RBI issued the notification regarding Amendments to Directions – Compounding of Contraventions under FEMA, 1999
The following has been stated
It is decided that the following clause shall be inserted as Para 5.4.II.vi in Directions for compounding of contraventions under FEMA, 1999, and Master Directions on compounding of contraventions under FEMA, 1999, dated April 22, 2025
Subject to satisfaction of the compounding authority, based on the nature of contravention, exceptional circumstances/ facts involved in case, and in wider public interest, the maximum compounding amount imposed may be capped at INR 2,00,000/- for contravention of each regulation/ rule (applied in a compounding application) with respect to contraventions under row 5 of the above computation matrix.
Link – https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12842&Mode=0
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