Hi
I have a query.
Is it possible to form a partnership between an Indian resident and two Chinese residents?
If not, what are the alternatives to between a resident and non resident.
Regards
Mayank kapoor
9871009350
Mayank Kapoor (.) (159 Points)
23 January 2012Hi
I have a query.
Is it possible to form a partnership between an Indian resident and two Chinese residents?
If not, what are the alternatives to between a resident and non resident.
Regards
Mayank kapoor
9871009350
Mihir Manohar
(CA Final - Article Assistant)
(474 Points)
Replied 25 June 2012
Fantastic Query but i thinh that this will be guided by Law between both the countries. I m not perfectly sure......but i m eager to know the solution.
CA. Anuj Gupta
(Practices in NRI Int.Tax FEMA TP FDI/FIPB & FCRA)
(7024 Points)
Replied 16 December 2012
The same is not permitted as per FEMA.
Anuj
femaquery @ gmail.com
Mayank Kapoor
(.)
(159 Points)
Replied 17 December 2012
hmm. Thank you,
Anuj can you help me in the case of a company.
I want to form private limited company and it will have two Foreign Directors and the head office wants to hold 100% share in that company. I have two queries related to it ;-
1.) Is it possible to give 100% shares to the Head office (Represented by the foreign partner) or it is
mandatory to give some part of the equity to any subsidiary company ?
2.) Notarization of the MOA from the foreign country is required in case Foreign Directors sign the MOA.
In case the directors are in India for 30 days and they sign the MOA , is notarization from the foreign
country still required??
I am also posting this query separately so you can reply in any of them.
Thanks.
CA. Anuj Gupta
(Practices in NRI Int.Tax FEMA TP FDI/FIPB & FCRA)
(7024 Points)
Replied 17 December 2012
1. The answer shall depend on the work proposed to be done by the Indian Company.
2. MAy not be required subject to certain conditions.
Anuj
femaquery @ gmail.com
Nikhil Kaushik
(Fellow CA)
(85648 Points)
Replied 17 December 2012
Dear Mayank,
Answer to part 1 depends on the objectives of the proposed entity (please be guided by FDI investment guidelines)
Part 2, the MOA, AOA shall not require notarization. But the directors shall be required to take DIN number which shall require their ID and address proof documentation to be notarized/ consularised depending on the country they belong too.
Mayank Kapoor
(.)
(159 Points)
Replied 17 December 2012
Dear Anuj
1.) The company will deal in trading of medical equipments. The FDI allowed is 100% through
automatic route.
2.) Can you please specify the conditions of possible ??
Regards
Mayank
Mayank Kapoor
(.)
(159 Points)
Replied 17 December 2012
Dear Nikhil
1.) The FDI approval is not an issue as the company is aloowed 100% FDI through automatic route. My
point is regarding the company Law. Is it legally allowed to allot 100 % share to one foreign company
or it should be divided between two foreign company ( Like headquarter and its german subsidiary as 99% and 1% )
2.) I have received the DIN of the directors. The issue is regarding MOA. ROC will reject the papers if the signatures are not notarized for the foreign country.
Thanks and regards
Mayank
CA. Anuj Gupta
(Practices in NRI Int.Tax FEMA TP FDI/FIPB & FCRA)
(7024 Points)
Replied 18 December 2012
As per Company Law there has to be 2 shareholders ina Pvt. Ltd. Company, hence it is necessary to divide the holding(in whatever ratio) amongst the two foreign Companies.
Anuj
femaquery @ gmail.com
Mayank Kapoor
(.)
(159 Points)
Replied 18 December 2012
Thank you Anujji
Your answeres have always been very helpful
Regards
Mayank
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