Authorised entities under Section 10(15)(iv)(h) of the Income Tax Act, 1961 - To issue tax-free, secured, redeemable, non-convertible bonds during the f.y. 2015-16.

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....uthorises the entities mentioned in column (2) of the Table given below, to issue, tax- free,  secured, redeemable, non-convertible bonds during the financial year 2015-16,  aggregating to  amounts  mentioned in  column  (3)  of the  said  table,  subject to  the  conditions, namely :- CONDITIONS 1.  Eligibility - The following shall be eligible to subscribe to the bonds:- (i) Retail Individual Investors (RIIs); (ii) Qualified Institutional Buyers (QIBs); (iii) corporates (including statutory corporations),  trusts,  partnership firms, Limited Liability Partnerships, co-operative banks, regional rural banks and other legal entities, s....

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....the issuer entity  is AA or AA-, the ceiling rate shall be twenty basis points above the ceiling   rate for AAA rated entities [as given in cIause (iii)]; (vi)  these ceiling rates shall apply,  for annual payment of interest and in case  the schedule of interest payments is altered to semi-annual, the interest  rates shall be reduced by fifteen basis points; (vii) the higher rate of interest, applicable to RIIs, shall not be available in case  the bonds are transferred by RIIs to non retail investors. 5.  Issue expense and brokerage - (i) In the case of private placement, the total issue expense shall not exceed 0.25 per cent of the issue size and in case of public ....

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....west yield) thereof; (iii) the ceiling rate of the interest shall either be equal to or lower than the rate mentioned in paragraph 4 above; (iv) while calling for bids, there shall be no limit on the number of arrangers who can bid for the issue. 8. Repayment of bonds (i) The issuer entity shall submit a financing plan to the Ministry of Finance to  demonstrate its ability to repay the borrowed funds on the repayment  becoming due; (ii) the financing plan referred in sub-paragraph  (i) shall be submitted to the Infra-Finance Section, Infrastructure Division, Department of Economic Affairs, Ministry of Finance, within three months of closure of the issue, duly supported by a resolution of....

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.... ^3[8 National Bank for Agriculture and Rural Development (NABARD) 5000] Explanation: - For the purposes of this notification, (i) Qualified Institutional Buyers shall have the same meaning as assigned to them in the Securities and Exchange Board of India (Disclosure and Investor Protection) Guidelines, 2000. (ii)  Retail individual Investors means those individual investors, Hindu Undivided  Family (through Karta ), and Non Resident Indians (NRIs), on repatriation as well as non repatriation basis, applying for upto rupees ten lakhs in each issue  and individual investors investing more than rupees ten lakhs shall be classified as High Net Worth Individuals. (iii)  The bonds issued to NRIs shall be s....