Rupee loans to non-resident Indians permitted from resident relatives under specified conditions and repayment channels. The amendment adds definitions for Liberalised Remittance Scheme and relative and inserts Regulation 7A allowing a borrower's relative in India to repay a loan to a non-resident by crediting the borrower's loan account through the relative's bank account. Regulation 8B permits resident individuals to grant interest-free rupee loans to NRI relatives by crossed cheque/electronic transfer subject to a minimum one-year maturity, adherence to the lender's Liberalised Remittance Scheme limit, restricted end-uses excluding specified prohibited activities, credit to the borrower's NRO account, prohibition on outward remittance of the loan amount, and specified inward-remittance or account-debit repayment routes.
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.
Rupee loans to non-resident Indians permitted from resident relatives under specified conditions and repayment channels.
The amendment adds definitions for Liberalised Remittance Scheme and relative and inserts Regulation 7A allowing a borrower's relative in India to repay a loan to a non-resident by crediting the borrower's loan account through the relative's bank account. Regulation 8B permits resident individuals to grant interest-free rupee loans to NRI relatives by crossed cheque/electronic transfer subject to a minimum one-year maturity, adherence to the lender's Liberalised Remittance Scheme limit, restricted end-uses excluding specified prohibited activities, credit to the borrower's NRO account, prohibition on outward remittance of the loan amount, and specified inward-remittance or account-debit repayment routes.
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