08 February 2009
First you have to arrive at the amount for which you want to issue shares to NRI.
Based on the amount you have to find out whether you are eligible under automatic route.
If you fall under automatic route then apply for IE code under your jurisdictional dgft.
After receiving ie code receive money.
File returns to RBI about the receipt of money alonwith FIRC. Please note that FIRC should contain the words for the purpose of investment in shares of ____ company.
RBI will send you confirmation.
If not in automatic route then you have to approach FIPB (foreign investment permission board) submit the application with annexures and after processing the FIPB will give you apporval.
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