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of <h1>Foreign Investment Rules Clarify Ownership, Control, and Investment Mechanisms for Indian Entities Under FEMA</h1> Statutory provisions regulate downstream investment under Foreign Exchange Management Act (FEMA). Indian entities receiving indirect foreign investment must comply with entry routes, sectoral caps, and pricing guidelines. The rules define ownership, control, and investment mechanisms for Indian companies and Limited Liability Partnerships (LLPs). Key provisions include calculating total foreign investment, transfer restrictions, compliance requirements, and detailed definitions of ownership and control by resident and non-resident entities.
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