| External Commercial Borrowing for Corporates under Investigation |
| Green signal has been given by the Reserve Bank of India (RBI) for corporates under investigation to avail External Commercial Borrowings (ECBs) under automatic route. |
| Prior to RBI circular dated March 05, 2013 (bearing no. RBI/2012-13/429) corporates under any investigation by any law enforcing agencies, intending to avail ECB were required to get the approval of Reserve Bank of India for availing of ECB even if they come under the automatic route as prescribed under the ECB guidelines. |
| Considering the liquidity requirements of the corporates, RBI has decided to allow corporates under investigation to avail ECBs under automatic route. |
| Accordingly, while scrutinizing the applications of corporates which have intimated that they are under Investigation by some law enforcing authority, the Authorized Dealer bank should intimate to the concerned agencies by endorsing the copy of approval letter. |
| Reserve Bank of India will also intimate to the concerned agencies while approving such proposals. |
