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TMI BlogOverseas Direct Investment- Liberalisation/ Rationalisation. - RBI issued consolidated guidelines relating to transfer of foreign security by way of sales of a JV or WOS outside India with and without write offX X X X Extracts X X X X X X X X Extracts X X X X ..... ment- Liberalisation/ Rationalisation Attention of the Authorised Dealer (AD - Category I) banks is invited to the Notification No. FEMA 120/RB-2004 dated July 7, 2004 [Foreign Exchange Management (Transfer or Issue of any Foreign Security) (Amendment) Regulations, 2004] (the Notification), as amended from time to time, and the following circulars issued thereunder: * A.P. (DIR Series) Circular ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... i. the sale does not result in any write off of the investment made. ii. the sale is to be effected through a stock exchange where the shares of the overseas JV/ WOS are listed; iii. if the shares are not listed on the stock exchange and the shares are disinvested by a private arrangement, the share price is not less than the value certified by a Chartered Accountant / Certified Public Acc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e under noted cases where the amount repatriated on disinvestment is less than the amount of the original investment: i. in cases where the JV / WOS is listed in the overseas stock exchange; ii. in cases where the Indian Party is listed on a stock exchange in India and has a net worth of not less than Rs.100 crore; iii. where the Indian Party is an unlisted company and the investment in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... being issued separately. 7. AD - Category I banks may bring the contents of this circular to the notice of their constituents and customers concerned. 8. The directions contained in this circular have been issued under Sections 10(4) and 11(1) of the Foreign Exchange Management Act (FEMA), 1999 (42 of 1999) and are without prejudice to permissions/approvals, if any, required under any other law ..... X X X X Extracts X X X X X X X X Extracts X X X X
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