The
compounding of contraventions
under Foreign Exchange
Management Act (FEMA), 1999 is a voluntary process
by which an applicant can seek compounding
of an admitted contravention of any provision of FEMA,
1999 under Section 13(1) of the FEMA, 1999.
The Forms prescribed
are given below:
1) The format of the
application (Annex-I).
2) The details of irregularities whether relating
to Foreign Direct Investment, External
Commercial Borrowings, Overseas Direct Investment and Branch Office/ Liaison
Office, as applicable (Annex-II).
3) Undertaking that the applicant is not under investigation of any agency such as
DOE, CBI, etc. in order to
complete the compounding process within the time frame (Annex-III)
4) Mandate and details of their bank
account (Annex IV): In case the application has to be returned for any reason, the
application fees of Rs.5000/- received along with the application fees is also
returned. To expedite the refund of compounding fees in
such cases, it has been decided to
credit the
same to
the applicant’s account through NEFT requiring the obtaining of a mandate.
Part XI: Annex
I
Format of Application Form
(See Rule 4 or
5)
(To
be filled in duplicate
and shall be accompanied by certified copy
of the Memorandum issued)
1. Name
of the applicant (in BLOCK
LETTERS)
2. Full
address of the applicant (including Phone
and Fax Number and email id)
3. Whether
the applicant is resident in India or resident outside India
[Please refer to
Section 2(v)
of the Act]
4. Name
of the Adjudicating Authority before whom the case is
pending
5. Nature
of
the contravention [according
to sub-section (1) of Section 13]
6. Brief facts of the case
7. Details of fee for application
of compounding
8. Any other information
relevant to the case
I/We declare that the particulars given
above are true and correct to the best
of my/our knowledge
and belief and that I/We am/are willing to accept any direction/order
of the Compounding Authority in connection
with compounding of my/our
case.
Dated : Name
(Signature of the Applicant)
Part XI: Annex
II
FDI
Details to be furnished along with application for compounding
of contravention relating to Foreign
Direct Investment in India
• Name of the applicant
• Date of incorporation
• Income-tax PAN
• Nature of activities under taken (Please
give
NIC code – 1987 / 2008)
• Brief particulars about the
foreign investor
• Details of foreign inward remittances received by Applicant Company
from
date of incorporation till
date
Table A
|
Sl.No.
|
Name of
Remitter
|
Total Amount (INR)
|
Date of
Receipt
|
Reported
to
RBI on*
|
Delay if any
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
|
|
* date
of reporting
to RBI and not AD
Table B
|
Name of
Investor
|
Date of allotment of shares
|
Number of
shares allotted
|
Amount for which shares
allotted
|
Date of reporting
to RBI*
|
Delay if any
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
|
|
|
* date of reporting to RBI and not AD
Table C
Table D
|
Authorised Capital
|
|||||
|
Sl. No.
|
Date
|
Authorised
Capital
|
With effect from
|
Date of Board meeting
|
Date of filing with ROC
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
A= B+C
Please give supporting documents
Table A- Copies of FIRC with date stamp of receipt at RBI Table B- Copies of FCGPR
with date stamp of receipt
at RBI
Table C – letter seeking refund/
allotment of shares- approval
letter from RBI A2 form
• Copies of Balance
Sheet during the period of receipt
of share application money
• and allotment of shares
• Nature of contravention and reasons for the contravention
ECB
Details to
be furnished along with application for compounding of contravention relating to External Commercial
Borrowing
• Name of the applicant
• Date of incorporation
• Income-tax PAN
• Nature of activities under taken (Please
give
NIC code – 1987)
• Brief particulars
about the foreign lender
• Is the
applicant an eligible borrower?
• Is the
lender eligible lender?
• Is the
lender an equity holder?
• What is the level
of his holding at the time of loan agreement?
• Details of ECB
• Date of Loan
agreement
• Amount in
Foreign Currency and Indian
Rupee
• Rate of interest
• Period of loan
• Repayment particulars
Date of draw
down
Amount in
Foreign
Currency
Amount in
INR
• Details of draw down
• Details of LRN Number- application
and receipt
• Details of ECB 2 returns submitted; Period of
return: Date of submission
• Details of Utilization of ECB
in Foreign Currency and Indian Rupee
• Nature of contravention and reasons for the contravention
• All supporting documents may be submitted
ODI
Details to
be furnished along with application for compounding of contravention relating to Overseas Investment
• Name of the applicant
• Date of incorporation
• Income-tax PAN
• Nature of activities under taken (Please
give
NIC code – 1987)
• Name of Overseas
entity
• Date of incorporation
of overseas entity
• Nature of activities under taken by
overseas entity
• Nature of entity-
WOS/JV
• Details of remittance sent- Date of remittance; Amount in
FCY and in INR
• Details of other financial
Commitment
• Details of UIN applied and received
• Date of receipt of share
certificate
• Approval of other regulators if required
• Details of APRs submitted: For the period ended; date of submission
• Nature of contravention and reasons for the contravention
• All supporting documents may be submitted
Branch Office
/ Liaison Office
Details to
be furnished along with application for compounding of contravention relating to Branch/Liaison Office in India
• Name of the applicant
• Date of incorporation
• Income-tax PAN
• Nature of activities under taken (Please
give
NIC code – 1987)
• Date of approval
for opening of Liaison Office/ Branch
Office
• Validity period of
the approval
• Income and expenditure
of the LO/BO
• Dates of submission of Annual activity Certificates
• Nature of contravention and reasons for the contravention
• All supporting
documents may be submitted
Part XI: Annex
III
UNDERTAKING
(On the
letterhead of the applicant)
*I/We (Name of the applicant) hereby confirm/declare that I/we am/are not under investigation
of any agency such as Directorate of Enforcement, CBI etc.
OR
*I/We (Name
of the applicant) hereby confirm/declare that I/we am/are or was/were under investigation of
any agency such as
Directorate of Enforcement, CBI etc. and the details are given in the Annex
( * Strike out
one)
Signature of the authorised
signatoryCompany Secretary GAURAV SHARMA+919990694230 Connect on Watts App with Gaurav Email us [email protected] Official Blog Fema India Experts Connect with our Facebook Page:- Click and Like our Page Subscribe our Email updates like other 13,300 Members, Free/Easy/Comfortableway
