RBI Issues Circular to Delegate Powers of Compounding Certain Contraventions to its Regional /Sub-Offices

The RBI through its Circular dated November 17, 2020 has delegated the powers to compound certain contraventions relating to the ‘transfer or issue of securities by a person resident outside India’ to the regional offices/ sub-offices of RBI. Further, the RBI has notified that classification of certain contraventions as ‘technical’ (i.e. dealt with by way of an administrative/ cautionary advice) will be discontinued and such contraventions will be regularized by imposing minimal compounding amount as per the compounding matrix contained in the Master Direction on Compounding of Contraventions dated January 01, 2016.

Published In:Inter Alia - Quarterly Edition - December 2020 [ English Chinese
Date: December 31, 2020