Section 26 in The Foreign Exchange Regulation Act, 1973
26. [ Certain provisions as to guarantee in respect of debt or other obligation
.-Except with the general or special permission of the Central Government or the Reserve Bank, no person resident in India shall give a guarantee in respect of any debt or other obligation or liability-(i)of a person resident in India, and due or owing to a person resident outside India, or(ii)of a person resident outside India.]
