<h1>Rupee's record low sparks scrutiny of foreign exchange laws, central bank intervention powers and investor reporting obligations</h1> The rupee fell to a record low against the US dollar amid sustained foreign fund outflows and market fears of additional US tariffs, with intra-day volatility prompting reports of central bank intervention to stabilise the currency. The movement highlights legal and regulatory issues under foreign exchange law and central bank powers to intervene in FX markets, obligations on foreign portfolio investors and issuers to report large flows, and potential trade-law implications if tariff measures are imposed by the US administration. Authorities may face pressure to investigate market rumours, ensure disclosure compliance and consider macroprudential responses.