Oppn could stall retail FDI in House

Written by fe Bureau | New Delhi | Updated: Nov 17 2012, 07:55am hrs
When the winter session of Parliament begins on November 22, the Centre could find itself on the back foot on the issue of allowing foreign direct investment in multi-brand retail. The opposition is gearing up for a debate on and could vote against the Foreign Exchange Management Act (Fema) amendment necessary for implementing the decision if the Speaker decides to admit a notice under Section 184.

A PIL was filed in the SC alleging that the government had permitted 51% FDI in multi-brand retail sans rules and regulations and without parliamentary approval. Replying to the notice in the matter, attorney general GE Vahanvati said the Centre had notified three amendments to Fema rules for FDI. The petitioner said these amendments needed parliamentary nod. Any amendment to Fema requires approval of both houses of Parliament.