https://www.taxtmi.com/caselaws?id=458842 The Appellate Tribunal under SAFEMA ruled in favor of respondents in a FEMA contravention case. The tribunal found that a single purchase of residential real estate in UK by a step-down subsidiary did not constitute real estate business, as business requires systematic and continuous activity. The respondents had properly declared their investments through ODI forms and Annual Performance Reports, which were not questioned by authorities. The tribunal rejected the lifting of corporate veil principle since the investment structure was transparently disclosed. Consequently, charges under Sections 4, 6(3)(h), and 10(6) of FEMA were not established, and the seizure of mutual funds worth Rs. 10.35 crores could not be sustained. en-us Wed, 27 Sep 2023 00:00:00 +0530 Mon, 18 Nov 2024 19:07:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=458842 The Appellate Tribunal under SAFEMA ruled in favor of respondents in a FEMA contravention case. The tribunal found that a single purchase of residential real estate in UK by a step-down subsidiary did not constitute real estate business, as business requires systematic and continuous activity. The respondents had properly declared their investments through ODI forms and Annual Performance Reports, which were not questioned by authorities. The tribunal rejected the lifting of corporate veil principle since the investment structure was transparently disclosed. Consequently, charges under Sections 4, 6(3)(h), and 10(6) of FEMA were not established, and the seizure of mutual funds worth Rs. 10.35 crores could not be sustained. Case-Laws FEMA Wed, 27 Sep 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=458842