Permission for Direct Investment in certain cases

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....f the net worth of the Indian Party as on the date of the last audited balance sheet.  Explanation: For the purpose of determining the 'total financial commitment' within the limit of 100%, or as decided by the Reserve Bank from time to time, of the net worth, the following shall be reckoned, namely: (a) Remittance by market purchases, namely in freely convertible currencies; in case of Bhutan, investment made in freely convertible currencies or equivalent Indian Rupees, in case of Nepal investment made only in Indian Rupees; (b) Capitalization of export proceeds and other dues and entitlements as mentioned in Regulation 11; (c) Hundred per cent of the value of guarantees issued by the Indian party to on or behalf of the joint v....

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....an Party routes all transactions relating to the investment in a Joint Venture /Wholly Owned Subsidiary through only one branch of an authorised dealer to be designated by it. Explanation:-The Indian Party may designate different branches of authorised dealers for different Joint Ventures/Wholly Owned Subsidiaries outside India. (vii) The Indian Party submits form ODA, duly completed, to the designated branch of an authorised dealer for onward transmission to Reserve Bank (3) Investment under this Regulation may be funded out of one or more of the following sources, namely:- (i)  out of balance held in the Exchange Earners Foreign Currency account of the Indian party maintained with an authorised dealer in accordance with Regulati....

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.... i. where the investment is more than US $ 5 (five) million, by a Category I Merchant Banker registered with Securities and Exchange Board of India (SEBI), or an Investment Banker/Merchant Banker outside India registered with the appropriate regulatory authority in the host country; and ii. in all other cases, by a Chartered Accountant or a Certified Public Accountant." (b) For the purposes of investment under this Regulation by acquisition of shares of an existing company outside India where the consideration is to be paid fully or partly by issue of the Indian party's shares, the valuation of shares of the company outside India shall in all cases, be carried out by a Category I Merchant Banker registered with the Securities and Exc....

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....llion" 8. Substituted; vide Notification No. 053/2002 dated 01-03-2002, w.e.f. 01-03-2002 before it was read as,  "The direct investment is made in a foreign entity engaged in the same core activity carried on by the Indian party;" 9. Substituted; vide Notification No. 053/2002 dated 01-03-2002, w.e.f. 01-03-2002 before it was read as,  'not exceeding 50%,' 10. Omitted; vide Notification No. 053/2002 dated 01-03-2002, w.e.f. 01-03-2002 before it was read as,  11. Substituted vide Notification No. 283/2013-RB dated 14-08-2013, w.e.f. 14-08-2013 before it was read as, "(i) The total financial commitment of the Indian Party in Joint Ventures/Wholly Owned Subsidiaries shall....