Discuss the circumstances in which the Foreign Contribution (Regulation) Act, 2010 does not apply.
CS Executive · Economic, Business and Commercial Laws · PYQS · December 2020
Discuss the circumstances in which the Foreign Contribution (Regulation) Act, 2010 does not apply.
Answer & Explanation:
According to Section 4 of the Foreign Contribution (Regulation) Act, 2010, prohibition regarding acceptance of foreign contribution does not apply to any foreign contribution where such contribution is accepted by a person specified under section 3 of the Act, subject to the provisions of section 10, in the following circumstances: by way of salary, wages or other remuneration due to him or to any group of persons working under him, from any foreign source or by way of payment in the ordinary course of business transacted in India by such foreign source; or by way of payment, in the course of international trade or commerce, or in the ordinary course of business transacted by him outside India; or as an agent of a foreign source in relation to any transaction made by such foreign source with the Central Government or State Government; or by way of a gift or presentation made to him as a member of any Indian delegation, provided that such gift or present was accepted in accordance with the rules made by the Central Government with regard to the acceptance or retention of such gift or presentation; or from his relative; or by way of remittance received, in the ordinary course of business through any official channel, post office, or any authorised person in foreign exchange under the Foreign Exchange Management Act, 1999; or by way of any scholarship, stipend or any payment of like nature.
Topics: Foreign Contribution (Regulation) Act, 2010
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