5 December, 2017
Reserve Bank – Legal Entity Identifier for large corporate borrowers
The Reserve Bank of India (“RBI”) has issued notification dated November 02, 2017, pursuant to which banks are required to advise their existing large corporate borrowers having total exposures of INR 50 crore and above to obtain Legal Entity Identifier (“LEI”) as per specified schedule. The notification clearly states that the borrowers who do not obtain LEI as per the schedule shall not be granted renewal / enhancement of credit facilities. LEI is a 20-digit unique code which can be obtained from Legal Entity Identifier India Ltd, a subsidiary of the Clearing Corporation of India Limited (CCIL), which has been recognised by the Reserve Bank as issuer of LEI under the Payment and Settlement Systems Act, 2007 and is accredited by the Global Legal Entity Identifier Foundation as the Local Operating Unit in India for issuance and management of LEI.
Master Direction – Issuance and Operation of Prepaid Payment Instruments
The RBI has issued notification dated October 11, 2017, pursuant to which it has issued Reserve Bank of India (Issuance and Operation of Prepaid Payment Instruments) Directions, 2017. This Master Direction came into effect from October 11, 2017.
Master Direction – Levy of Penal Interest
The RBI has issued notification dated October 12, 2017, pursuant to which it has issued Master Direction on Levy of Penal Interest for Delayed Reporting/Wrong Reporting/Non- Reporting of Currency Chest Transactions and Inclusion of Ineligible Amounts in Currency Chest Balances.
For further information, please contact:
Vineet Aneja, Partner, Clasis Law
vineet.aneja@clasislaw.com
