Download Permission to raise Short Term Foreign Currency Loan/Credit

ECB 4 [Paragraph 7 B. 8 (i) ] Application for permission to raise short term foreign currency loan/credit (i.e. Loans not requiring Government's approval) Instructions 1. The application complete in all respects should be submitted by the applicant to Chief General Manager, Exchange Control Department, Central Office , Reserve Bank of India, Mumbai 400 001 through an authorised dealer through which the import documents are to be received. No column should be left blank or omitted. Where any column/item is not applicable, write "Not Applicable" against it. Do not write "as per letter/document attached" except for, if necessary, against item IV of Part C. 2. Before forwarding the application to Reserve Bank, the authorised dealer should ensure that the applicant is its regular customer and is availing of credit facilities with it to its satisfaction. Authorised dealer should carefully scrutinise all the related original documents and ensure that the application is complete in all respects and strictly in order as per the underlying import contract and the Exchange Control regulations. 3. For filling up Part A - item III(b), the following names of industry may be used. 1. Agriculture, Fisheries, forest14. Food processing 2. Air Transport 15. Housing & Urban Development 3. Aluminum 16. Industrial Development 4. Automobiles 17. Iron and Steel 5. Basic Metal Industries 18. Oil & Natural Gas 6. Chemicals & Chemical Products19. Petrochemicals 7. Coal & Lignite 20. Power Generation 8. Computer Technology 21. Shipping 9. Telecommunication 22. Textiles 10. Electrical goods & machinery23. Manufacturing & Machine Tools 11. Electronic good 24. Construction & turnkey project 12. Mining 25. Plantations 13. Fertilizers 26. Others (Specify Documentation 4. A copy each of the following documents, duly attested by authorised dealer, should be submitted: a) Letter of offer from the prospective foreign supplier/lender showing details of the credit/loan arrangements and its terms and conditions. b) A copy of the import contract/proforma/commercial invoice. PART A - GENERAL INFORMATION I. Name and address of the applicant company/firm (BLOCK LETTERS) Name of the applicant company/firm Address II. Name and telephone number of the senior executive of the applicant company/firm. Name of the senior executive of the applicant Co./firm Telephone No. III. a) Nature of business of Industry Trading PSU/Govt.Deptt. applicant company/firm in India b) If industry, type of industry IV. Details of imports/exports of (Amounts in lacs of rupees) the:-applicant company/firm during the last three years Year Import Export -------------------- -------------------- -------------------- V. Details of previous approvals obtained from RBI for short-term foreign currency loan(s) which are outstanding on the date of this application: Sr No Reg. No Date Amount sanctioned Date of drawal/ expected date of drawal Amount drawn Balance amount yet to be drawn date of repaymen t Amount repaid Amount to be repaid Monthly out- standing statement submitte d upto (month) 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. PART B - INFORMATION ABOUT IMPORTS IN QUESTION I. Particulars of commodity(ies) to be imported - a) Commodity(ies) - Description and value: b) Country of shipment : c) Type of goods : Capital Non-capital : d) Proposed import is : Freely Importable Under Valid Import Licence : f) Value of import as per licence, if any: II. Details of imports made/to be made : A) Whether under LC/on collection : L/C On: L/C On Collection collection basis : B) Terms of import i.e. FOB/CIF/C&F : C) (i) State Payment terms : (ii) Details of advance payment: (iii) Whether (ii) is covered under a bank guarantee? : D) (i) Due date of import bill : (ii) Is it outstanding or has been paid?: (iii) Extension for the due date is sought upto : (iv) Whether supplier/ beneficiary of LC has agreed for (iii) above? : (v) What will be the total period of credit from the date of shipment to the proposed due date? Also indicate rate of interest payable for each block of period within total period of credit? : E) If import has already been made, please state - (i) Date of Bill of Entry : (ii) Value of import stated in above Bill of Entry : (iii) Whether Bill of Entry has been submitted to AD? If not, why? : F) If goods remain to be received - (i) Date of shipment : (ii) Expected date of arrival of goods: (iii) Whether goods have been sold on high seas or any such sale is contemplated? : PART C - CREDIT INFORMATION I. (i) Details of import LC against which credit/loan is sought - Applicant Opening LC No. Amount Payment Expiry date of LC Extension bank & date terms as For For sought upto per LC Shipmentnegotiation 1. 2. 3. 4. 5. 6. 7. 8. (ii) Whether LC is required to be confirmed? If so, please specify in percentage terms the charges payable therefor. : II (i) If the proposed import is on "collection basis", the reasons therefor and the terms: and conditions of the arrangement (ii) Also, state as to who will receive the import documents : III. Terms and conditions of credit/Loan - i) Type of credit proposed to be raised: Suppliers Buyers Both [Please put in the : credit(SC) credit(BC) SC&BC appropriate box] (ii) Name and address of - : a) foreign supplier offering credit: b) foreign lender offering loan : c) Country of lender : (iii) Amount and currency of loan/credit: (iv) Rate of interest : (v) Other charges if any, payable to lenders/AD (Give details and percentage thereof) : vi) All-in-cost (Annualised in percentage terms) : vii) Period of credit/loan : From............ To........... viii)Expected Date(s) of drawal of loan/creditExpected Currency Amount date(s) (a) (b) (c) ix) Schedule of repayment of credit/loan: ExpectedCurrencyPrincipal Interest date(s) (a) (b) (c) x) Security, if any, for the loan : xi) Details of penal interest payable, if any, in case of defaults in repayment/debt servicing : IV. Reasons for obtaining credit/loan/ extension of LC : PART D - DECLARATIONS We hereby that - (i) the import for which credit/loan is requested for vide this application is strictly in accordance with the current EXIM Policy; (ii) the proposed credit/loan is for financing the imports essentially required for our unit/for our type of activity as a trader. (iii) the import bill for ________________ is outstanding. The credit/ (amount) loan to be raised will be utilised for the purpose for which it is being applied for vide this application; (iv) we shall not pay / reimburse / compensate, in any form whatsoever, any charge, interest, etc. other than that approved by Reserve Bank of India, for the above credit/loan; (v) the particulars given above are true and correct to the best of our knowledge and belief. No material information has been withheld and/or misrepresented which could affect Reserve Bank's decision on this application. (vi) Bills of Entry in respect of all our earlier imports, irrespective of whether they were covered under short term credit/loan or not, have been submitted to our authorised dealer(s) in compliance with the provisions of Exchange Control Manual, 1993 Edition. ________________________________ (Signature of authorised Official of the borrower firm/company) PLACE: _________________ DATE :_________________ Stamp Name : _________________________ Designation:_________________________ (For use of authorised dealer) We hereby certify that - (i) the applicant is our customer for the last____years and has a good track record with regard to compliance with the Exchange Control regulations. The applicant has been adhering to the discipline prescribed for imports and has been regular in submitting Bills of Entry to us; (ii) the proposed import transaction is bonafide one and in accordance with the current EXIM Policy, Exchange Control Regulations contained in Exchange Control Manual, 1993 Edition, the provisions of UCP 500/URC 522 and FEDAI rules and regulations; (iii) we have scrutinised all the documents relating to the proposed import and the credit/loan to be raised therefor and have found the same as also the financing arrangement to be in order. The relevant particulars have been correctly reported in this application; (iv) the credit facilities extended to the applicant for the proposed import are within the credit limits sanctioned by us to the applicant company/firm and strictly in conformity with the guidelines issued by the Government of India and Reserve Bank of India from time to time; (v) the particulars given above are true and correct to the best of our knowledge and belief; (vi) we have so far neither allowed any remittance of principal and/or interest in respect of the import in question, to the supplier/lender nor given any consent to the overseas supplier/lender for extension of credit. (vii) We hereby undertake that in the event of the loan/credit requested for vide this application being approved by Reserve Bank of India, we shall ensure that the loan amount is released to the suppliers of goods or his banker direct. We recommend favourable consideration of the request. ___________________________ (Signature of Authorised Official) PLACE: ______________ Name : _________________________ Stamp of AD DATE : ______________ Designation : _________________________ Name of bank/branch_____________________