https://www.taxtmi.com/circulars?id=2137 Reserve Bank delegates to accredited commercial bank Authorised Dealers the authority to permit listed Indian companies to hedge commodity price risk internationally (excluding gold, silver, petroleum and products), subject to ADs meeting prudential eligibility norms, obtaining Reserve Bank approval to act, and securing board resolutions from corporates. Permissible transactions focus on off-set hedge using exchange-traded futures and options (and OTC where warranted), with Special Account settlement, broker report verification to ensure backing by physical exposure, AD monitoring to prevent speculation, annual bank reporting of corporates hedged, and statutory auditor certification of compliance and internal controls. en-us Sat, 23 Jul 2005 00:00:00 +0530 Fri, 03 Oct 2008 11:21:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=2137 Reserve Bank delegates to accredited commercial bank Authorised Dealers the authority to permit listed Indian companies to hedge commodity price risk internationally (excluding gold, silver, petroleum and products), subject to ADs meeting prudential eligibility norms, obtaining Reserve Bank approval to act, and securing board resolutions from corporates. Permissible transactions focus on off-set hedge using exchange-traded futures and options (and OTC where warranted), with Special Account settlement, broker report verification to ensure backing by physical exposure, AD monitoring to prevent speculation, annual bank reporting of corporates hedged, and statutory auditor certification of compliance and internal controls. Circulars FEMA Sat, 23 Jul 2005 00:00:00 +0530 https://www.taxtmi.com/circulars?id=2137