06 November 2010
MY UNCLE WHO IS NRI AND BASED IN LONDON WANTS TO INVEST 20% OF THE EQUITY OF PRIVATE LTD COMPANY WHO IS ENGAGED IN REAL ESTATE BUSINESS OF DEVELOPING RESIDENTIAL FLATS IN SOUTH DELHI. IS THERE ANY RESTRICTION UNDER FEMA OR AS PER RBI RULES
09 November 2010
In my opinion and as per the FEMA act, the above investment does not fall neither under current account transaction nor under capital account transaction.Hence,investment acitivity is not permitted. Request to refer RBI rules for any other provision permitting the same.
CAclubindia
