feeleminds.com

Your Knowledge Partner!

SALE OF NBFC - PROCEDURE / NEWSPAPER ADVT. , ETC.

Mercantile Laws | Contract Act | Partnership | Arbitration | Foreign Trade | FEMA | RBI | Negotiable Instruments | Banking | STPI | SEZ | DoT | Arbitration Insurance | Stocks & Securities etc.

Moderators: srinivasaraghavan, feele, sumitpahwa

SALE OF NBFC - PROCEDURE / NEWSPAPER ADVT. , ETC.

Postby ramramram » Mon Sep 22, 2008 12:27 pm

Dear all,

One of our clients is going to sell of the NBFC (Chitfund based) to another.

Kindly let me know the procedure for sale of NBFC, including the RBI formalities to be complied with and the text of the newspaper advt. to be issued.

Regards,

RAM
ramramram
Professional eMind !
 
Posts: 73
Joined: Tue Jul 24, 2007 3:18 pm

Re: SALE OF NBFC - PROCEDURE / NEWSPAPER ADVT. , ETC.

Postby deepak.kharwad » Mon Sep 22, 2008 12:56 pm

First give a 30 days Joint Public Notice by Transferor/Transferee and the Company and then complete the consideration part - No need of RBI approval

Then intimate the change in Directors,

For Name change you need prior approval

PUBLIC NOTICE
This is to inform that _____________________ (Transferors) for and on behalf of _______________ Limited, a Non-Banking Financial Company, having its registered office at ___________________________ proposes to sell their entire holding and transfer the ownership and management of the Company to _______________ (Transferee) having its registered office at ________________________, (Transferee). The Shareholder’s/Transferor’s intend to sell the shares since they do not wish to continue the NBFC related business and the Transferee intend to acquire shares, since they wish to pursue NBFC related business.
On expiry of the Notice period, The registered office of the company will be shifted to __________________________, and, the present directors __________________________ will retire and ____________________________________________ will take over the complete management of the Company.
Any person including any creditor or depositor having any objection to the proposed change in control or management of the Company may write to the company at its registered office and also to the concerned Regional Office of the Department of Non-Banking Supervision, Reserve Bank of India at Mumbai.
The above notice is being given pursuant to RBI Circular DNBS (PD) CC No. 11/02.01/99-2000 dated November 15, 1999 as amended by Circular No. DNBS (PD) CC No. 12/02.01/99-2000 dated January 13, 2000 and further amended by Circular No. DNBS (PD) CC No. 63/02.02/2005-06 dated January 24, 2006 and DNBS (PD) CC No. 82/03.02.02/2006-07 dated October 27, 2006 and other relevant regulations jointly by the Transferors, Transferee and the NBFC.
Issued by
______________________(Company Name)
Transferors mentioned above
Transferee mentioned above.
Mumbai
Dated :
deepak.kharwad
Trainee eMind !
 
Posts: 18
Joined: Thu Jul 31, 2008 11:20 am

Re: SALE OF NBFC - PROCEDURE / NEWSPAPER ADVT. , ETC.

Postby ramramram » Mon Sep 22, 2008 1:42 pm

Dear Deepak,

Thanks for your prompt response.

Regards,

RAM
ramramram
Professional eMind !
 
Posts: 73
Joined: Tue Jul 24, 2007 3:18 pm

Re: SALE OF NBFC - PROCEDURE / NEWSPAPER ADVT. , ETC.

Postby ramramram » Mon Sep 22, 2008 2:41 pm

Dear Deepak,

Whether the public notice to be given in the leading English News paper and local daily or any paper and in any mode.

Regards,

RAM
ramramram
Professional eMind !
 
Posts: 73
Joined: Tue Jul 24, 2007 3:18 pm

Re: SALE OF NBFC - PROCEDURE / NEWSPAPER ADVT. , ETC.

Postby deepak.kharwad » Mon Sep 22, 2008 2:57 pm

One English Daily and one Local Vernacular News Paper

Eg. If in Maharashtra then Economic Times and Maharashtra Times will do
deepak.kharwad
Trainee eMind !
 
Posts: 18
Joined: Thu Jul 31, 2008 11:20 am

Re: SALE OF NBFC - PROCEDURE / NEWSPAPER ADVT. , ETC.

Postby yogesh chande » Mon Sep 22, 2008 3:14 pm

Please refer to RBI website for detail procedure in this regard.

Regards,
yogesh chande
Champion eMind!
 
Posts: 638
Joined: Thu Jul 12, 2007 9:18 am
Location: Mumbai

Re: SALE OF NBFC - PROCEDURE / NEWSPAPER ADVT. , ETC.

Postby ramramram » Tue Sep 23, 2008 12:49 pm

Dear Yogesh,

Kindly let me know under which heading the procedure to be followed for sale of NBFC is given in the RBI site.

Regards,

RAM
ramramram
Professional eMind !
 
Posts: 73
Joined: Tue Jul 24, 2007 3:18 pm


Return to Commercial Law, FEMA & RBI

Who is online

Registered users: Bing [Bot], Google [Bot], Google Adsense [Bot], Pinkienounse

eMinds Legal Counsulting Pvt. Ltd.
D-126, 2nd Floor, Sector 56,
Gurgaon -122011, India,

(O): +91 11 426 0141

(E) : info@emindslegal.com
(W): www.emindslegal.com

Subscriptions

Registration to both the below newsletters is free and entitles you to receive 1 mail per day. We don’t Spam and you can unsubscribe anytime.

Corporate Law Reporter -  the daily journal

We regularly send legal updates related to Corporate Laws, FEMA, Compliances and Direct & Indirect Taxation.

Click here to register your email id for Daily Legal updates from Corporate Law Reporter - the Daily Journal.

feeleminds.com discussion forums

Click here to Subscribe to feeleminds discussion forums to get the gist of all discussions exchanged during the day

Our Service Offerings:

CORPORATE LAWS | FEMA | COMPLIANCE AUDITS | STPI | SEZ | CYBER LAWS | PRIVATE EQUITY | CORPORATE RESTRUCTURING

Follow us on

This legal update is the copyright of eMinds Legal. The update is not intended to be a form of solicitation or advertising. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate thereafter. No person should act on such information without appropriate professional advice based on the circumstances of a particular situation.