Refund of application money to foreign investor

This query is : Open

Naresh Kumar (Querist)
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07 September 2012 Dear All,

A pvt limited company failed to issue shares to its foreign investors within 180 days from receiving of money and its been almost four years of receiving of money.

Now the company wants to refund the money.

want to know:
1)whether the company is liable to pay the
panelty. If yes, how much and to whom
2) How to inform RBI regarding the contavention
3) How to compound the offence

Early response will be highly appreciated

Thanks to all my seniors in advance

Ajay Mishra

Ajay Mishra (Expert)
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07 September 2012 Hi

Following link will help you:

https://www.caclubindia.com/articles/note-on-foreign-direct-investment-in-india-13412.asp#.UEnZibJlS8o

Naresh Kumar

Naresh Kumar (Querist)
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07 September 2012 also pleaze advise how the co. cam be protected from thr panelty or minimim panelty may be imposed.