09 February 2012
A resident individual wishes to remit USD 25,000 to a company in Russia for acquiring 33 percent stake in that foreign company. Foreign company is in the business of consulting. 1. Can individual use liberalised scheme of RBI upto USD 200,000 to invest in the foreign company 2. In case liberalised scheme can not be used, under what provisions of FEMA can the resident individual buy this stake in foreign company. 3. Would the position be different incase individual is also appointed as director in the foreign company. Please clarify
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