The Main text : available at http://www.rbi.org.in/scripts/NotificationUser.aspx?Id=8924&Mode=0

RBI/2013-14/629
A.P. (DIR Series) Circular No.139

June 5, 2014

To
All Category – I Authorised Dealer Banks

Madam/ Sir,

Foreign investment in the Insurance Sector – Amendment to the Foreign Direct Investment Scheme

Attention of Authorised Dealers Category – I (AD Category – I) banks is invited to Annex B of Schedule 1 to the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident Outside India) Regulations, 2000 (the Principal Regulations), notified vide Notification No. FEMA. 20/2000-RB dated May 3, 2000, as amended from time to time, wherein entry route, sectoral cap and other conditions for sectors/activities in which FDI is permitted are specified. In terms of the Schedule ibid, Foreign Direct Investment (FDI) up to 26 per cent is permitted under automatic route in insurance sector.

2. The extant FDI policy for insurance sector has since been reviewed. Accordingly, effective from February 4, 2014, foreign investment by way of FDI, investment by FIIs/FPIs and NRIs up to 26% under automatic route shall be permitted in insurance sector subject to the conditions specified in the Press Note 2 (2014 Series) dated February 4, 2014.

3. A copy of Press Note No.2 (2014 Series) dated February 4, 2014 issued in this regard by Department of Industrial Policy and Promotion, Ministry of Commerce & Industry, Government of India is enclosed.

4. Reserve Bank has since amended the Principal Regulations through the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Fourth Amendment) Regulations, 2014 notified vide Notification No. FEMA. 301/2014-RB dated April 4, 2014 c.f. G.S.R. No. 361(E) dated May 27, 2014.

5. AD Category – I banks may bring the contents of the circular to the notice of their customers/constituents concerned.

6. The directions contained in this circular have been issued under Sections 10(4) and 11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999) and are without prejudice to permissions / approvals, if any, required under any other law.

Yours faithfully,

(B P Kanungo)
Principal Chief General Manager

t has come to the notice of the Reserve Bank of India today that a fake website has been created at http://www.rbi-inonline.org/savings.html by some unknown persons offering various banking facilities and asking members of public to apply on-line for opening “RBI Savings Account”.

The Reserve Bank clarifies that as India’s central bank, the Reserve Bank of India does not offer services offered by commercial banks, such as, savings bank account, current bank account or credit cards. As such, the question of the Reserve Bank offering online banking services, as is indicated on the fake site, does not arise. The Reserve Bank has cautioned members of public not to fall prey to spurious offers made by the fake website. The Reserve Bank has further cautioned members of public that applying on line on that website could result in compromising one’s own crucial personal information, that may be misused to cause financial and other loss to them.

Members of public may visit the official website of RBI at rbi.org.in and see press releases issued earlier which are made available as scrolling headlines for more information about various kinds of fictitious offers of huge moneys sent in the name of the Reserve Bank or its Governor and other senior officials and what to do in case of receiving such offers.

General Circular No. 12 / 2014

F.No.1/12/2013 CL-V
Government of India
Ministry of Corporate Affairs

‘A’ Wing, 5th Floor, Shastri Bhawan,
Dr. Rajendra Prasad Road, New Delhi-110001
Dated: 22nd May, 2014

To

AlI Regional Directors,

All Registrar of Companies, All Stakeholders.

Sub: Applicability of PAN requirement for Foreign Nationals.

Sir,

Attention of Ministry has been drawn to difficulties being faced by Foreign Nationals while filing Incorporation form (INC-7) due to mandatory requirement of submission of PAN details of intending Directors at the time of filing the application for incorporation.

1. It is hereby clarified that PAN details are mandatory only for those foreign nationals who are required to possess “PAN” in terms of provisions of the Income Tax Act, 1961 on the date of application for incorporation. Where the intending Director who is a Foreign National is not required to compulsorily possess PAN, it will be sufficient for such a person to furnish his/her passport number, alongwith undertaking stating that provisions of mandatory applicability of PAN are not applicable to the person concerned. The form of Declaration is required to be made in the proforma enclosed.
2. This issues with the approval of Competent Authority.

Yours faithfully,

(KMS Narayanan)

Assistant Director Tel: 23387263

Encl. As Above

Copy to:

PSO to Secretary
PPS to Additional Secretary
PS to JS(M)/JS(B)/JS(SP)
DIR(AK)/DIR(AB)/DIR(NC)/DIR(PS)

Undertaking

I (name) ________ , son of ______ (father’s name) citizen of

(nationality)_____ having passport No.____ (passport Number) declare as
under:

(i) That I am not required under the provisions of Income Tax Act, 1961 to
obtain Income Tax Permanent Account Number (PAN);

(ii) That in view of the above I have not been issued any PAN; and

(iii) That I undertake to furnish to the Registrar of Companies (mention jurisdiction) details of my PAN as soon as a Permanent Account Number is issued to me.

Date: (Signature)