9.28

“Group Company” means two or more enterprises which, directly or indirectly, are in a position to:-

(a) exercise twenty-six per cent or more of voting rights in other enterprise; or

(b) appoint more than fifty percent of members of board of directors in the other enterprise.

The term ‘Enterprise’ used above would include (i) Public Limited Company, (ii) Private Limited Company and (iii) Limited Liability Partnership (LLP), but not a partnership firm or a proprietorship firm.

For group companies to claim benefits or have their exports counted for benefits to be claimed by another member of group, the group company should have been in existence at least 2 years prior to date of application under any of export promotion schemes notified in FTP.

(Above para 9.28 has been amended vide NOTIFICATION NO. 58/2013, DT. 18/12/2013 )

[OLD-
“Group Company” means two or more enterprises which, directly or indirectly, are in a position to :-

(a) exercise twenty-six per cent, or more of voting rights in other enterprise; or

(b) appoint more than fifty percent, of members of board of directors in the other enterprise.

For group companies to claim benefits or have their exports counted for benefits to be claimed by another member of group, the group company should have been in existence at least 2 years prior to date of application under any of export promotion schemes notified in FTP. ]