https://www.taxtmi.com/news?id=50315 Enforcement authorities opened a FEMA probe alleging that a Bengaluru credit payment app company accepted foreign direct investment and issued convertible notes under the automatic route without obtaining required Central Government approval. An analysis concluded the company's business amounted to financial activities, which, per an RBI circular, require FDI to be brought under the approval route; issuance of convertible notes in such activities by a startup thus required prior government approval. The alleged failure to secure that approval is cited as the compliance breach. en-us Wed, 23 Jul 2025 18:46:03 +0530 Wed, 23 Jul 2025 18:46:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/news?id=50315 Enforcement authorities opened a FEMA probe alleging that a Bengaluru credit payment app company accepted foreign direct investment and issued convertible notes under the automatic route without obtaining required Central Government approval. An analysis concluded the company's business amounted to financial activities, which, per an RBI circular, require FDI to be brought under the approval route; issuance of convertible notes in such activities by a startup thus required prior government approval. The alleged failure to secure that approval is cited as the compliance breach. News - Wed, 23 Jul 2025 18:46:03 +0530 https://www.taxtmi.com/news?id=50315