 the foreign exchange regulation (amendment) bill, 1957(as introduced in lok sabha)  lok sabra corrigenda to the foreign mcchange ridulation (amendment) bill, 1957(as introduced in lok sabha) 1 page 5, line 32, for "busines" ~ "business" 2 page 8, line 38,-after "in" omit "the" -3 page 14,-in the marginal heading to section 8, !2!: "important" ~ tlimp~rt and" 4 page 16, line 4,-for "of" ~ "or" new delhi 26th july, 19~?  the foreign exchange regulation (amendment) bill, 1957 (as itnroduced in lok sabha) a billfurther to amend the fcreign exchange regulation act, 1947 be it enacted by parlinment in the eighth year of the republic of indra as follows:-1 this act may be called the foreign exchange regulation short title (amendment) act, 1957 7 of 1947 5 z in section 1 of the foreign exchange regulation act, 1947 amend~ent (hereinafter referred to as the principal act), sub-section (4) shall of section i be omitted i i 3 in section 2 of the principal act,-amendment of section 2 (i) for clause (a), the following clauses shall be substituted, 10 namely:-' ! c (a) "appellate board" means the foreign exchange regulation appellate board constituted by the central government under sub-section (1) of section 23e; (ai) "authorised dealer" means q person for the time 15 being authorised under section 3 to deal in foreign exchange; (aii) "bearer certificate" means a certificate of title to securities by the delivery of which (with or without endorsement) the title to the securities is transferable; 20 (aiii) "certificate of title to a security" moons any document used in the ordinarycourse of business as proof of the possession or control of the security, or authorising or purporting to authorise, either by an endorsement or by delivery, the possessor of the doc1iment to transfer or receive the security thereby represented; (aiv) "coupon" means '3, coupon representing dividends or interest on a security;'; s (ii) in clause (b), after the words "postal notes", the words "postal orders" shall be inserted; (iii) after clause (b), the 'following clause shall be inserted, namely:-i '(bb) "director of enforcement" means the director of 10 enforcement of foreign exchange regulation appointed by the central government for the purpose of enforcinl the provisions of this act;'; (iv) in clause (e), for the word "issued", the words "created or issu~" shall be substituted; is (v) in clause (f), after the words "refined or not", the words "and jewellery or articles made wholly or nufthiy of gold" shall be inserted; (vi) in clause (k), after the words "sub-units of unit trusts", the words ''ruld includes certificates of title to securi- zo ties" shall be inserted; (vii) in clause (1) ,-(a) for the word "means", the word "includes" shall be substituted; and (b) after the words "or elsewhere", the words "and ~s jewellery or articles made wholly or mainly of silver" shall be inserted amed~cdt 4 in section 3 of the principal act, in sub-section (2), after the of icctiod 3· words i "under this section", the -words "shall be in wri,ting and" shall be inserted ameudm 5 in sub-section (2) of section 8 of the principal act, for the of 1ccti~ words "jewellery or precious stones, or indian currency notes, bank notes or coin", the words "or precious stones or indian currt"11~" shall be substituted i  amendment 6 in section 9 of the principal act, in clause (a) ,for the word 3s of tectiojl 9 "owns", the words "owns or holds" shall be substituted  1 in section 13 of the principal act,-(a) in sub-section (1),-(i) for the words "no person shall", the words and figures "notwithstanding anything contained in section 81 of the companies act, 1956, no person shall" snail be substituted; i (ii) after clauae (d), the following clause shall be inserted, namely:-i , "(e) acquire, hold or dispose of any foreign security" 10 (b) after sub-section (4), the following sub-section shall be inserted, namely:-"(4a) notwithstanding anything contained in any other -law, no transfer of any share of a company registered in is india made by a person resident outside india to another person also resident outside india shall be valid unless such transfer is confirmed by the reserve bank on an application made to it in this behalf by the transferor or the trans-f~ree" 20 8 after section 13 of the principal act, the following section insertion of  d i  dew section shall be mserte , name y -i 13a '13a (1) notwithstanding an1thing contained in any other reitrictiodi  law or in any contract, agreement or other instrument, the: !e!~~d~f holder of any security or cless of securities notified in this be- certain "tu-:as half by the central government in respect of which the princi- riti~8 pal or interest or both is for the time being payable outside india in any country or place so notified shall not be entitled except with the general or special permission of the reserve bank, to have any such payment made at any place in india 30 (2) in this section, the expressions "holder" and "security" shall have the same meanings as in sub-section (5) of section 13' -  9 in section 14 of the principal act, for the words "document of amof ~ejlt title" wherever they occur, the words" certificate of title" shall be r  acc:tioa " substituted amendment of lection 16 10 in section 15 of the principal act, for the words iino person shall in india issue any bearer security or coupon or so alter any document that it becomes a bearer s£curity or coupon", the words "no perion shall, in india, and no person resident in india shall, outside india, create or issue any bearer certificate or coupon or so 5 alter any document that it becomes a bearer certificate or coupon" shall be substituted i 11 in sub-section (2) of section 16 of the principal act, in subclause (i) of clause (b), for the words "documents of title", the words "certificates of title" shall be substituted 10 :r~e!~~:: 12 in ~ub-sect1on (1) of section 17 of the principal act, for the 11 words "upon any trust under which", the words "so that" shall be substituted 13 in section 18 of the principal act,-amendment of,ection ii (a) in sub-section (3), for the words "a company", the 15 words "any business" shall be substituted; (b) after sub·section (3), the following sub-sections shall be inserted, namely:-"(3a) notwithstanding anything contained in any other law, no transfer of an interest in any business in 20 india made by a person resident outside india to any person also resident outside india shall be valid unless such transfer is confirmed by the reserve bank on an' application made to it in this behalf by the transferor or the transferee 25 , (3b) except vjith the general or special permission of the reserve bank, no person resident in india shall transfer any interest in any business in india, or create any interest in such business, to or in favour of a national of a foreign state"; 30 (c) in sub-section (4) ,-(i) for the words "any company", the words "any firm or company" shall be substituted; (ii) for the words "any such person", the words "any person controlling such firm or company" shall be substi- 35 tuted id!~ of 14 after section 19 of the principal act, the following sections ~;a aect~ shall be inserted, namely:-19b cuetody of docl''llent •• "19a where, in pursu;mce of an o:rder made under subsection (2) of section 19 or of a search warrant issued under 40 sub-section (3) of the said section, any book or other document is furnished or seized, and the director of enforcement has reasons to believe that the said document would be evidence of the contravention of any of the provisions of this act or of s any rule, direction or order made thereunder, and that it would be necessary to retain the document in his custody, he may so retain the said document for a period not exceeding four months or if, before the expiry of the said period of four months, any proceedings under section 23-10 (a) have been commenced before him, until the cijsposal of those proceedings, inc:luding the proceedings before the appellate board, if any, or (/» have been commenced before a court, until the document has been filed in that court inspection is 19b (1) the central government or the reserve bank may, at any time cause an inspection to be made by one or more of its officers, of the books and accounts and other documents of any authorised dealer 20 (2) it shall be the duty of every authorised dealer and, where the authoris~d dealer is a company or a firm, of every director, partner or other officer of the authorised dealer to produce to any offlcer making an inspection under sub-section (1) all such books, accounts and other documents in his custody or power and to fw'nish him with any statement or information relating to the affairs of the authorised dealer as the said officer may require of him within such time as the said officer may specify (3) any per:on making an inspection under sub-section (1) may examine on oath any authorised dealer or his agent or, where the authorised dealer is a company or a firm, any director, partner or other officer of the authorised dealer in relation to its busines 35 (4) if any person fails to produce any book, account or other document or to furnish any statement or information relating to the authorised dealer which, under sub-section (2) it is his duty to produce or furnish; or to answer any question relating to the business of the authorised d~ler which he is asked by an officer making an inspection under this section, he shall be deemed to have contravened the provisions of this act" amendment 15 in section 22 of the principal act, after the words and figures of aection "under section 19", the words, figures and letters "or with any aa requirement under section 19b" shall be idbertec:l 16 in section 23 of the principal act,-amendment of icction it] (a) for sub-section (1), the following sub-sections shall 5 be substituted, namely:-u(1) if any person contravenes the provisions of section 4, section 5, section 9 or sub-section (2) of section 12 or of any rule, direction or order made thereunder, he shall-it) (a) be liable to such penalty not exceeding three times the value of the foreign exchange in respect of which the contravention has' taken place, or five thousand rupees whichever is more, as may be adjudged by the director of enforcement in the manner is hereinafter provided, or (b) upon conviction by a court, be punishable with imprisonment for a term which may extend to two years, or with fine, or with both (la) whoever contravenes any of the provisions of 20 this act or of any rule, direction or order made thereunder, other than those referred to in sub-section (1) shall, upon conviction by a court, be punishable with imprisonment for a term which may extend to two years, or with fine or with both 2s (lb) aijy court trying a contravention under sub-section (1) or sub-section (la) and the authority adjudging any contravention under clause (a) of sub-section (1) may, if it thinks fit, and in addition to any sentence or penalty which it may impose for such contravention, direct 30 that any currency, security, gold or silver, or goods or any other money or property, in respect of which the contravention has taken place, shall be confiscated to the central government and further direct that the foreign exchange holdings, if any, of the person committing the contraven- 35 tion or any part thereof shall be brought back into india or shall be retained outside india in accordance with the directions -made in this behah explamtion-p'or the purposes of this 5ub-seetion, property in resped of which contravention has taken place 40 shall include deposits in a bank, where the said property is converted into such deposits"; (b) in sub-section (2) j for the words "one thousand", the words "two thousand" shall be substituted; 5 (c) for sub-sections (3) and (4), the following sub-sections mall be substituted, namely:-"(3) no court shall take cognizance-(a) of any offence punishable under sub-section (1) except upon complaint in writing made by the director 10 of enforcement, or ii of i9zz is (b) of any offence punishable under sub-section (ia) of this section or under section 54 of the indian income-tax act, 1922, as applied by section 19 of this act, except upon complaint in writing made by the director of enforcement or any officer authorised in this behalf by the central government or the reserve bank by a general or special order: provided that where any such offence is the contravention of any of the provisions of this act or any rule, direc-20 tion or order made thereunder which prohibits the domg' of an act without permission, no such complaint shall be made unless the person accused of the offence has been given an opportunity of showing that he had such permission (4) nothing in the first proviso to section 188 of the code of criminal procedure, 1898, shall apply to any offence punishable under this section" 17 after section 23b of the principal act, the following sections insertiodlof h 11 b  rted i  new sections s a e mse , name- y-z3c to 23f 30 "23c (1) if the person committing a contrave,ntion is a offe~ b1 company, every person who, at the time the contravention was comp8lllci committed, was in-charge of, and was responsible to, the company for the conduct of the business of the company as well as the company, shall be deemed to be guilty of the contravention and shall be liable to be proceeded against and punished accordingly: provided that nothing contained in this sub-section shall render any such person liable to punishment if he proves that the co~travention took place without his knowledge or that he exercised all due diligence to prevent such contravention (2) notwithstanding anything contained in sub-section (1), where a contravention under this act has been committed by a company and it is proved that the contravention has taken place with the consent or connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or 5 other officer of the company, such directpr, manager, secretary or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly explanation-for the purposes of this section,-ie (a) "company" means any body corporate and includes a firm or other association of individuals; and (b) "director", in relation to a firm, means a partner in the firm power to adjudicate 23d (1) for the purpose of adjudging under clause (a) of is sub-section (1) of section 23 whether any person has committed a contravention, the director of enforcement shall hold an inquiry in the prescribed manner after giving that person a reasonable opportunity of being heard and if, on such inquiry, he is satisfied that the person has committed the contravention, 20 he may impose such penalty as he thinks fit in accordance with the provisions of the said section 23: ; provided that if, at any stage of the inquiry, the director of enforcement is of opinion that having regard to the circumstances of the case, the penalty which he is empowered to 25 impose would not be adequate, he shall, instead of imposing any penalty himself, make a complaint in writing to the court (2) while holding an inquiry under this section, the director of enforcement shall have power to summon and enforce the attendance of any person to give evidence or to produce a 30 document or any other thing which, in the opinion of the director of enforcement, may be useful for, or relevant to, the subject matter of the inquiry ~ (3) any sum paid by way of penalty or any currency, security, gold or silver or goods or money or any other property 3s confiscated under section 23 shall vest in the central government appeal •• 23e (1) the central government may, by notification in the the official gazette, constitute an appellate board to be called the fohign exchange regulation a:1peuate board consisting of 40 a chairman and another member to be appointed by the central government for hearing appeals against the orders of the director of enforcement made under section 23 5 (2) any person aggrieved by such an order may, after depositing the sum imposed by way of penalty under section 23, and within thirty days from the date of the order, prefer an appeal to the appellate board: 10 provided that the appellate board may entertain the appeal after the expiry of the said period of thirty days, if it is satisfied tha~ the appellant was prevented by suffic:ient cause from filing the appeal in time ]5 (3) on receipt of an appeal under sub-section (2), the appellate board may, after calling for a report from the director of enforcement and after making such further inquiry as it thinks fit, confirm, modify or set aside the order appealed against, and the decision of the appellate board shall be final; and if the sum deposited by way of penalty under sub-section (2) exceeds the amount directed to be paid by the appellate board, the excess amount shall be refunded 20 (4) the appellate board may call for the records of any proceeding in which the director of enforcement has made an order under clause (a) of sub-section (1) of section 23 and make such order in the case as it thinks fit 2s (5) no order of the director of enforcement made under section- 23 shall be varied by the appellate board so as to prejudicially affect any person without giving him reasonable opportunity of being heard; and subject thereto, the appellate board shall follow such procedure in respect of the proceedings before it as mey be prescribed 30  23f if any person fails to pay the penalty imposed by the penalty for th a n b contraven-dll"ector of ~orcement or e ppe ate oard, or fails to tion ororder comply with any of their directions or orders, he shall, on con- m!lde byr viction before a court, be punishable with imprisonment for a ~f~~~!'n~nt term which may extend to two years, or with fine, or with both" ~pcllte 3s 18 in sub-section (1) of section 24 of the principal act, after the amendm~nt words "is prosecuted", the words "or proceeded against" shell be ~! section inserted 19 in section 27 of the principal act, in sub-section (2), after amendment  of section clause (b), the following clause shall be inserted, namely:-27 40 u(bb) prescribe the manner in which inquiries may be held under this act and the procedure to be followed in respect of the proceedings before the director of enforcement or the appellate board"  statement of objects and reasonsthe foreign exchange regulation act, 1947 (7 of 1947) is a temporary act due to expire on the 31st day of december, 1957 when it was enacted, it was hoped that the world trade and economic conditions would stabilise themselves after the initial 'post-war period, but this anticipation has not been fulfilled india still continues to be short of foreign exchange and it is necessary to ensure that our foreign exchange resources are conserved in the naiional interest the trend of events in this and other countries further indicates that the shortage is likely to continue for an indefinite period, and it is difficult to visualise at this stage that in any foreseeable future it will be possible to dispense with the exchange control aito-gether another important factor is the development programme under the second five year plan which compels us to husband and utilise our external resources properly in the circumstances, the continuance of the foreign exchange regulation act is unavoidable and it is proposed to place it on a permanent footing 2 the e~perience gained in the working of the foreign exchange regulation act has brought to light certain lacunae which hamper proper administration of the act and the investigations and the legal proceedings thereunder this opportunity is, therefore, being taken to carry out certain other amendments in the act with a view to remove'these defects the most important of these amendments is the one providing for departmental inquiry and adjudication of foreign exchange offences by an authority constituted by government on the lines of th~ sea customs act 3 the bill seeks to achieve these objects new delhij t t krishnamachari the 13th july, 1957    financial memorandumclause 3 (iii) of the bill and the proposed section 23e (1) in clause 17 thereof contemplate the appointment of a director of enforcement and the constitution of an appellate board they have been empowered to adjudicate upon the contravention of certain provisions of this act under the proposed sections 23d and 23e of clause 17 an enforcement unit with a director at its head is already functioning for dealing with cases arising out of contraventions of the act a provision for rs 3,15,000/- has been made in the budget for the current year for this unit no extra expenditure is, therefore, likely to be involved on account of the implementation of the proposals for adjudication proceedings of the bili moreover, it is expected that there would be some savings on ac'count of litigation expenses pro-/ vided in the budget for court cases if, however, there is any additional expenditure for the implementation of these proposals, it is likely to be offset by the savings from litigation expenses  memorandum regarding delegated legislationclause 19 of the bill which seeks to amend section 27 of the act authorises the central government to· make rules prescribing the manner in which inquiries may be held under this act and the procedure to be followed in respect of the proceedings before the director of enforcement and the appellate board these are procedural matters the delegation of legislative powers is, therefore, of - normal character  annexureextracts from the foreign exchange regulation act, 1947 (7 of 1947) - - - - 1 (1) - - - - short title ej:tent, commencement and (4) it shall remain in force up to the thirty-first day of decem- duration ber, 1957 z in this act, unless there is anything repugnant in the subject interpretatin or context,-_ 0 - 'j8 of j944 (a) "authorised dealer" means a person for the time being authorised under section 3 to deal in foreign exchange; (b) "currency" includes all coins, currency notes, bank notes, postal notes, money orders, cheques, drafts, traveller's cheques, letters of credit, bills of exchange and promissory notes; - - - - (e) "foreign security" means any security issued elsewhere than in india, and any security the principal of or interest on which is payable in any foreign currency or elsewhere than in india; (f) "gold" includes gold in the form of coin, whether legal tender or not, or in the form of bullion or ingot, whether refined or not; - - - - (k) "security" means shares, stocks, bonds, debentures, debenture stock and government securities, as defined in the public debt act, 1944, deposit receipts in respect of deposits of securities, and units or sub-units of unit trusts, but does not include bills of exchange or promissory notes other than government promissory notes; (1) "silver" means silver bullion or ingot, silver sheets and plates which have undergone no process of manufacture subsequent to rolling and uncurrent silver coin which is not legal tender in india or elsewhere; - - - - - 3 (1) - - - - - authori!led deale1'l in foreign excbqc (2) an authorisation under this section-(i) may authorise dealings in all foreign cwtencies or may be restricted to authorising dealings in specified foreign currencies only; (ii) may authorise transactions of all descriptions in foreign currencies or may be restricted to authorising specified transactions only; (iii) may be granted to be effective for a specified period, or within specified amounts, and may in all cases be revoked for reasons appearing to it sufficient by the reserve bank - - - - - 8 (1) - - - - - reltrictiool on important export of certain c:urreucy and bullion (2) no person shall, except with the general or special permission of the reserve bank or the written permission of a person authorised in this behalf by the reserve bank, take or send out  of the states any gold, jewellc;·y or precious stones, or indian currency notes, bank notes or coin or foreign exchange other than foreign exchange obtained from an authorised dealer - - - - - 9 the central government may, by notification in the official gazette, order every person in, or resident in, the states-acquisition by central government of foreign exc:banp (a) who owns such foreign exchange as may be specified ih the notification, to offer it, or cause it to be offered for sale to the reserve bank on behalf of the central government or to such person, as the reserve bank may authorise for the purpose, at such price as the central government may fix, being a price which is in the opinion of the central government not less than the market rate of the foreign exchange when it is offered for sale; - - - - - reju1ation 13 (1) no person shall, except with ~e general or special perof ~~ mission of the reserve bank,-idd ullldler of ecanties (4) ,take or send any security to any place outside india; - - •• - 14 (1) the central government may, by notification in the ~~~~~ official gazette, order every person by whom or on whose behalf a security or document of title to a security specified in the order is held in the states to cause the said security or document of title to be kept in the custody of an authorised depository named in the order: provided that the reserve bank may by order in writing permit any such security to be withdrawn ftom the custody of the authorised depository subject to such conditions as may be specified in the order (2) no authorised depository may part with any security covered by an order under sub-section (1) without the general or special permission of the reserve bank except' to, or to the order of, another authorised depository (3) except with the general or special permission of the reserve bank, no authorised depository shall-(a) accept or part with any security covered by an order under sub-section (1) whereby the security is transferred into the name of a person resident outside india, or (b) do any act whereby he recognises or gives effect to the substitution of another person as the person from whom he directly receives instructions relating to such security unless the person previously so instructing him and the person substituted for that person where immediately before the substitution resident in india (4) except with the general or special permission of the reserve bank, no person shall buy, sell or transfer any security, or document of title to a security, covered by an order under sub-section (1) unless such security or document of title has been deposited in accordance with the order (5) except with the general or special permission of the reserve bank, no capital moneys, interest or dividends in respect of any security covered by an order under sub-section (1) shall be paid in the states except to or to the order of the authorised depository having the custody of the security (6) for the purposes of this section,-(a) "authorised depository" means a person notified by the central government to be entitled to accept the custody of securities and documents of title to securities, and (b) "security" shall include coupons restrictions 15 the central government may, by notification in the official b~a~!~u~e~_ gazette, order that except with the general or specilll permission ritiea of the reserve bank no person shall in the states issue any bearer security or coupon of so alter any document that it becomes a bearer security or coupon' - , acquisition by central government  of foreign aecurities 16 (1) - - - - - (2) on the issue of a notification under clause (a) of sub-section (1),-- - - - - (b) the owner of any of the securities to which the notification relates and any person who is responsible for keeping any registers or books in which any of those securities are registered or inscribed, or who is otherwise concerned with the registration or iilscrirtion of any of those seculities, shall do all such things as are necessary or as the central government or the reserve bank rnuy order to be done, for the purpose of securing that-ref oil ej:p cer cur but (i) the securities and any documents of title relating thereto are delivered to the central government and, in the case of registered or inscribed securities, that the securities are registered or inscribed in the name of the central government or of such nominee of the central government as it may specify, and - - - - - restriction od aettlement 17 (1) no person resident ,in the states shall, except with the general or special permission of the reserve bank, settle any property, otherwise than by will, upon any trust under which a person who at the time of the settlement is resident outside india, elsewhere than in territories notified in this behalf by the reserve bank, will have an interest in the property, or exercise, other than by will, any power for payment in favour of a person who at the time of the exercise of the power is resident outside india elsewhere than in such notified territories - - - - - certain provilion as to companies 18 (1)             -                                -                                                  -                                                                    -    (3) except with the general or special permission of the reserve bank, no person resident in the states shall do any act whereby a company which is controlled by persons reflident in' india ceases to be 80 controlled (4) except with the general or special permission of the reserve b~, no person resident in the states shall lend any money either to any company (other thwl a banking company) which is controlled directly or indirectly by persons resident outside india elsewhere than in the territories notified in this behalf by the reserve bank or to any such person explanation i-the companies referred to in sub-section (1) are companies not incorporated under any law in force in the states in the case of which any of the following conditions is fulfilled:-(a) that the company is by any means controlled (directly or indirectly) by persons resident in the states; or (b) that more than one-half of the sums which, on a liquidation thereof, would be receivable by holders or share or loan capital, would be receivable directly or indirectly by, or for the benefit of, persons resident in the states; or (c) that more than one-half of the assets which, on a liquidation thereof, would be available for distribution after the payment of creditors, would be receivable directly or indirectly by, or for the benefit of, pt:isons rebldent in the states; or (d) that more than one-half-(i) of the interest payable on its loans and loan capital if any, or (ii) of the dividends payable on its preference share capital, if any, or (iii) of the dividends payable on its share capital, if any, not being preference share capital, is receivable directly or indirectly by, or for the benefit of, persons resident in the states explanation li-where the identity of the persons by whom, or for whose benefit, any sum, assets, interest or dividends are directly or indirectly receivable depends on the exercise by any person resident in the states of a power vested in him in that behalf, the sum, assets, interest or dividends shall, for the purposes of this sub-section, be deemed to be receivable directly or indirectly by, or for the benefit of, persons resident in the states - - - - falae atate-22 no person shall, when complying with any order or direction under section 19 or when making any application or declaration to any authority or person for any purpose under this act, give any information or make any statement which he knows or has reasonable cause to believe to be false, or not true, in any material particular penaj~ and 23 (1) whoever contravenes any of the provisions of this act proce ure or of any rule, direction or order made thereunder shall be pupishable with imprisonment for a term which may extend to two years or with fine or with both, and any court trying any such contravention may, if it thinks fit and in addition to any sentence which it may impose for such contravention, direct that any currency, security, gold or silver, or goods or other property in respect of which the contravention has taken place shall be confiscated  - - - - (3) no court shall take cognizance ~f any offence punishable under this section or under section 54 of the indian income-tax act, 1922, as applied by section 19 of this act, except upon complaint in ii of i9u writing made by a person authorised in this behalf by the central government or the reserve bank by a general or special order: rei 00 exp eer cui bal provided that where any such offence is the contravention of any of the provisions of this act or any rule, direction or order made thereunder which prohibits the doing of an act without permission, no such complaint shall be made unless the person accused of the offence has been given an opportunity of showing that he had sucb permission (4) if the person committing an offence punishable under this section is a company or other body corporate, every director, manager, secretary, or other office!' thereof shall, unless he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent its commission, be deemed to be guilty of such offence - - - - burden of 24 (1) where any person is prosecuted for contravening any ::~:aes provision of this act or of any rule, direction or order made thereunder which prohibits him from doing an act without permission, the burden of proving that he had the requisite permission shall be on him - - - - i c gipnd-ls 1-16 m of law-23-7-67- 1600 a bill further to amend the foreign exchange regulation act, 1947 the president has, in pursuance of clause (3) of article i i 7 of the constitution of india, recommended to lok sabha, the consideration of the bill secretary (shri t t krishnamachari, minister of finance) 