RBI/2006-2007/336
A. P. (DIR Series) Circular No.40

April  20, 2007

To

All Category - I Authorised Dealer Banks

Madam / Sir,

Reporting under FDI Scheme - Revised Form FC-GPR

Attention of Authorised Dealer Category-I (AD Category - I) banks is invited to the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) Regulations, 2000 notified vide Notification No. FEMA 20/2000-RB dated May 3, 2000 (the Notification), as amended from time to time. In terms of para 9 (1) B of Schedule I to the Notification, Indian companies are required to report the details of Foreign Direct Investment (FDI) in Form FC-GPR to the Regional Office of RBI within whose jurisdiction the Registered Office of the Company operates, within 30 days of issue of shares.

2. In order to capture the details of FDI in a comprehensive manner, Form FC-GPR has been revised in consultation with the Government of India. Accordingly, the details of FDI should, henceforth, be reported in the revised Form FC-GPR, enclosed as Annex.

3. As per the revised format, details of FDI are required to be furnished in Part A and Part B. Part A has to be filed by the Company, through AD Category – I bank, to the concerned Regional Office of RBI. Part B, which is an annual report of all investments made in the company during a financial year, is required to be submitted directly by the Company to the Director, Balance of Payment Statistical Division, Department of Statistical Analysis & Computer Services, Reserve Bank of India, C 9, 8th floor, Bandra-Kurla Complex, Bandra (E), Mumbai 400 051,  by 30th June every year.

4. The AD Category – I bank in India, receiving the remittance should obtain a KYC report in respect of the foreign investor from the overseas bank remitting the amount. If the AD Category – I bank receiving the remittance is different from the AD Category – I bank forwarding Form FC-GPR, the latter should file Form FC-GPR along with a certificate from the former of having received the inward remittance and the KYC report.

5. Necessary amendments to the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) Regulations, 2000 notified vide Notification No. FEMA 20/2000-RB dated May 3, 2000 will be issued separately. 

6. AD Category - I banks may bring the contents of this circular to the notice of their constituents and customers concerned. 

7. 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 is without prejudice to permissions / approvals, if any, required under any other law.

Yours faithfully,

(Salim Gangadharan)
Chief General Manager

[Annex to A. P. (DIR series) Circular No. 40  dated April 20, 2007]

Annex

FC-GPR

PART - A

(To be filed by the company through its Authorised Dealer Category – I bank with the Regional Office of the RBI under whose jurisdiction the Registered Office of the company making the declaration is situated as and when fresh investment in the Company is received, along with the following documents:

i) A certificate from the Company Secretary of the company accepting investment from persons resident outside India

ii) A certificate from Statutory Auditors or Chartered Accountant indicating the manner of arriving at the price of shares issued to the persons resident outside India (as specified in para 9 B of Schedule I to Notification No. FEMA 20/2000-RB dated May 3, 2000.)

PAN Number

Date of issue /transfer of             
shares

*please specify the nature

** before issue of shares                                            *(Please indicate as applicable)

DECLARATION TO BE FILED BY THE AUTHORISED REPRESENTATIVE OF THE INDIAN COMPANY:

We hereby declare that:

OR

OR

OR

OR

3.  Shares have been issued in terms of SIA/FIPB approval No. --------------------- dated --------------------.
(Delete whichever is not applicable under signature)

(Signature of the Applicant)*   :___________________________________________

(Name in Block Letters)                      :___________________________________________

(Designation of the signatory) :___________________________________________

Place:

Date:

(* To be signed by Authorised signatory of the Company)

CERTIFICATE TO BE FILED BY THE COMPANY SECRETARY OF THE INDIAN COMPANY ACCEPTING THE INVESTMENT:

(As per Para 9 (1) (B) (i) of Schedule 1 to Notification No. FEMA 20/2000-RB dated May 3, 2000)

In respect of the abovementioned details, we certify the following :

(Name & Signature of the Company Secretary) (Seal)

[Annex to A. P. (DIR series) Circular No. 40  dated April 20, 2007]

FC-GPR

PART-B

(i) This is an annual report to be submitted by 30th of June every year, pertaining to all investments by way of direct/portfolio/re-invested earnings/others in the Indian company made during the preceding financial year (April to March).
(i.e. the report in Part B submitted by 30th June 2007 will pertain to the investments made during the financial year April 2006 to March 2007).

(ii) To be submitted to the Director, Balance of Payment Statistical Division, Department of Statistical Analysis & Computer Services, Reserve Bank of India, C9, 8th Floor, Bandra-Kurla Complex, Bandra (E), Mumbai – 400051;  Tel: 2657 1265, 2657 2513)
--------------------------------------------------------------------------------------------------------------------------------

PAN Number

FORM FC-GPR (PART-B)

# Please furnish the outstanding investments of non-resident investors (Direct Investors) who were holding 10 % or more ordinary shares of your Company on the reporting date.

## Please furnish here your investments outside the country in each of which your Company held 10 per cent or more ordinary shares of that non-resident enterprise on the reporting date.
Use March-end market price/exchange rate.

$ Other Capital transactions between the non-resident direct investor and investee / reporting company includes: i) Short Term Borrowing from overseas investors, ii) Long Term Borrowing from overseas investors, iii) Trade Credit, iv) Suppliers Credit, v) Financial Leasing, vi) Control Premium, vii) Non-Competition Fee in case of transactions not involving issue of shares, viii) Non-cash acquisition of shares against technical transfer, plant and machinery, goodwill, business development and similar considerations and ix) investment in immovable property made during the year.     

@Note: As the details of the Loans availed by your company are collected through Authorised Dealers separately by Foreign Exchange Department of the RBI in ECB returns, the details of external loans availed by your company need not be filled in. However, the external loans extended by your company to WOS/JVs outside India should be reported. 

FORM FC-GPR (PART-B)

Signature of the Applicant *                :___________________________________________

Name in Block Letters                       :___________________________________________

Designation of the signatory               :___________________________________________

Place:                                                 Date:

(* To be signed by Authorised signatory of the Company)