Downstream investment compliance requires foreign investment conditions, approved funding, layered monitoring, and annual audit reporting by Indian entities. Downstream investment by Indian entities having foreign investment must comply with the applicable entry route, sectoral caps, pricing guidelines and ... Summary
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Downstream investment compliance requires foreign investment conditions, approved funding, layered monitoring, and annual audit reporting by Indian entities.
Downstream investment by Indian entities having foreign investment must comply with the applicable entry route, sectoral caps, pricing guidelines and attendant foreign-investment conditions. Total foreign investment, calculated on a fully diluted basis, includes direct and indirect foreign investment, with prescribed treatment for debt conversion, debt-backed instruments, portfolio investment and wholly owned subsidiaries. Indirect-foreign-investment downstream investments require Board approval, compliant funding, and annual statutory-auditor certification and directors' report disclosure. The first-level investing Indian company is responsible for compliance at every subsequent investment level.
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