Joint Ventures /Wholly Owned Subsidiaries by employees of Indian promoter Company engaged in the field of software

Reserve Bank may consider applications from Indian companies for remittance towards acquisition of the shares of the overseas joint ventures/wholly owned subsidiaries in the software field by the employees of the Indian promoter company provided

(a) the remittance does not exceed U.S.$ 10,000 or its equivalent per employee in a block of five years and

(b) the shares so allotted to Indian employees do not exceed 5% of the paid -up capital of the overseas concern and

(c) after allotment of shares of the overseas concern to the employees of the Indian promotor company, the shares held by the Indian promoter company, together with the aggregate number of shares so allotted to such employees, is not less than the percentage of shares held by Indian promoter company prior to such allotment of shares under the Employees Stock Option Scheme.The applications for this purpose should be made by the Indian promoter company to the concerned Regional Office of Reserve bank together with relevant documents such as the names and addresses of Indian employees, name and address of the overseas concern, total number and face value of foreign currency shares to be allotted to each employee, certified copies of the overseas concerns latest audited balance sheet and resolution passed by its Board of Directors in support of offer of shares to the employees of its parent Indian company.