June 5, 1999

A.D.(G.P. Series) Circular No.6

To

Dear Sirs,

Please refer to A.D.(M.A. Series) Circular No.51 dated 31st December 1998 on the above subject. It is observed that some authorised dealers/card issuing organisations have been insisting on submission of post trip declaration by the holder of International Credit Card issued by them, at the time of settlement of dues against such cards. In this connection, it is clarified that since the issuers of cards have to obtain an undertaking from the applicant before issue of the card to the effect that the utilisation of the card would be strictly in accordance with the Exchange Control Regulations and that in the event of failure on the part of the card holder to comply with the regulations, he would be liable for action under the provisions of Foreign Exchange Regulation Act, 1973, the onus of ensuring compliance with the regulations is on the holder of ICC. Similarly, the obligation to get the passport endorsed for availing of exchange under Basic Travel Quota is also on the card holder. In view of this, it would not be necessary for banks/card issuing organisations to obtain a post trip declaration at the time of settlement of the bills.

Yours faithfully,

Chief General Manager