Mumbai, Feb 2: Reserve Bank of India has advised banks about the exemption granted by Union government to all associations for accepting foreign contributions without Centre's prior approval towards relief work of earthquake victims in Gujarat.The Ministry of Home Affairs had issued a notification on February 1, under provisions of "Foreign Contribution (regulation) Act, 1976," granting exemption up to March 31, 2001, RBI said in a release on Friday.
This exemption was available to all associations (otherthan political parties) having a definite cultural, economic educational, religious or social programme, it said.
However, to avail of this exemption, the associations would need to open a new bank account and designate it as the "Gujarat Earthquake Relief Account."
The associations would have to maintain a separate accounts and records for foreign contributions.
Details of the account would have to be submitted to Ministry of Home Affairs within one week of opening of the same and give intimation regarding receipt of foreign contributions within four months of the close of year.
Earlier, the RBI had relaxed the ways and means advances and overdraft regulations for state of Gujarat till the end of February 2001, it added.
(PTI)
Copyright © 2001 Indian Express Newspapers (Bombay) Ltd.
