Setting up a fintech company in India requires first identifying the business model because fintech is not one single licence. A fintech may operate as a technology service provider, Lending Service Provider, digital lending platform, payment aggregator, payment gateway, prepaid instrument issuer, account aggregator, credit marketplace, wealth-tech platform, insurtech, regtech or embedded-finance platform. The legal...
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A Lending Service Provider, or LSP, in digital lending is generally treated as an agent of the Regulated Entity when it performs lender functions such as customer acquisition, underwriting support, pricing support, servicing, monitoring or recovery on behalf of a bank or NBFC. Even if the agreement between the Regulated Entity and the LSP describes...
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A cheque bounce case in India is generally filed under Section 138 of the Negotiable Instruments Act, 1881 when a cheque issued towards a legally enforceable debt or liability is dishonoured due to insufficiency of funds, exceeds arrangement, account closure, payment stopped or other legally recognised reasons. The payee must issue a written demand notice...
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ITC DENIED -Input Tax Credit cannot be denied mechanically to a bona fide buyer merely because the supplier failed to pay GST or failed to reflect invoices in GSTR-1/GSTR-2A, if the buyer has fulfilled statutory conditions such as possession of tax invoice, receipt of goods or services, payment to supplier through banking channels, filing of...
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Rule 86A ITC Blocking After the K-9 Enterprises line of cases, GST authorities cannot mechanically block Input Tax Credit under Rule 86A of the CGST Rules. Rule 86A is a drastic preventive power and must be exercised only after the proper officer forms independent “reasons to believe” on the basis of relevant material. Courts have...
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Mental cruelty in divorce cases means conduct by one spouse that causes such mental pain, humiliation, emotional suffering or psychological injury that the other spouse cannot reasonably be expected to continue the marriage. Under Section 13(1)(ia) of the Hindu Marriage Act, 1955, cruelty is a ground for divorce. Mental cruelty may include false criminal complaints,...
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Disability pension for Armed Forces personnel is payable where a disability is attributable to or aggravated by military service and satisfies the applicable pensionary rules. In many cases, if no disease or disability was noted at the time of enrolment/commissioning, and the disability arose during service, courts have applied a presumption in favour of the...
Read MoreDivorce in India may be obtained either by mutual consent or through a contested divorce petition depending on the personal law applicable to the parties. Under the Hindu Marriage Act, 1955, contested divorce grounds include cruelty, desertion, conversion, mental disorder, communicable venereal disease, renunciation and presumption of death, while Section 13B provides divorce by mutual...
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Cyber fraud in India should be reported immediately by calling the National Cybercrime Helpline 1930 and filing a complaint on the National Cyber Crime Reporting Portal. Cyber fraud cases may involve offences under the Bharatiya Nyaya Sanhita, 2023, such as cheating under Section 318 and cheating by personation under Section 319, along with offences under...
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Freezing of bank account by police in India Police can freeze a bank account during investigation if the account is suspected to contain stolen money, proceeds of crime, fraud amount, cybercrime funds, or money connected with commission of an offence. Under the Bharatiya Nagarik Suraksha Sanhita, 2023, the relevant power is generally traced to Section...
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