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Bank Account [ Section 17 ] - FCRA Ready Reckoner - FEMAExtract Bank Account Bank account Means FCRA Account means the FCRA Account referred to in section 17 of the FCRA, 2010. [ Rule 2(f) of FC(R) Rules 2011 ] Foreign contribution through scheduled bank Every person who has been granted certificate or prior permission under section 12 shall receive foreign contribution only in an account designated as FCRA Account by the bank, which shall be opened by him for the purpose of remittances of foreign contribution in such branch of the State Bank of India at New Delhi Main Branch (NDMB) , as the Central Government may, by notification, specify in this behalf: Ministry has issued charter(really guidelines) for banks vide press release dated 30.01.2021 about provisions relating to FCRA Account. All those NGO s /persons/associations who have already been granted certificate of registration to obtain foreign contribution should open account in SBI (NDMB) before bank. They can link this account with SBI (NDMS). SBI (NDMB) shall not charge transfer fee/charges for transferring foreign contribution from existing FCRA account to SBI (NDMB) account or other utilization account in branch of scheduled bank. ( Ministry of Home Affairs Circular F.No. II/21022/23 (35)/2019 - FCRA-III dated 13-10-2020 ) such person may also open another FCRA Account in any of the scheduled bank of his choice for the purpose of keeping or utilising the foreign contribution which has been received from his FCRA Account in the specified branch of State Bank of India at New Delhi. [ First proviso of section 17(1) of FCRA, 2010] Such person may also open another FCRA Account in any of the scheduled Bank of his choice for the purpose of keeping or utilising any foreign contribution received by him in his FCRA Account in the specified branch of the State bank of India at New Delhi Main Branch or Kept by him in another FCRA Account in a scheduled Bank of his choice. [ Second proviso of section 17(1) of FCRA, 2010 ] No funds other than foreign contribution shall be received or deposited in any such account. [ Third Proviso of Section 17(1) of FCRA, 2010 ] This amendment dated has been held valid in NOEL HARPER ORS. VERSUS UNION OF INDIA ANR. 2022 (4) ) TMI 471 - SUPREME COURT Standard Operating Procedure to open and operate bank account with SBI, New Delhi Main Branch Standard Operating Procedure to open and operate bank account with SBI, New Delhi Main Branch under section 17(1) of FCRA, 2010 has been specified vide press release dated 20-11-2020. Entity need not come to Delhi to Open Bank Account with SBI Sate Bank of India Vide letter no. NDroG/T3 dated 09-06-2021 addressed to the Joint Secretary Government of India, Ministry of Home affairs, Foreigners Division (FCRA Wing) new Delhi-110001 has clarified that the entities that they need not visit Delhi. They can visit any branch of their near to them for opening of FCRA Accounts. In state Represented by CBI v. M Kurian Chief Functionary of the cross It was held that if permission is obtained to received foreign contribution in designated account, depositing the same in other account is an offence. It was held that breach of undertaking given under section 6(1)(b) of FCRA, 1976 while submitting application in form FC-1 is an offence. Intimation of Bank Account top Central Government Intimation of such bank accounts has to be given to central government in electronic form in FORM FC-6D within 45 days . [ Rule 9(1)(e) of FC(R) Rules 2011 ] The specified branch of the State Bank of India at New Delhi or the branch of the scheduled bank where the person referred to in sub-section (1) has opened his foreign contribution account or the authorised person in foreign exchange, shall report to such authority as may be specified,- (a) the prescribed amount of foreign remittance; (b) the source and manner in which the foreign remittance was received; and (c) other particulars, in such form and manner as may be prescribed. Transfer of foreign contribution to other registered or unregistered person not permitted Till 10-11-2020, transfer of foreign contribution to other registered or unregistered person was permitted. Now this rule has been omitted w.e.f. 10-11-2020. Hence, now such transfer is not permitted. [ Rule 24 of FC(R) Rules 2011 ] Reporting by banks of receipt of foreign contribution The bank shall report to the Central Government within 48 hours any transaction in respect of receipt or utilisation of any foreign contribution by any person whether or not such person is registered or granted prior permission under the FCRA, 2010. [ Rule 16 of FC(R) Rules 2011 ] Intimation of Change of designated bank account, name, address, aims, objectives or Key members of the association [ Rule 17A of FC(R) Rules 2011 ] A person who has been granted a certificate of registration under section 12 or prior permission under section 11 of the FCRA, 2010 shall intimate in electronic form within 15 days , of any change in the following, namely:- (i) name of the association or its address within the State for which registration/ prior permission has been granted under the Act in Form FC-6A (ii) its nature, aims and objects and registration with local/relevant authorities in Form FC-6B . (iii) bank and/or branch of the bank and/or designated foreign contribution account number in Form FC-6C; iiia) bank and/or branch of the bank for the purpose of utilising the foreign contribution after it has been received in Form FC-6D; and (iv) office bearers or key functionaries or members mentioned in the application for grant of registration or prior permission or renewal of registration, as the case may be, in Form FC-6E. The change shall be effective only after final approval by the Central Government.
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