Parliamentary Standing Committee on Finance today lashed out at the Reserve Bank of India (RBI) for “not filing an FIR against the BCCI when it found out that the society has violated several provisions of the Foreign Exchange Management Act (FEMA) in IPL series”.
In a meeting held today with RBI and corporate affairs ministry for discussing the IPL matter, the panel, dissatisfied with the reply of RBI on several issues including involvement of Indian banks and remittances of foreign exchange, “asked RBI governor D Subbarao to appear before the committee with the Action Taken Report in the IPL matter”, sources told The Indian Express. The meeting was attended by RBI deputy governor Shyamla Gopinath and other RBI officials along with corporate affairs ministry officials. The RBI, according to sources, has found that the Board for Control of Cricket in India (BCCI), had opened a foreign currency account with a bank in South Africa for the IPL-2 session. But “no permission was taken for the same, which is in violation of FEMA notification of 2000”.
According to the notification, no Indian resident can open or maintain a foreign currency account except with the permission of the RBI and subject to terms and conditions.