Crystallisation of inoperative foreign currency deposits: conversion to rupees with depositor option to claim rupee proceeds or foreign equivalent. Regulations require authorised banks to convert inoperative foreign currency denominated deposit balances into Indian Rupees when specified inoperative periods expire, applying the exchange rate prevailing on the date of conversion. For fixed maturity deposits the conversion occurs at the end of the post maturity inoperative period; for no maturity deposits banks must give a prior notice and convert at the end of the notice period. After conversion the depositor may claim either the Indian Rupee proceeds and interest or the foreign currency equivalent of those Rupee proceeds calculated at the rate prevailing on the date of payment.
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.
Crystallisation of inoperative foreign currency deposits: conversion to rupees with depositor option to claim rupee proceeds or foreign equivalent.
Regulations require authorised banks to convert inoperative foreign currency denominated deposit balances into Indian Rupees when specified inoperative periods expire, applying the exchange rate prevailing on the date of conversion. For fixed maturity deposits the conversion occurs at the end of the post maturity inoperative period; for no maturity deposits banks must give a prior notice and convert at the end of the notice period. After conversion the depositor may claim either the Indian Rupee proceeds and interest or the foreign currency equivalent of those Rupee proceeds calculated at the rate prevailing on the date of payment.
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