LRS breach circular

[Scim R]

What this circular? Any details can we get?

What's RFRC?

Circular No. International Retail/008/2020-21 for Compounding of Contraventions under FEMA – Customer communication in case of LRS Breach,

branch need to inform the customer about the LRS breach within 2 working days of receipt of the mail from RFRC.

[YAGAY and SUN]

See manual :- Compounding of Contraventions under FEMA 1999 - As on Oct 01 2024

It will be better for you if you seek professional's help and support to sort out this matter.

[Shilpi Jain]

Have you remitted any amount in excess of USD 2,50,000 during a financial year?

AI Summary

LRS breach notification: branches must promptly inform customers after RFRC communication under the compounding framework.
Circular No. International Retail/008/2020-21 requires that when an LRS breach is identified for compounding under FEMA, the branch must inform the affected customer within two working days of receiving the RFRC communication; practitioners are advised to consult the Compounding of Contraventions manual and consider professional assistance while verifying whether applicable remittance thresholds have been exceeded.