FEMA Compounding: RBI Fines One 97 Communications Rs 18.76 Lakh
Why in the news
One 97 Communications Limited (OCL) paid a compounding fee to settle FEMA lapses with the RBI.
Key facts
- Investor: Little Internet Singapore Private Limited; investee: Little Internet Private Limited (LIPL).
- Period: March 2016 to June 2017.
- Breach: Regulation 5(1) with Regulation 13, FEMA Notification No. 120/RB-2004, on investment and reporting norms.
About compounding
- The entity admits the contravention, pays the fee, and no further proceedings follow.
- It reduces litigation yet preserves compliance.
Exam angle
- OCL disclosed the order under Regulation 30 of the SEBI LODR Regulations, 2015.
- Law involved: FEMA, 1999.