Rbi To Track Ocb, Fii Funds

The Reserve Bank of India (RBI) may track the movement of funds of overseas corporate bodies (OCBs) and the sub-accounts of foreign institutional investors (FIIs) in the Indian banking system.

The idea of the exercise is not only to track the path through which funds are remitted into/out of the country but also to find out, if possible, the end-use of such funds, sources said.

Information will be sought from all the banks operating in the country regarding the accounts of such entities and how the money is transferred from account to account before it passes out of the country.

RBI sources said these entities often used a number of front companies and names and tracking these accounts would require the close cooperation of the banks