https://www.taxtmi.com/caselaws?id=457926 The true character of a foreign exchange transaction must be determined from its surrounding circumstances, not the label attached to it. On the facts, the claimed NRE-account gift was not accepted as genuine because the circumstances and lack of convincing evidence supported a finding that it was not an unsolicited gift, so contravention under section 9(1)(a) of the Foreign Exchange Regulation Act, 1973 was upheld. Penalty, however, had to be proportionate to the appellant's financial position, the isolated nature of the transaction, and the limited impact on the statute's object, so the original penalty was found excessive and reduced. en-us Wed, 06 Mar 1996 00:00:00 +0530 Mon, 30 Sep 2024 20:24:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=457926 The true character of a foreign exchange transaction must be determined from its surrounding circumstances, not the label attached to it. On the facts, the claimed NRE-account gift was not accepted as genuine because the circumstances and lack of convincing evidence supported a finding that it was not an unsolicited gift, so contravention under section 9(1)(a) of the Foreign Exchange Regulation Act, 1973 was upheld. Penalty, however, had to be proportionate to the appellant's financial position, the isolated nature of the transaction, and the limited impact on the statute's object, so the original penalty was found excessive and reduced. Case-Laws FEMA Wed, 06 Mar 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=457926