Executive Summary:
This notification announces the Special Economic Zones 4th Amendment Rules, 2019, which amend the Special Economic Zones Rules, 2006. The amendments, effective from the date of publication in the Official Gazette, introduce exemptions to rule 53 for specific units within International Financial Service Centres. These exemptions apply to Alternate Investment Funds, Mutual Funds, and International Financial Service Centre Insurance Offices.
Key Points / Main Content:
Amendments to Special Economic Zones Rules, 2006:
* The Special Economic Zones Rules, 2006 are further amended.
* These amendments are called the Special Economic Zones 4th Amendment Rules, 2019.
* The rules come into force on the date of their publication in the Official Gazette.
Exemption to Rule 53:
* Rule 53 does not apply to a Unit in an International Financial Service Centre set up as an Alternate Investment Fund or Mutual Fund.
* This exemption applies to the inflow of investible funds from investors, investments made from such funds, returns on them (including principal), and any return paid to investors from such investments.
* Net foreign exchange for these units is determined in combination with the Fund Manager entity's net foreign exchange, to the extent the Fund Manager manages the investible funds.
* Rule 53 does not apply to a Unit in an International Financial Service Centre set up as an International Financial Service Centre Insurance Office.
* This exemption applies to the portion of premium income exceeding the amount retained for management expenses, within stipulated limits.
* It also applies to investments made from that portion of premium income, returns on them, and amounts paid towards insurance/reinsurance claims.
Impact Analysis:
Units in International Financial Service Centres (IFSC):
Impact: IFSC Units operating as Alternate Investment Funds, Mutual Funds, and Insurance Offices will benefit from exemptions to Rule 53 regarding certain financial activities and calculations of net foreign exchange.
Action Required: These entities should review their operational practices to ensure compliance with the specific conditions outlined for the exemptions.
Fund Manager Entities:
Impact: Fund Managers of Alternate Investment Funds or Mutual Funds within IFSCs will have their net foreign exchange calculations combined with those of the respective funds.
Action Required: These entities must coordinate with the relevant Alternate Investment Funds or Mutual Funds to accurately determine and report net foreign exchange.
Insurance Regulatory and Development Authority of India (IRDAI):
Impact: The amendment references IRDAI's guidelines regarding management expenses for International Financial Service Centre Insurance Offices.
Action Required: Ensure expenses are within the maximum rate stipulated for expenses of management by the Insurance Regulatory and Development Authority under the Insurance Regulatory and Development Authority of India Registration and Operations of International Financial Service Centre Insurance Offices IIO Guidelines, 2017,.
Key Entities Referenced
Special Economic Zones Act, 2005: A law that empowers the Central Government to make rules regarding Special Economic Zones.
Special Economic Zones Rules, 2006: The set of rules governing the operation of Special Economic Zones, which this notification amends.
Ministry of Commerce and Industry: The government ministry responsible for the Department of Commerce, which issued the notification.
New Delhi: The location where the notification was issued.
Central Government: The governing authority that makes the amendments to the Special Economic Zones Rules.
International Financial Service Centre: A special economic zone focused on financial services.
Alternate Investment Fund: A privately pooled investment fund, as defined by SEBI regulations.
Securities and Exchange Board of India: The regulatory body for securities and commodity market in India.
रिज(cid:4)(cid:5)ी स.ं डी.एल.- 33004/99 REGD. NO. D. L.-33004/99
सी.जी.-डी.एल.-अ.-09012020-215247
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CG-DL-E-09012020-215247
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असाधारण
EXTRAORDINARY
भाग II—ख(cid:2)ड 3—उप-ख(cid:2)ड (i)
PART II—Section 3—Sub-section (i)
(cid:5)ािधकार स े(cid:5)कािशत
PUBLISHED BY AUTHORITY
स.ं 10] नई (cid:1)द(cid:3)ली, सोमवार, जनवरी 6, 2020/पौष 16, 1941
No. 10] NEW DELHI, MONDAY, JANUARY 6, 2020/PAUSHA 16, 1941
वािण(cid:5)य और उ(cid:11)ोग म(cid:16)ं ालय
(वािण(cid:6)य िवभाग)
अिधसचू ना
नई (cid:4)द(cid:6)ल ी, 31 (cid:4)दस(cid:10)बर, 2019
सा.का.िन. 12(अ).—क(cid:14)(cid:15)ीय सरकार, िवशेष आ(cid:24)थक (cid:26)े(cid:27) अिधिनयम, 2005 (2005 का 28) क(cid:31) धारा 55 ारा
!द" त शि$ तय% का !योग करते (ए िवशेष आ(cid:24)थक (cid:26)े(cid:27) िनयम, 2006 म(cid:14) और संशोधन करने हते ु िन(cid:10)न िलिखत िनयम
बनाती ह;ै अथा1त:्—
1. सिं (cid:19)(cid:20)त नाम और (cid:23)ारंभ: (1) इन िनयम% का संि(cid:26)8त नाम िवशेष आ(cid:24)थक (cid:26)े(cid:27) (चौथा सशं ोधन) िनयम, 2019 ह।ै
(2) ये राजप(cid:27) म(cid:14) !काशन क(cid:31) तारीख से !वृ"त होगा।
2. िवशेष आ(cid:24)थक (cid:26)े(cid:27) िनयम, 2006 के िनयम 53 के प?च ात िन(cid:10)न िलिखत िनयम को अंत: @थ ािपत (cid:4)कया जाएगा,
अथा1त ्:—
‘53 क. छूट.- िनयम 53 म(cid:14) (cid:4)कसी बात के होते (ए भी लागू नहE होगा,-
क. (cid:4)कसी अंतरा1F Gीय िव" तीय सेवा क(cid:14)(cid:15) म(cid:14) वैकि(cid:6)प क िनवेश िनिध या (cid:10)य चु ुअल फंड के Iप म(cid:14) @थ ािपत इकाई पर
िनवेशक% से िनवेश योJ य िनिधय% का कोई अKत वा1ह, ऐसी िनवेश योJय िनिधय% स े (cid:4)कए गए (cid:4)कसी िनवेश पर मूल
िववरणी सिहत और उन पर !ा8 त Oरटन 1और मलू िनवशे सिहत ऐसे िनवेश% स े िनवेशक% को संदQ कोई िववरणी:
98 GI/2020 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
परंतु (cid:4)कसी अतं रा1F Gीय िव" तीय सेवा क(cid:14)(cid:15) म(cid:14) वैकि(cid:6)प क िनवेश िनिध या (cid:10)य ुचुअल फंड के Iप म (cid:14) @थ ािपत क(cid:31) जा रही यूिनट
के िनवल िवदेशी िविनमय का िनधा1रण िनिध !बंधक िनकाय के िनवल िवदेशी िविनमय के साथ संयोजन म (cid:14) उस सीमा
तक होगा िजस सीमा तक वैकि(cid:6) पक िनवेश िनिध या (cid:10)य ुचुअल फंड क(cid:31) िनवेश योJय िनिधय% का !बंधन ऐस े िनिध !बंधक
िनकाय ारा (cid:4)कया जा रहा ह।ै
@ पF टीकरण: इस खUड के !योजन% के िलए,-
(क) “वैकि(cid:6) पक िनवेश िनिध” का अथ1 वही होगा जो भारतीय !ितभूित और िविनमय बोड 1 (वैकि(cid:6)प क िनवेश िनिध)
िविनयमन, 2012 म (cid:14) समनुदेिशत (cid:4)कया गया ह।ै
(ख) ‘(cid:10) यचु ुअल फंड’ का अथ1 वही होगा जो भारतीय !ितभूित और िविनमय बोड 1 ((cid:10)य चु ुअल फंड) िविनयमन, 1996 म (cid:14)
समनुदेिशत (cid:4)कया गया ह।ै
ख. (cid:4)कसी अंतरा1F Gीय िव" तीय सेवा क(cid:14)(cid:15) म (cid:14) अतं रा1FG ीय िव"त ीय सवे ा क(cid:14)(cid:15) बीमा काया1लय के Iप म(cid:14) @थ ािपत क(cid:31) जा
रही यूिनट पर भारतीय बीमा िविनयामक और िवकास !ािधकरण {अंतरा1FG ीय िव"त ीय सेवा क(cid:14)(cid:15) बीमा काया1लय
(आईआईओ) का रिज@Gीकरण और !चालन} मागद1 श1न, 2017 के अधीन बीमा िविनयामक और िवकास !ािधकरण ारा
!बंधन V यय के िलए िनयत अिधकतम दर के भीतर !बंधन Vय य% के िलए !ितधाOरत रािश से अिधक !ीिमयम आय के
भाग का िव@तार के िलए, !ीिमयम आय के उ$त भाग से (cid:4)कए गए िनवेश और उन पर Oरटन 1 तथा बीमा या पनु बWमा
दाव% के िलए कोई !द" त रािश के साथ मूल िववरणी ।’।
[फा. सं. डी. 12/25/2009-एसईजेड]
बी. बी. @व ने , अपर सिचव
(cid:25)ट(cid:20)पण: मूल िनयम भारत के राजप(cid:27), असाधारण भाग-II, खंड 3, उप-खंड (i) म (cid:14) अिधसूचना सYं या सा.का.िन. 54(अ)
तारीख 10 फरवरी, 2006 के ारा !कािशत (cid:4)कए गए थ े और सा.का.िन 940 (अ), तारीख 17 (cid:4)दस(cid:10)बर, 2019
ारा अंितम बार संशोिधत (cid:4)कए गए थ े ।
MINISTRY OF COMMERCE AND INDUSTRY
(Department of Commerce)
NOTIFICATION
New Delhi, the 31st December, 2019
G.S.R. 12(E).—In exercise of the powers conferred by section 55 of the Special Economic Zones
Act, 2005 (28 of 2005), the Central Government hereby makes the following rules further to amend the
Special Economic Zones Rules, 2006, namely:—
1. Short title and commencement. - (1) These rules may be called the Special Economic Zones
(4th Amendment) Rules, 2019.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In the Special Economic Zones Rules, 2006, after rule 53, following rule shall be inserted,
namely:—
‘53A. Exemption.- Nothing contained in rule 53 shall apply,-
a. to a Unit in an International Financial Service Centre set up as Alternate Investment Fund or
Mutual Fund to the extent of any inflow of investible funds from investors, any investments made from
such investible funds and returns on them inclusive of principal return and any return paid to investors¹भाग IIµख(cid:2) ड 3 (i)º भारत का राजप(cid:12) : असाधारण 3
from such investments including the original investment:
Provided that the net foreign exchange of a Unit in an International Financial Service Centre set up as
Alternate Investment Fund or Mutual Fund shall be determined in combination with the net foreign
exchange of the Fund Manager entity to the extent the investible funds of the Alternate Investment Fund
or Mutual Fund is being managed by such Fund Manager entity.
Explanation: For the purposes of this clause,-
(a)“Alternate Investment Fund" shall have the same meaning as assigned to it in the Securities and
Exchange Board of India (Alternative Investment Funds) Regulations, 2012;
(b) “Mutual Fund’’ shall have the same meaning as assigned to it in the Securities and Exchange Board
of India (Mutual Funds) Regulations, 1996;
b. to a Unit in an International Financial Service Centre set up as an International Financial Service
Centre Insurance Office to the extent of the portion of premium income over and above the amount
retained for management expenses within the maximum rate stipulated for expenses of management by
the Insurance Regulatory and Development Authority under the Insurance Regulatory and Development
Authority of India {Registration and Operations of International Financial Service Centre Insurance
Offices (IIO)} Guidelines, 2017, Investment made from the said portion of premium income and returns
on them, inclusive of principal return and any amount paid towards insurance or reinsurance claims.’.
[F. No. D.12/25/2009-SEZ]
B. B. SWAIN, Addl. Secy.
Note : The principal rules were published in the Gazette of India, Extraordinary, Part-II, Section 3, Sub-
section (i), vide notification number G.S.R. 54(E), dated the 10th February, 2006 and last amended
vide notification number G.S.R. 940(E), dated the 17th December, 2019.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.