The Appellate Tribunal found the Appellant Company guilty of ...

Company Penalized for Unauthorized Foreign Payments, Fails to Rebut Culpable Mental State; Total Penalty Rs. 32 Lakhs.

June 17, 2024

Case Laws FEMA AT

The Appellate Tribunal found the Appellant Company guilty of contravening u/s 9(1)(a) of FERA 1973 by making payments to a person outside India without RBI permission. The company abetted in contravention of u/s 8(1) of FERA 1973. The Tribunal noted the company's actions facilitated the conversion of rupee accounts, disregarding statutory obligations. The Tribunal applied the presumption of culpable mental state u/s 59 of FERA 1973, shifting the burden to the Appellants, which they failed to rebut. The Tribunal upheld penalties for contraventions u/s 9(1)(a) and u/s 9(1)(c) against the Appellant Company and individual Appellants. Penalties for contraventions u/s 8(1) were set aside. Total penalties imposed were Rs. 32,00,000 on the Company and Rs. 8,00,000 on each individual Appellant, with adjustments for pre-deposits.

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The Appellate Tribunal found the Appellant Company guilty of ...

Company Penalized for Unauthorized Foreign Payments, Fails to Rebut Culpable Mental State; Total Penalty Rs. 32 Lakhs.

June 17, 2024

Case Laws FEMA AT

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