A person resident outside India who has established in India in accordance with the Foreign Exchange Management (Establishment in India of a Branch or Office or Other Place of Business) Regulations, 2000, a branch office or other place of business for carrying on in India any activity, excluding a liaison office has been permitted to acquire immovable property in India which is necessary for or incidental to the activity carried on in India by such branch or office subject to the terms and conditions mentioned in Regulation No.5, reproduced in topic 8 below. Such property can also be mortgaged to an authorised dealer as a security for any borrowing by a branch or office. However, a declaration in Form No.IPI has to be filed in duplicate and submitted directly to the Chief General Manager, Exchange Control Department, (Foreign Investment Division-lI), Reserve Bank of India, Central Office, Bombay-40000 I within 90 days from the date of acquisition of the said immovable property. |
