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Reporting of foreign investment in Indian companies

The Regional Office will then allot a Unique Identification Number (UIN) for the same.

, ET Online|
Last Updated: Aug 08, 2017, 12.13 PM IST
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Transfer of shares has to be reported with Form FC-TRS within 60 days from receipt of the consideration amount.
Transfer of shares has to be reported with Form FC-TRS within 60 days from receipt of the consideration amount.
An Indian company receiving foreign investment by issuing financial instruments such as equity and/or convertible preference shares, convertible debentures under the FDI Scheme, should report the details of consideration received with copy of Foreign Inward Remittance Certificate (FIRC) and KYC report to the concerned Regional Office, Reserve Bank not later than 30 days from the date of receipt in the Advance Reporting Form. The Regional Office will then allot a Unique Identification Number (UIN) for the same.

After issue of the shares, which has to be completed in 180 days of receiving consideration, the company has to file Form FC-GPR within 30 days of issue. The form has to be accompanied with:

1. Certificate from Company Secretary of the company that all requirements of the Companies Act, 2013 have been complied with.
2. Certificate from SEBI-registered Merchant Banker or Chartered Accountant explaining the pricing methodology of shares.

Annual return on Foreign Liabilities and Assets has to be filed on an annual basis with RBI by July 15, every year, giving details of all foreign investments whether direct, portfolio, reinvested earnings, or other capital separately.

Transfer of shares has to be reported with Form FC-TRS within 60 days from receipt of the consideration amount. In cases of conversion of shares against ECB reporting has to be made in Form FC-GPR to the Regional Office of RBI and in Form ECB-2 to the Department of Statistics and Information Management (DSIM), Reserve Bank of India, Mumbai, within first seven working days of next month. In case of issuance of depository receipts, the domestic custodian has to file Form-DRR within 30 days of closing of the issue.

Click here to download above mentioned forms. Forms have to be filed with RBI via Online Return Filing System (OFRS) or from India's G2B portal Ebiz.
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