Retention of ADR/GDR proceeds abroad permitted: firms may hold and invest foreign proceeds in specified rated bank and treasury instruments, subject to reporting. Indian issuers of ADRs/GDRs may retain proceeds abroad to meet future forex needs and may invest those funds in deposits or certificates of deposit with banks rated not less than AA(-)/Aa3, deposits with branches outside India of authorised dealers, and treasury bills and monetary instruments of up to one year maturity meeting the same rating criteria; corporates must report details in soft copy to the Chief General Manager, Exchange Control Department within 30 days of issue closure.
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.
Retention of ADR/GDR proceeds abroad permitted: firms may hold and invest foreign proceeds in specified rated bank and treasury instruments, subject to reporting.
Indian issuers of ADRs/GDRs may retain proceeds abroad to meet future forex needs and may invest those funds in deposits or certificates of deposit with banks rated not less than AA(-)/Aa3, deposits with branches outside India of authorised dealers, and treasury bills and monetary instruments of up to one year maturity meeting the same rating criteria; corporates must report details in soft copy to the Chief General Manager, Exchange Control Department within 30 days of issue closure.
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