Regulation 4 - Restriction on an Indian entity to issue security to a person resident outside India or to record a transfer of security from or to such a person in its books - Foreign Exchange Management (Transfer or Issue Of Security By A Person Resident Outside India) Regulations, 2000

These rules have been superseded vide New Regulations New Regulations of 2017 4. Restriction on an Indian entity to issue security to a person resident outside India or to record a transfer of security from or to such a person in its books :- Save as otherwise provided in the Act or Rules or Regulations made thereunder, an Indian entity shall not issue any security to a person resident outside India or shall not record in its books any transfer of security from or to such person:- Provided that the Reserve Bank may, on an application made to it and for sufficient reasons, permit an entity to issue any security to a person resident outside India or to record in its books transfer of security from or to such person, subject to such conditions as may be considered necessary.