governed by the Foreign Exchange Management Act.
FEMA 2000: A notification number related to Foreign Exchange Management Act.
B. P. Kanungo: Principal Chief General Manager at Reserve Bank of India, as indicated in the notification.
New Delhi: The city where The Gazette of India is published.
Foreign Exchange Management Transfer or Issue of Security by a Person Resident outside India Fifteenth Amendment Regulations, 2014: Regulations which amends Foreign Exchange Management Transfer or Issue of Security by a Person Resident Outside India Regulations, 2000.