Yes, such requests are considered by the Special Committee on case-to-case basis. Indian companies desirous of making such investment are required to submit an application in form ODB to Reserve Bank for the purpose.

No. The bank or the PD is not permitted to build any other cost, such as funding cost, into the price. In other words, the bank or the PD cannot recover any other cost from the client other than accrued interest as indicated in Q21 and Q23 and commission(Q31)

Banks can offer loans below the PLR rates to exporters or other credit worthy borrowers including public enterprises in accordance with a transparent and objective policy approved by their respective Board of Directors.

All regulated financial services entities of the Promoters/Promoter Group in which the Promoters/Promoter Group has ‘significant influence’ or ‘control’ (as defined in Accounting Standard 23) have to be held by a NOFHC. Regarding financial groups setting up banks, the existing NBFC must transfer all regulated financial services business to a new company and shares in that new company must be held by the NOFHC. Conversion of the NBFC into a non operating holding company would enable meeting the requirement of para 2(C)(iii) of the guidelines provided the listed non operating holding company meets the requirement of para(C)(ii)(b) of the guidelines i.e. the public hold not less than 51 percent voting equity shares in the company.

No. The facility to create pledge, hypothecation or lien against Government securities is not available for those loans which, as per the specific Government Loan Notification, are non-transferable or not eligible for collateral to avail of loan facility.

The bonds are tradable from a date to be notified by RBI. (It may be noted that only bonds held in de-mat form with depositories can be traded in stock exchanges) The bonds can also be sold and transferred as per provisions of Government Securities Act, 2006. Partial transfer of bonds is also possible.

The Appellate Authority, after examining the appeal and related documents, may act as given under:

1. dismiss the appeal; or

2. allow the appeal and set aside the Award/order of the RBI Ombudsman; or

3. remand the matter to the RBI Ombudsman for fresh disposal in accordance with such directions as the Appellate Authority may consider necessary or proper; or

4. modify the Award/order and pass such directions as may be necessary to give effect to the order of the RBI Ombudsman or Award so modified; or

5. pass any other order as it may deem fit.

Further, the orders of the Appellate Authority shall have the same effect as the Award passed by the RBI Ombudsman or the order rejecting the complaint, as the case may be.

Ans. REs’ Customer Acceptance Policy shall not result in denial of banking/ financial facility to members of the general public, especially those, who are financially or socially disadvantaged, including the persons with disabilities (PWDs). The decision to reject the application of KYC/ periodic updation of KYC shall not be automated and such decisions on rejection shall be reviewed by an official of RE authorised for the purpose.

The company will have to make an application to the Reserve Bank of India in form ODI along with necessary documents under the Normal Route.