Chandu intends to make overseas direct investment with a view to earning a return. Since Chandu is looking at either real estate or lottery, you are required to state the restriction or prohibitions in context of ODI.

Rule 19 of the Foreign Exchange Management (Overseas Investment) Rules, 2022 provides that unless otherwise provided in FEMA or these Rules, no person resident in India will make Overseas Direct Investment (ODI) in a foreign entity engaged in: real estate activity; gambling in any form; and dealing with financial products linked to the Indian rupees without specific approval of Reserve Bank. Any ODI in start-up recognised under the laws of the host country or host jurisdiction as the case may be, shall be made by an Indian entity only from internal accruals whether from the Indian entity or group or associate companies in India and in case of resident individuals from own funds of such an individual. No person resident in India shall make financial commitment in a foreign entity that has invested or invest into India, at the time of making such financial commitment or at any time thereafter either directly or indirectly, resulting in a structure with more than two layers of subsidiaries.