FTE of company with foreign directors and members? Did ROC ask for approval from RBI in this case, if anyone has filed the form with a similar case?

[FCA Chandrasekaran Ramadurai]

When filing for Fast Track Exit (FTE), if a company has foreign directors or members, the Registrar of Companies (ROC) does not typically require prior approval from the Reserve Bank of India (RBI) for the FTE itself, but the company must comply with relevant FEMA regulations and obtain necessary approvals for any foreign investments or transactions. [1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30]

Here's a more detailed explanation:

1. FTE and RBI Approval: [9, 9, 26, 26, 29, 29]

FTE is for striking off a company's name from the ROC register

. [9, 9, 15, 15, 16, 16, 18, 18, 22, 22, 26, 26, 29, 29]

FTE is a separate process from establishing a business presence in India

. [4, 4, 15, 15, 16, 16, 18, 18, 22, 22]

Foreign companies establishing a business presence in India (like a branch, liaison, or project office) need prior RBI approval

. [4, 4, 15, 15, 16, 16, 18, 18, 22, 22]

Once RBI approval is obtained, the foreign company registers with the ROC

. [9, 9, 15, 15, 16, 16, 18, 18, 22, 22, 26, 26, 29, 29]

FTE does not require RBI approval

. [9, 9, 15, 15, 16, 16, 18, 18, 22, 22, 26, 26, 29, 29, 31]

If a company is striking off, it is not establishing a new business presence

. [9, 9, 15, 15, 16, 16, 18, 18, 22, 22, 26, 26, 29, 29, 32]

2. FEMA Compliance: [1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30]

Even if a company is striking off, it must comply with FEMA regulations related to foreign investments and transactions

.

This includes ensuring that all liabilities are extinguished and that there are no outstanding foreign investments or transactions

.

If there are any outstanding liabilities or transactions, the company must address them before applying for FTE

. [1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30]

3. Form FC-1 and FC-4: [15, 16, 18, 22, 33]

Foreign companies establishing a business presence in India file Form FC-1 with the ROC

. [15, 15, 16, 16, 18, 18, 22, 22]

They also file Form FC-4 as an annual return

. [9, 9, 15, 15, 16, 16, 18, 18, 22, 22, 26, 26, 29, 29, 30]

These forms are not related to FTE

. [9, 9, 15, 15, 16, 16, 18, 18, 22, 22, 26, 26, 29, 29]

4. FTE Process: [8, 26]

Companies can apply for FTE using Form STK-2

.

This form is used to remove a company's name from the register of companies

. [8, 26]

Generative AI is experimental.

[1] https://www.rbi.org.in/commonperson/english/Scripts/FAQs.aspx?Id=1167

[2] https://bsamrishindia.com/strike-off-under-companies-act-2013/

[3] https://bsamrishindia.com/fast-track-exit-scheme/

[4] https://www.rbi.org.in/commonman/english/scripts/Notification.aspx?Id=1178

[5] https://www.icsi.edu/docs/webmodules/Publications/Lesson%2018%20(ACLP).pdf

[6] https://www.csdiveshgoyal.com/Blog/175/ProcessofIncorporationofSubsidiaryofForeignCompany.aspx

[7] https://www.cgitoronto.gov.in/docs/1111.pdf

[8] https://www.indiafilings.com/learn/form-stk-2-removing-name-register-companies/

[9] https://www.compliancecalendar.in/learn/how-to-close-a-company-in-fast-track-exit-mode-by-stk-2

[10] https://www.compliancecalendar.in/learn/roc-hyderabad-order-under-section-10a-vena-energy-sustainable-power-private-limited

[11] https://www.compliancecalendar.in/learn/fast-track-exit-fte-schme-for-closure-of-companies

[12] https://www.compliancecalendar.in/learn/compliances-under-companies-act-in-case-of-foreign-directorsonboard

[13] https://www.indiafilings.com/learn/fast-track-exit-fte-scheme/

[14] https://www.compliancecalendar.in/learn/roc-hyderabad-order-under-section-203-as-jute-products-private-limited

[15] https://www.setindiabiz.com/blog/filing-fc1-form-branch-office

[16] https://www.linkedin.com/pulse/foreign-liaison-office-registration-india-guide-shiriti-kumari

[17] https://cleartax.in/s/foreign-director-company-incorporation

[18] https://www.setindiabiz.com/blog/foreign-company-form-fc-1

[19] https://taxguru.in/company-law/branch-office-foreign-company-compliance-companies-act-rbi-approval.html

[20] https://bsamrishindia.com/restoration-of-name-of-a-struck-off-company-under-companies-act-2013/

[21] https://www.compliancecalendar.in/learn/compounding-procedures-for-form-fc-gpr-violations-under-fema

[22] https://www.corpzo.com/establishment-of-foreign-office-in-india

[23] https://www.compliancecalendar.in/learn/prevent-penalties-file-annual-returns-with-roc-on-time

[24] https://bsamrishindia.com/revival-of-struck-off-companies/

[25] https://www.dezshira.com/updates/2011/06/fast-track-exit-mode-guidelines-for-defunct-companies-in-india.html

[26] https://www.compliancecalendar.in/learn/mca-form-stk-2-application-by-company-to-roc-for-removing-its-name-from-roc

[27] http://www.manupatracademy.com/LegalPost/Striking_Off_Names_of_Inoperative_Companies

[28] https://www.linkedin.com/pulse/fast-track-exit-fte-scheme-shivaraj-minajigi

[29] https://tradeviser.in/company-closure/

[30] https://ca2013.com/rule-7-companies-registration-of-foreign-companies-rules2014/

[31] https://swaritadvisors.com/blog/foreign-investment-criteria-for-nbfcs/

[32] https://www.indiafilings.com/learn/what-does-company-status-strike-off-mean/

[33] https://treelife.in/compliance/mca-compliances-for-foreign-entities-starting-business-in-india/