Securities And Exchange Board Of India - Subsection
Section 13(1) in Securities And Exchange Board Of India (Foreign Institutional Investors) Regulations, 1995
(1)For the purpose of grant of registration the Board shall take into account all matters which are relevant to the grant of such registration to the sub-account and in particular the following, namely:-(a)[ the applicant falls into any of the following categories, namely:-(i)broad based fund or portfolio which is broad based, incorporated or established outside India; or(ii)proprietary fund of a registered foreign institutional investor; or(iii)foreign corporate; or(iv)foreign individual; or(v)university fund, endowment, foundation, charitable trust or charitable society who are eligible to be registered as a foreign institutional investor under these regulations.Explanation I:- For the purposes of clause (a),(A)"foreign corporate" means a body corporate incorporated outside India which fulfills the following conditions:-(i)its securities are listed on a stock exchange outside India;(ii)it has asset base of not less than two billion US dollars;(iii)it had an average net profit of not less than fifty million US dollars during the three financial years preceding the date of the application.(B)"foreign individual" means a foreigner who fulfills the following conditions:-(i)has a networth of not less than fifty million US dollars;(ii)holds the passport of a foreign country for a period of at least five years preceding the date of application;(iii)holds a certificate of good standing from a bank;(iv)is the client of the foreign institutional investor or any other entity which belongs to the same group as the foreign institutional investor, for a period of at least three years preceding the date of the application:Explanation II:- Non-resident Indian shall not be eligible to apply as sub-account:Provided that nothing contained in the Explanation I to clause (a) shall apply to a sub-account which was granted registration prior to commencement of the Securities and Exchange Board of India (Foreign Institutional Investors) (Amendment) Regulations, 2008.] [Inserted by Not. F.No. LAD-NRO/GN/2008/10/126204, dated 22.5.2008](b)[ the applicant is a fit and proper person] [Renumbered by Not. F.No. LAD-NRO/GN/2008/10/126204, dated 22.5.2008];(c)the Foreign Institutional Investor through whom the application for registration is made to the Board holds a certificate of registration as Foreign Institutional Investor;(d)the Foreign Institutional Investor through whom an application for registration of sub-account is made, is authorised to invest on behalf of the sub-account;(e)[ the applicant and the Foreign Institutional through whom the application for registration of sub-account is made, have submitted joint undertakings as required by Form AA of the First Schedule;] [Substituted by S.O. 1322(E), dated 21.8.2006](ee)[ In case the sub-account is a foreign corporate or individual, the foreign institutional investor, through whom the application for registration is made, shall furnish information and undertaking as specified in para. 3 of Annexure B to Form A of the First Schedule.] [Inserted by S.O. 180(E), dated 29.2.2000](f)[ The sub-account has paid registration fees in accordance with the Second Schedule.] [Inserted by S.O. 545 (E), dated 30.6.1998]
