JAIIB · PPB · Chapter 8

Foreign Exchange Remittance Facilities for Individuals

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Q

Philosophy — FERA, 1973 / FEMA, 1999 (w.e.f. 01-Jun-2000)?

A

FERA, 1973: Conservation of forex; everything prohibited unless permitted; FEMA, 1999 (w.e.f. 01-Jun-2000): Facilitation of forex; everything permitted unless prohibited

Q

Nature of violation — FERA, 1973 / FEMA, 1999 (w.e.f. 01-Jun-2000)?

A

FERA, 1973: Criminal offence (imprisonment); FEMA, 1999 (w.e.f. 01-Jun-2000): Civil offence (monetary penalty + civil imprisonment on non-payment)

Q

Burden of proof — FERA, 1973 / FEMA, 1999 (w.e.f. 01-Jun-2000)?

A

FERA, 1973: On the accused; FEMA, 1999 (w.e.f. 01-Jun-2000): On the prosecution

Q

Residential status — FERA, 1973 / FEMA, 1999 (w.e.f. 01-Jun-2000)?

A

FERA, 1973: Citizenship-driven; FEMA, 1999 (w.e.f. 01-Jun-2000): 182-day stay rule (Sec. 2(v))

Q

Number of sections — FERA, 1973 / FEMA, 1999 (w.e.f. 01-Jun-2000)?

A

FERA, 1973: 81; FEMA, 1999 (w.e.f. 01-Jun-2000): 49

Q

Replaced by — FERA, 1973 / FEMA, 1999 (w.e.f. 01-Jun-2000)?

A

FERA, 1973: FEMA, 1999; FEMA, 1999 (w.e.f. 01-Jun-2000): (current)

Q

Authorised Person (Sec. 2(c))?

A

Any authorised dealer, money changer, off-shore banking unit or any other person authorised under Sec. 10(1) to deal in foreign exchange or foreign securities.

Q

Currency?

A

Currency notes, postal notes, postal orders, money orders, cheques, drafts, traveller's cheques, letters of credit, bills of exchange, promissory notes, credit cards / ATM cards and similar instruments notified by RBI.

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