Loans to non-residents secured by shares or immovable property are permitted subject to RBI directions and use restrictions. Authorised dealers may grant rupee loans to non-resident Indians secured by shares, other securities or immovable property in India, subject to RBI directions. Loans must be used only for personal or own-business purposes and not for activities barred to foreign investment; they must comply with RBI directives, cannot be credited to specified non-resident accounts or remitted abroad, and repayment must be by inward remittance, permitted non-resident account debit, or sale proceeds of the secured assets. ESOP loans to NRI employees are allowed under board-approved policy and prudential limits, paid directly to the company and repaid via permitted channels.
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.
Provisions expressly mentioned in the judgment/order text.
Loans to non-residents secured by shares or immovable property are permitted subject to RBI directions and use restrictions.
Authorised dealers may grant rupee loans to non-resident Indians secured by shares, other securities or immovable property in India, subject to RBI directions. Loans must be used only for personal or own-business purposes and not for activities barred to foreign investment; they must comply with RBI directives, cannot be credited to specified non-resident accounts or remitted abroad, and repayment must be by inward remittance, permitted non-resident account debit, or sale proceeds of the secured assets. ESOP loans to NRI employees are allowed under board-approved policy and prudential limits, paid directly to the company and repaid via permitted channels.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
AI OCR ✕
of 
TaxTMI 
TaxTMI 
