The weekly compilation covers significant regulatory developments issued between 15–21 June 2026 across GST, Customs, Central Excise, DGFT, SEBI, MCA, IBBI, RBI, and other authorities. Key GST updates include mandatory Ship-to GSTIN validation for e-invoicing and e-Way Bills from 1 August 2026, availability of ITC on Qualified Institutional Placement (QIP) services for debt repayment, denial of ITC on solar plants generating exempt electricity, important AAR and AAAR rulings, and Supreme Court and High Court decisions on GST appeals and refund limitation. Customs notifications revise tariff values, anti-dumping duties, airport jurisdiction, and testing procedures. SEBI introduced reforms relating to ETFs, AIFs, buy-backs, mutual funds, and margin trading. MCA granted filing relaxations for DPT-3 and extended name reservation validity. RBI issued comprehensive Kisan Credit Card Directions, updated payment system regulations, banking prudential norms, FEMA provisions, and responsible business conduct guidelines, alongside several important judicial pronouncements.
Notifications & Circulars issued during week (15th – 21st Jun 2026)
(Income Tax, GST, Central Excise, Custom Duty, DGFT, SEBI, MCA, IBBI, RBI)
(Click the Link for Notification/ Circular as issued)
A. Income Tax
No Notification/ Circular during the week.
B. GST
GSTN Advisory on e-Invoice API and e-Way Bill by IRN API changes for mandatory capture of Ship-to GSTIN and Voluntary Closure of e-Way Bill: With effect from 1st August 2026, Ship-to GSTIN will become conditionally mandatory where e-Way Bill generation is required in Bill-to/Ship-to transactions, and “URP” may be used where the consignee is unregistered or GSTIN is unavailable. New validations will ensure valid GSTIN details, distinct Bill-to and Ship-to GSTINs, and consistency of state and PIN code information. GSTN has introduced a voluntary e-Way Bill closure facility for suppliers, recipients, transporters, and authorized persons after delivery completion, including API-based closure options.
(Link: GSTN Advisory Dated 17/06/2026, Tutorial)
AAAR, Qualified Institutional Placement (QIP) Service, ITC Available for Debt Repayment not Subsidiary Investment: Case of RHI Magnesita India Ltd, AAAR Haryana Ruling Dated 22nd May 2026. The appellate authority accepted that services obtained from merchant bankers, credit rating agencies, consultants, legal advisors, and other professionals for executing the QIP have a direct nexus with raising capital and can qualify as being used in the course or furtherance of business. It held that ITC on QIP-related services shall be available only to the extent for repayment or pre-payment of borrowings. However, ITC was denied to the extent QIP proceeds were invested in the equity shares of the applicant’s wholly owned subsidiary.
AAAR, No ITC on Solar Plant Costs as Electricity attracts Nil GST: Case of SBF Ispat Pvt Ltd, AAAR Rajasthan Ruling Dated 20th May 2026. The appellate authority upheld the AAR ruling that ITC is not available on inputs, capital goods, or input services used for the design, engineering, erection, installation, commissioning, and operation of a solar power plant where the electricity generated is supplied to the DISCOM grid, since such electricity constitutes an outward supply that is exempt from GST.
AAR, Bonded Warehouse Supplies not Exports as Goods Delivered Within India: Case of Sanctum Trading Corporation Pvt Ltd, AAR Maharashtra Ruling Dated 30th March 2026. AAR ruled that supplying goods from a bonded warehouse to ocean-going vessels, Indian Navy, Indian Coast Guard ships does not qualify as an “export” under IGST Act.
AAR, MHADA Flats Taxable as additional Floor Space Index (FSI) was received Before Occupancy Certificate: Case of Vedant Construction, AAR Maharashtra Ruling Dated 30th March 2026. AAR ruled that supply of 19 EWS/LIG flats to HADA identified allottees in the project is a taxable supply.
AAR, Works Contract Qualified for GST Exemption as Goods Component was Below 25% Threshold: Case of Rockline Construction, AAR Maharashtra Ruling Dated 30th March 2026. AAR ruled that supply being made to Katol Nagar Parishad is not a pure service. It is a composite supply in the nature of work contract. The recipient is a Local Authority. The applicant is eligible for tax exemption under entry 3A of notification 12/2017 in respect of such composite supply.
SC Allows GST Appeal without Pre-Deposit as Amendment came after Appealable Order: Case of MM Traders vs State of UP, SC Judgement Dated 25th May 2026. An appealable order had been passed on 1st January 2025, whereas the amendment introducing a pre-deposit requirement for filing a further appeal came into force only on 1st October 2025. The petitioner argued that the subsequently introduced condition of pre-deposit could not operate as a pre- condition for maintaining the appeal in the present case. Pending consideration of the Special Leave Petition, as an interim arrangement, the court permitted the petitioner to file the appeal and directed that the appeal be entertained without insisting upon any pre-deposit.
HC, Amendment to GST Refund Limitation in 2019 is Prospective, Not Retrospective: Case of Kanika Exports vs Union of India, HC Delhi Judgement Dated 18th April 2026. HC held that the exporter’s refund application filed on 29 March 2020 was governed by the unamended Explanation 2(e). It thus, set aside the impugned orders and directed the GST Department to process the refund applications on their merits and pass appropriate orders in accordance with law within three months.
C. Central Excise
SAED revised on Export of ATF to Rs 12.50 per Litre: The notification amends earlier notification 08/2026 dated 26th March 2026, to revise the Special Additional Excise Duty (SAED) applicable on export of Aviation Turbine Fuel (ATF). The SAED rate has been substituted with Rs 12.50 per litre (Pre-revised Rs 9.50 per litre), effective from 16 June 2026.
(Link: Central Excise Notification 31/2026 (T) dated 15/06/2026)
SAED revised on Export Diesel to Rs 14.00 per Litre: The notification amends earlier notification 06/2026 dated 26th March 2026, to revise the Special Additional Excise Duty (SAED) applicable on export Diesel to Rs 14.00 per litre (Pre-revised Rs 13.50 per litre), effective from 16 June 2026.
(Link: Central Excise Notification 30/2026 (T) dated 15/06/2026)
D. Custom Duty
Navi Mumbai customs airports added as International Courier Terminal: The notification amends earlier notification 27/2018 (NT) dated 28th March 2028 and inserts a new entry at Serial No. 15 in table of the principal notification, adding “Navi Mumbai”.
(Link: Customs Notification 57/2026 (NT) Dated 18/06/2026)
Revision in Customs Jurisdiction in Maharashtra: The notification seeks to rationalise and clarify the territorial jurisdiction of customs formations to ensure administrative efficiency and certainty regarding the competent customs authority.
(Link: Customs Notification 56/2026 (NT) Dated 16/06/2026)
Fixation of Tariff Value of Edible Oils, Brass Scrap, Areca Nut, Gold and Silver: CBDT notified the Tariff Values of Edible Oils, Brass Scrap, Areca Nut, Gold and Silver, which shall come into force w.e.f. 16th June 2026. The tariff value for crude palm oil is set at USD 1232 per metric ton, while gold and silver have tariff values of USD 1348 per 10 grams and USD 2175 per kilogram, respectively. The tariff value for areca nuts is fixed at USD 10785 per metric ton.
(Link: Customs Notification 55/2026 (NT) Dated 15/06/2026)
Anti-Dumping Duty extended on PET Resin originating in or exported from China: The notification amends earlier notification 18/2021 (ADD) dated 27th March 2022, and extends the anti-dumping duty on imports of Polyethylene Terephthalate (PET) resin having an intrinsic viscosity of 0.72 decilitres per gram or higher, excluding recycled PET resin, originating in or exported from China. The duty will remain in force for five years unless revoked, amended, or superseded earlier.
(Link: Customs Notification 12/2026 (ADD) Dated 19/06/2026)
Anti-Dumping Duty on Sulphenamides Accelerators originating in or exported from China, EU and USA: Anti-dumping Duty has been imposed on imports of Sulphenamides Accelerators originating in or exported from China, EU and USA, and imported into India. It shall be effective for a period of five years.
(Link: Customs Notification 11/2026 (ADD) Dated 19/06/2026)
Mandatory Duplicate Testing of Export Samples Ended: The circular provides that exporters may continue obtaining test reports from NABL-accredited laboratories, laboratories recognised by Export Promotion Councils (EPCs), or other recognised agencies to satisfy the regulatory requirements of importing countries. In the absence of any risk-based intervention or specific intelligence inputs, customs officers are directed to consider such accredited test reports without mandatorily forwarding samples to the Central Revenues Control Laboratory (CRCL). It also states that no changes have been made to the testing procedures applicable to import consignments.
(Link: Customs Circular 28/2026 Dated 15/06/2026)
Exemption of Merchant Overtime Charges (MOT) on International Cruise Passengers and Baggage Clearance: The circular clarifies that Merchant Overtime (MOT) charges will not be levied for customs services provided in relation to the clearance of international cruise passengers and their accompanied baggage at customs locations.
(Link: Customs Circular 27/2026 Dated 15/06/2026)
Completion of Data Entry in DIGIT Application: The instruction specifies that only offence cases relating to outright smuggling, commercial fraud, offences under the NDPS Act, the Wildlife Act, and other allied Acts are required to be entered in DIGIT. It prescribes detailed stages and timelines for data entry covering search, summons, seizure, arrest, investigation, conclusion of investigation, adjudication, post-adjudication, prosecution, appeals, and payment updates, with most entries required within five days of the relevant event. The instruction establishes a three-tier nodal officer structure for administration, monitoring, reconciliation, and modification of DIGIT data at the national, zonal, and commissionerate levels.
(Link: Customs Instructions 10/2026 Dated 18/06/2026)
E. Directorate General of Foreign Trade (DGFT)
HC, Import Restriction not applicable to Goods arrived before Gazette Publication: Case of Bright Metal Refiners vs Director General DGFT, HC Delhi Judgement Dated 4th June 2026. HC ruled that import restrictions cannot be applied retrospectively to goods that had already landed in India before the restrictive notification was published in the official gazette.
F. Securities and Exchange Board of India (SEBI)
Clarification on applicability of the benefit of early pay-in in Commodity Derivatives Segment: It has been provided that clearing corporations shall continue to offer the early pay-in facility, allowing market participants to deposit certified goods in accredited warehouses against relevant commodity derivatives contracts. For positions where early pay-in has been made, clearing corporations may, based on their risk assessment, exempt all types of margins except mark-to-market (MTM) margins, which will continue to be collected.
(Link: SEBI Circular Dated 19/06/2026)
Guidelines for winding up of AlFs with respect to retention of proceeds and Inoperative Fund status: The guidelines provide greater flexibility to Alternative Investment Funds (AIFs) and erstwhile Venture Capital Funds (VCFs) during the winding-up process. It permits funds to retain liquidation proceeds beyond their permissible fund life in specific circumstances, including pending or anticipated litigation, potential tax liabilities, or residual operational expenses linked to winding up. Where retention is based on anticipated liabilities, approval from at least 75% of investors by value is required, along with clear disclosure of the amount and proposed retention period. It has also introduced the concept of an “Inoperative Fund,” allowing eligible AIFs to surrender active registration while resolving outstanding liabilities.
(Link: SEBI Circular Dated 16/06/2026)
Norms for Base Price, Price Bands, Call Auction in pre-open session and Close-out procedure for ETFs: It has been provided that the base price for Exchange Traded Funds (ETFs) will initially be determined using the T-1 day closing price based on the last 30 minutes Volume Weighted Average Price (VWAP), with alternate methods prescribed where trading data is unavailable. Dynamic price bands have been introduced for Equity ETFs, Debt ETFs, and Commodity ETFs, along with cooling-off periods and provisions for flexing bands in response to market movements. Overnight and Liquid ETFs will continue to operate under fixed ±5% price bands. SEBI has also introduced pre-open call auctions for gold and silver ETFs to facilitate efficient price discovery and revised close-out procedures for Overnight and Liquid ETFs.
(Link: SEBI Circular Dated 15/06/2026)
Key decisions taken in the SEBI Board Meeting: The Board Meeting held on 19th June 2026, approved several regulatory reforms across the securities market. It simplified the framework for transmission of securities by introducing Quick Transmission Processing (QTP), increasing limits for simplified documentation, and reducing procedural requirements for legal heirs. It reintroduced open market buy-backs through stock exchanges from 1st August 2026 with revised operational safeguards and approved amendments to the Buy-back Regulations. It also permitted intraday borrowings by mutual funds for liquidity management, and introduced the GARUDA mechanism to expedite Alternative Investment Fund (AIF) scheme launches. It also approved an evidence-based review of the SME capital raising framework and adopted a new Code of Conduct for SEBI Members.
(Link: SEBI Press Release Dated 19/06/2026)
Consultation Paper on Review of Margin Trading Facility (MTF) Framework: The proposals include making eligible collateral uniform across cash and MTF transactions, permitting EPI sell credits as collateral under specified conditions, providing a 30 day rebalancing period when securities change category, introducing a uniform Rights and Obligations document, expanding permissible funding sources to include Non-Convertible Debentures (NCDs), revising broker exposure norms with ring-fencing of net worth, recognising passive breaches of client level exposure under specified conditions, increasing the minimum net worth requirement for brokers from Rs 3 crore to Rs 5 crore, and retaining the higher maintenance margin of VaR + 5 ELM where cash collateral is used as pay-in due to wrong way risk.
(Link: SEBI Consultation Paper Dated 18/06/2026)
G. Ministry of Corporate Affairs (MCA)
New Development Bank notified as Body Corporate under Companies Act: The Central Government has notified the New Development Bank, established under an agreement and its annexes among the Governments of Brazil, Russia, India, China, and South Africa, including any amendments thereto. This notification relates to the definition of “body corporate” or “corporation” under the Companies Act, which require certain entities to be specified by the Central Government through notification.
(Link: MCA Notification Dated 16/06/2026)
Relaxation in filing DPT-3 up to 31st July 2026: The General Circular provides relaxation for companies filing Form DPT-3 (Return of Deposits) for the financial year ended 31st March 2026, due date for filing being 30th June 2026. However, due to capacity enhancement and restoration activities at the MCA Data Center, it has permitted companies to submit Form DPT-3 without payment of additional fees until 31st July 2026.
(Link: MCA General Circular 02/2026 Dated 19/06/2026)
Extension of time period for validity of Name Reservation and Resubmission: The Office Memo provides that the validity of approved name reservations expiring between 21st June 2026 and 30th June 2026 has been automatically extended up to 10th July 2026. For name reservations for Companies or LLPs, including applications through RUN, RUN-LLP, and SPICe+ Part A, that expired between 5th June 2026 and 20th June 2026, stakeholders may seek extension up to 10th July 2026 by raising a ticket with the MCA Helpdesk. Similarly, the validity of e-form resubmissions has also been extended.
(Link: MCA Office Memo Dated 20/06/2026)
H. Insolvency and Bankruptcy Board of India (IBBI)
Guidelines for Conducting Valuation Under Insolvency and Bankruptcy Code: The guidelines prescribe minimum documentation standards, mandatory contents of valuation reports, and asset- specific reporting formats for land and buildings, plant and machinery, and securities or financial assets. They also establish detailed parameters for valuing receivables and define the duties of registered valuers. A significant feature is the framework for Coordinating Valuers, who must integrate individual asset valuations, consider business synergies and intangible assets, and determine the holistic fair value of the corporate debtor.
(Link: IBBI Circular Dated 15/06/2026)
NCLAT Questions CIRP over alleged Sham and Circular Group Transactions: Case of Chandra Shekhar Jha vs Religare Enterprises, NCLAT Delhi Judgement Dated 27th May 2026. The appellate tribunal set aside the admission of insolvency proceedings, holding that the transactions relied upon by Religare Enterprises Ltd were “only round tripping of money” and not “for the purpose of any genuine financial transaction.
NCLAT Allows Class Action Claims for Past Acts under Companies Act: Case of Jindal Poly Films Ltd vs Ankit Jain, NCLAT Delhi Judgement Dated 26th February 2026. The appellate tribunal upheld NCLT order admitting a class action petition under section 245 of Companies Act. It ruled that minority shareholders can initiate a class action lawsuit against past and concluded fraudulent transactions.
I. Reserve Bank of India (RBI)
RBI Rural Cooperative Banks Kisan Credit Card (KCC) Scheme Directions 2026: The new framework establishes a six-year composite KCC facility covering crop cultivation, dairy, fisheries, animal husbandry, post-harvest expenses, household consumption, insurance, produce marketing, and investment credit. It standardizes credit assessment through the Scale of Finance, introduces Flexi KCC of Rs 10,000 – Rs 50,000 for marginal farmers, waives collateral and margin requirements for agricultural loans up to Rs 2 lakh, permits higher collateral-free loans up to Rs 3 lakh in specified cases, and mandates digital access through UPI, debit cards, mobile banking, NEFT, RTGS, CBDC, and other channels
(RBI Directions 405/2026 Dated 19/06/2026)
RBI Regional Rural Banks Kisan Credit Card (KCC) Scheme Directions 2026: The new framework establishes a six-year composite KCC facility covering crop cultivation, dairy, fisheries, animal husbandry, post-harvest expenses, household consumption, insurance, produce marketing, and investment credit. It standardizes credit assessment through the Scale of Finance, introduces Flexi KCC of Rs 10,000 – Rs 50,000 for marginal farmers, waives collateral and margin requirements for agricultural loans up to Rs 2 lakh, permits higher collateral-free loans up to Rs 3 lakh in specified cases.
(RBI Directions 404/2026 Dated 19/06/2026)
RBI Small Finance Banks Kisan Credit Card (KCC) Scheme Directions 2026: The new framework establishes a six-year composite KCC facility covering crop cultivation, dairy, fisheries, animal husbandry, post-harvest expenses, household consumption, insurance, produce marketing, and investment credit. It standardizes credit assessment through the Scale of Finance, introduces Flexi KCC of Rs 10,000 – Rs 50,000 for marginal farmers, waives collateral and margin requirements for agricultural loans up to Rs 2 lakh, permits higher collateral-free loans up to Rs 3 lakh in specified cases.
(RBI Directions 403/2026 Dated 19/06/2026)
RBI Commercial Banks Kisan Credit Card (KCC) Scheme Directions 2026: The new framework establishes a six-year composite KCC facility covering crop cultivation, dairy, fisheries, animal husbandry, post-harvest expenses, household consumption, insurance, produce marketing, and investment credit. It standardizes credit assessment through the Scale of Finance, introduces Flexi KCC of Rs 10,000 – Rs 50,000 for marginal farmers, waives collateral and margin requirements for agricultural loans up to Rs 2 lakh, permits higher collateral-free loans up to Rs 3 lakh in specified cases.
(RBI Directions 402/2026 Dated 19/06/2026)
Master Directions on Authorisation to operate a Payment System: The Master Directions consolidate and update the regulatory framework governing Payment System Operators (PSOs) under the Payment and Settlement Systems Act. These introduce a streamlined, on-tap authorisation process, prescribe eligibility criteria including net-worth and fit-and-proper requirements, and provide perpetual validity of authorisation subject to continued regulatory compliance. It also restricts significant investments from jurisdictions identified by the Financial Action Task Force (FATF) as non-compliant with anti-money laundering and counter- terror financing standards. The Directions further formalise a one-year cooling-off period for entities whose authorisation is revoked, surrendered, or refused.
(RBI Directions 401/2026 Dated 15/06/2026,
Lead Bank Scheme (LBS) Guidelines Revised: The revised framework aims to enhance priority sector credit and deepen financial inclusion through coordinated efforts of banks, governments and developmental agencies. It defines the roles of Lead Banks, Lead District Managers, NABARD District Development Managers, RBI Lead District Officers and SLBC Convenor Banks, while prescribing a three-tier institutional structure. The guidelines prescribe monitoring of Credit- Deposit Ratio, banking penetration, digital payments, financial inclusion and capacity building, and coordination among stakeholders for effective implementation of the Lead Bank Scheme.
(Link: RBI Circular 150/2026 Dated 19/06/2026)
Amendment to RBI Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR) Directions: These directions are applicable to Rural Coop Banks, Urban Coop Banks, Regional Rural Banks, Small Finance Banks and Commercial Banks. It provides that fresh Non-Resident (External) Rupee (NRE) term deposits with a tenor of three years or more, mobilized by Regional Rural Banks between 19th June 2026 and 30th September 2026, including deposits renewed on maturity, will be exempt from the maintenance of Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR). The transfers from Non-Resident (Ordinary) (NRO) accounts to NRE accounts will not qualify for the exemption.
(Link: RBI Circular 149/2026 (RRB), 148/2026 (RCB), 147/2026 (UCB), 146/2026 (SFB), 145/2026 (CB) Dated 19/06/2026)
Reporting of FCNR (B) Deposits, ECB and OFCB mobilized under Swap Facility: RBI has directed all Authorised Dealer (AD) Category-I banks to submit daily data on Foreign Currency Non-Resident (Bank) [FCNR(B)] deposits, External Commercial Borrowings (ECBs), and Overseas Foreign Currency Borrowings (OFCBs) mobilized under the RBI’s swap facilities introduced through circulars dated 8th June 2026. Banks are also required to submit a NIL statement on days when no transactions occur, except on holidays.
(Link: RBI Circular 144/2026 Dated 19/06/2026)
Amendments to RBI Interest Rate on Deposits Directions: These directions are applicable to Rural Coop Banks, Urban Coop Banks, Local Area Banks, Regional Rural Banks, Small Finance Banks and Commercial Banks. RBI has decided to temporarily withdraw the interest rate ceiling applicable to fresh Foreign Currency Non-Resident (Bank) [FCNR(B)] deposits with maturities of three years and above up to five years. It also removed the restriction linking interest rates on fresh Non-Resident External (NRE) deposits of three years and above tenors to comparable domestic rupee term deposit rates. The relaxation applies to fresh deposits as well as deposits renewed upon maturity until 30th September 2026. However, transfers from NRO accounts to NRE accounts will not qualify for the exemption.
(Link: RBI Circular 143/2026 (RCB), 142/2026 (UCB), 141/2026 (LAB), 140/2026 (RRB), 139/2026 (SFB), 138/2026 (CB) Dated 17/06/2026)
Amendments to RBI Prudential Norms on Capital Adequacy Directions: These directions are applicable to Urban Coop Banks, Regional Rural Banks, Small Finance Banks, Commercial Banks, NBFCs, and All India Financial Institutions. The amendment provide regulatory relief for loans covered under the Emergency Credit Line Guarantee Scheme (ECLGS) 5.0. The exposures guaranteed under ECLGS 5.0 shall attract a zero percent risk weight to the extent of 75% of the guaranteed portion, provided the settlement amount is expected to be received within thirty days from the date of invocation of the guarantee. The balance exposure will continue to attract risk weights under existing prudential norms.
(Link: RBI Circular 137/2026 (SFB), 136/2026 (NBFC), 135/2026 (RRB), 134/2026 (UCB), 133/2026 (AIFI), 132/2026 (CB) Dated 16/06/2026)
Amendments to RBI Undertaking of Financial Services Directions: These directions are applicable to Urban Coop Banks, Rural Coop Banks Regional Rural Banks, Small Finance Banks, Payment Banks, Commercial Banks and NBFCs. The amendments redefine key concepts such as agency business, referral services, regulated financial products, third party product and service providers. The banks may facilitate the sale of regulated financial products only on a fee basis without risk participation, with this limitation being clearly disclosed to customers. Under referral arrangements, banks may only market and refer customers, not sell products, and must maintain transparency by publishing referral arrangements, avoiding platform integration, and complying with the directions.
(Link: RBI Circular 131/2026 (NBFC), 130/2026 (UCB), 129/2026 (RCB), 128/2026 (RRB), 127/2026 (PB), 126/2026 (SFB), 125/2026 (CB) Dated 16/06/2026)
Amendments to RBI Responsible Business Conduct Directions: These directions are applicable to Rural Coop Banks, Urban Coop Banks, Regional Rural Banks, Local Area Banks, Small Finance Banks Payments Banks, Commercial Banks, NBFCs, AII India Financial Institutions and Housing Finance Companies. The amendments prohibit mis-selling, compulsory bundling, and the use of deceptive “dark patterns” in digital interfaces. Banks must obtain explicit customer consent before offering products, provide clear disclosures regarding fees, risks, and terms, and assess the suitability and appropriateness of products for individual customers. The directions impose stricter oversight over Direct Selling Agents and Marketing Agents through codes of conduct, disclosure obligations, and accountability mechanisms.
(Link: RBI Circular 124/2026 (HFC), 123/2026 (NBFC), 122/2026 (AIFI), 121/2026 (RCB), 120/2026 (UCB), 119/2026 (RRB), 118/2026 (LAB), 117/2026 (PB), 116/2026 (SFB), 115/2026 (CB) Dated 15/06/2026)
Liberalisation of Foreign Portfolio Investment: RBI has liberalised the foreign portfolio investment framework under Schedule III of the Foreign Exchange Management (Non-debt Instruments) Rules, by permitting all individual persons resident outside India to invest in equity instruments of listed Indian companies through recognised Indian stock exchanges. Previously, such investments were restricted to Non- Resident Indians (NRIs) and Overseas Citizens of India (OCIs). It also provides enhanced investment limits and enables Authorised Dealer Category-I banks to open repatriable INR accounts to facilitate these investments.
(Link: RBI Circular 114/2026 Dated 15/06/2026)
Amendments to FEMA Mode of Payment and Reporting of Non Debt Instruments Regulations: The amendment revises the payment, remittance, and reporting framework governing investments by Non-Resident Indians (NRIs), Overseas Citizens of India (OCIs), and other individual persons resident outside India. It mandate the use of designated repatriable rupee accounts for investments under Schedule III, while clarifying permissible funding sources for National Pension System subscriptions and the remittance of sale proceeds. It also streamlines procedures relating to the purchase and subscription of equity shares of Indian companies listed on international exchanges.
(Link: RBI FEMA Notification Dated 13/06/2026)
Amendments to FEMA Non-debt Instruments Rules: The amended provisions expand the scope of investment provisions previously applicable only to Non-Resident Indians (NRIs) and Overseas Citizens of India (OCIs) to cover all individual persons resident outside India. It permit such individuals to purchase, sell, and transfer equity instruments of listed Indian companies on a repatriation basis, subject to prescribed limits and conditions. Prior Government approval is mandated where investments or transfers result in ownership or control passing to entities or citizens of countries sharing a land border with India, or where beneficial ownership lies with such persons.
(Link: Fin Min FEMA Notification Dated 12/06/2026)
J. Miscellaneous
SC Refers Section 245 Class Action Dispute to Arbitration on Parties Consent: Case of Jindal Poly Films Ltd vs Monet Securities Pvt Ltd, SC Judgement Dated 8th June 2026. The appeal had challenged an NCLAT judgment dated 26th February 2026, which had upheld the NCLT order, rejecting objections to the maintainability of a class action petition and directing issuance of public notice to shareholders. The apex court, following the parties agreement before it, set aside the NCLT and NCLAT orders on maintainability of class action suit, and the disputes were directed to be resolved through arbitration, with all substantive issues expressly left open.
HC Restrains Google for allowing Trademark as AdWords Keywords: Case of Hindware Ltd vs Grohe India Pvt Ltd, HC Delhi Judgement Dated 22nd May 2026. HC ruled that Google practice of selling registered trademarks as keywords for rival brand ads constitutes trademark infringement. It fined Google Rs 30 lakh and permanently restrained them from auctioning the ‘HINDWARE’ trademark in its Google Ads program
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Compiled by:- CMA Yash Paul Bhola, MBA, FCMA, Former Director (Finance), National Fertilizers Limited.
Disclaimer: The contents of this article are for informational purposes only. The user may refer to the relevant notification/ circular/ decisions issued by the respective authorities for specific interpretation and compliances related to a particular subject matter)
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