FOREIGN EXCHANGE MANAGEMENT (BORROWING AND LENDING IN RUPEES) REGULATIONS, 2000Foreign Exchange Management (Borrowing And Lending In Rupees) Regulations, 2000
FOREIGN EXCHANGE MANAGEMENT (BORROWING AND LENDING IN RUPEES) REGULATIONS, 2000Foreign Exchange Management (Borrowing And Lending In Rupees) Regulations, 2000
Restriction on use of rupee funds bars use outside borrower's business and for investments or relending, subject to RBI exceptions. Regulation 6 restricts use of rupee borrowings from non-residents to the borrower's own business, excluding chit funds, Nidhi companies, ... Summary
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Restriction on use of rupee funds bars use outside borrower's business and for investments or relending, subject to RBI exceptions.
Regulation 6 restricts use of rupee borrowings from non-residents to the borrower's own business, excluding chit funds, Nidhi companies, agricultural/plantation activities, real estate business or TDR trading, and bars use for investment in any entity or for relending; RBI may permit on-lending to the infrastructure sector or placement in bank fixed deposits pending permissible utilisation, and real estate business is clarified not to include township development or construction of residential/commercial premises, roads or bridges.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.