News shortcuts: From the Courts | Top Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | Professional Updates | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax | PPE Safety Kit SITRA Approved | PPE Safety Kit
Latest Circulars »
 RBI System-based asset classification UCBs
 Introduction of Automated Sweep-In and Sweep-Out (ASISO) Facility for end of the day LAF Operations
 Reserve Bank announces constitution of an Expert Committee
 Reserve Bank announces constitution of an Expert Committee
 Online Dispute Resolution (ODR) System for Digital Payments
 RBI Opening of Current Accounts by Banks - Need for Discipline
 Loans against Gold Ornaments and Jewellery for Non-Agricultural End-uses
 Basel III Capital Regulations Treatment of debt mutual funds/ETFs
 Micro, Small and Medium Enterprises (MSME) sector Restructuring of Advances
 Resolution Framework for COVID-19-related Stress
 Directions under Section 35 A of the Banking Regulation Act, 1949 (AACS) Shivam Sahakari Bank Ltd, Ichalkaranji, Kolhapur, Maharashtra

RBI proposes fresh Regulations under Foreign Exchange Management Act, 1999 for Cross Border Mergers: Invites comments from stakeholders
April, 27th 2017

The Reserve Bank today has placed on its website the draft guidelines proposed to be issued on cross border merger transactions pursuant to the Rules notified by Ministry of Corporate Affairs through Companies (Compromises, Arrangements and Amalgamation) Amendment Rules, 2017 on April 13, 2017.

Section 234 of the Companies Act, 2013 provides for mergers and amalgamations between Indian companies and foreign companies. Accordingly, Ministry of Corporate Affairs has issued Companies (Compromises, Arrangements and Amalgamation) Amendment Rules, 2017 on April 13, 2017 to operationalize this section.

The Reserve Bank of India has proposed these Regulations under the Foreign Exchange Management Act, 1999 (FEMA) in order to address the issues that may arise when an Indian company and a foreign company enter into Scheme of merger, demerger, amalgamation, or rearrangement. These Regulations stipulate conditions that should be adhered to by the companies involved in the Scheme. The Regulations shall be named Foreign Exchange Management (Cross Border Merger) Regulations.

Members of public, including the stakeholders and experts in the area, are requested to offer their views and comments on the proposed Regulations. The comments may be sent latest by May 9, 2017 to email with the subject “Cross Border Mergers – Comments/Suggestions”.

Ajit Prasad
Assistant Adviser

Press Release : 2016-2017/2909

Home | About Us | Terms and Conditions | Contact Us | PPE Kit SITRA Approved | PPE Safety Kit
Copyright 2020 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting