Attention! - Forex trading is illegal in India!

[trade2411]

Remittance for trading in foreign exchanges ...Does that mean we cant trade for prop trading firms from India? Is it a crime to trade for prop trading firms?

Please do reply , just curious about it, coz I found many prop trading firms operating from India and recruiting Indians

Hey,

What are the prop firms that are you talking about , which operate in india ? do they trade on your capital or their own capital ?

only ones i know are , futuresfirst in hyderabad and capstone in pune. Capstone doesnt trade in futures they only trade US equities.

 

[siriustds]

Hi guys,

I didnt know about forex trading is illegal in india.. so i kinda invested in one etorro while checking it online.

I paid via CC/skrill , i just checked more detail about remittance and came to know about it .
So i have made some money in it , so can i get it via my relatives who are living overseas ? or will it come back to me somehow and get into a heavy fine.

I checked this thread but no clear answer could be given..any help is appreciated..

Thanks

 

[throwawayacc123]

Hi guys,

I didnt know about forex trading is illegal in india.. so i kinda invested in one etorro while checking it online.

I paid via CC/skrill , i just checked more detail about remittance and came to know about it .
So i have made some money in it , so can i get it via my relatives who are living overseas ? or will it come back to me somehow and get into a heavy fine.

I checked this thread but no clear answer could be given..any help is appreciated..

Thanks

Do not trade FOREX. It is illegal, you will get caught and your CC a/c will get closed by your bank and please don't listen to people like galts gulch. you will get yourself in trouble.

He thinks just because he can break the laws others should also do the same.

 

[throwawayacc123]

I answered his question with regards to my knowledge and experience ... Nothing more ... Nothing less ...
It is a public forum .....
If you can not answer question/s .... atleast ...
Detest from making personal remarks .....

oh sure , i don't mind you share your valuable experience.. just don't encourage others to break the law. Its nothing personal.

you must look out for the benefit of the community..

 

[siriustds]

Thanks guys for the reply appreciate it .

But this etorro site , it offers withdraw via skrill ,webmoney and wire transfer etc.

So should i try this or what other way is there.

I dont want to use my original bank details for these kind of withdrawal, also i paid via CC to skrill site , not to the site directly ..Does it affect me ?

Thanks for your replies again...

 

[ashu1234]

Well dont fight guys....I agree with GG that withdrawal will happen in the same way as you have made the deposit. I have also traded forex and can assure that things are smooth if you are able to make deposit than you'll be able to withdraw with the same method too....that's the way it is.

Now the second part is(because of which I have stopped trading forex) that RBI has become strict because of usdinr concerns, and it is doing what it can to stop this. Recently it has fined some prominent banks like ICICI and AXIS for flouting these norms. So any fine day it your withdrawal can stuck even if you have made deposit due to RBI's interventions, Paypal has been blocked for many and MB/skyrill can follow and Credit cards are mostly blocked for forex trading at most of the sites, if they are still working for some they might get blocked(may be anytime or may not be at all).

Best way is to find some relative or friend who resides out of india and trade through them, you'll be able to remit easily as remittance is what RBI wants....
(eg you can easily remit money through western union transfer or any other legal means).
All the best....its not a punishable offense so dont get scared. people have crores of transactions which are unaccounted you are just trying to earn money and I bet you cant be put behind the bar for that.

 

[siriustds]

Yes , its clear ..thanks for your support .

Lets see , they are saying the total amount which u deposited will be withdrawn the same (via skrill or else) but after that amount i can withdraw via wire transfer or some other method.

I think RBI should regularize it for actual investors who want to trade in it and find some way to stop people who are doing it for money laundering..

 

[siriustds]

@GG , thanks for your reply , i just wanted to confirm if it was possible to withdraw to other ways as well.

Can you PM me here ? need to ask you one thing regarding forex as you are trading for long time. Waiting your reply..

 

[Galts Gulch]

My TWO CENTS
I'm not trying to debate or argue ... I read even in few other threads, (this one thread is exclusively on this Legality of FX trading) ... Traders discussing this aspect/s ...
There are few things that i want to ... convey ... disclose ...

For every rule that a Govt makes, there are two aspects - 1 in letter and 1 in spirit.
Same is true about Forex trading (IL)legality as well.
What every one is talking here is about the Letter part of the FEMA / RBI rule prohibiting resident Indians from Forex Trading ... What I'm going to discus about is the Spirit part of the same rule.

In any / every other business, when an individual loses, only he / she loses his / her money. But in Fx, as the transaction happens in USD, when an individual loses, apart from the individual, even RBI (being the custodian of foreign reserves) loses a % of its foreign reserves (USD). And RBI needs foreign reserves to pay for more important imports.
But, who decides this (so called) important imports? How are they qualified to decide on this? How did import of 2G and 3G help (if not for the Spectrum scam) the bottom line economy? Are there any statistics available on the total expense / investment on the same and the actual ROI? Did it change the way a common resident Indian lived / lives?


And what about our kind of traders, who have been bringing in USD, albeit a wrong way? :thumb::clap::clapping:

Law of the Land has rules ... on ... riding 2 wheeler only with a helmet ... driving car only with seat belt on ... Not to drink and drive ... Not to talk on mobile while driving ... against dowry ... against child labor ... about proper declaration of income and filing tax returns ... against domestic violence ... so many ...

How many of these that all of us follow religiously ... that ... we ... Fx Traders are treated as some kind of untouchables ... thieves ... robbers ... or underworld mafia dons ..

As I said, lts not debate .. argue ...RBI has more headaches ...
Lts make hay when sun shines ......
No Offence ... whatsoever ... to any one .. with this post ....
It is just that FX is where The money is .....



The defense rests .. awaiting arguments / replies ...

 

[Smart_trade]

My TWO CENTS
I'm not trying to debate or argue ... I read even in few other threads, (this one thread is exclusively on this Legality of FX trading) ... Traders discussing this aspect/s ...
There are few things that i want to ... convey ... disclose ...

For every rule that a Govt makes, there are two aspects - 1 in letter and 1 in spirit.
Same is true about Forex trading (IL)legality as well.
What every one is talking here is about the Letter part of the FEMA / RBI rule prohibiting resident Indians from Forex Trading ... What I'm going to discus about is the Spirit part of the same rule.

In any / every other business, when an individual loses, only he / she loses his / her money. But in Fx, as the transaction happens in USD, when an individual loses, apart from the individual, even RBI (being the custodian of foreign reserves) loses a % of its foreign reserves (USD). And RBI needs foreign reserves to pay for more important imports.
But, who decides this (so called) important imports? How are they qualified to decide on this? How did import of 2G and 3G help (if not for the Spectrum scam) the bottom line economy? Are there any statistics available on the total expense / investment on the same and the actual ROI? Did it change the way a common resident Indian lived / lives?


And what about our kind of traders, who have been bringing in USD, albeit a wrong way? :thumb::clap::clapping:

Law of the Land has rules ... on ... riding 2 wheeler only with a helmet ... driving car only with seat belt on ... Not to drink and drive ... Not to talk on mobile while driving ... against dowry ... against child labor ... about proper declaration of income and filing tax returns ... against domestic violence ... so many ...

How many of these that all of us follow religiously ... that ... we ... Fx Traders are treated as some kind of untouchables ... thieves ... robbers ... or underworld mafia dons ..

As I said, lts not debate .. argue ...RBI has more headaches ...
Lts make hay when sun shines ......
No Offence ... whatsoever ... to any one .. with this post ....
It is just that FX is where The money is .....



The defense rests .. awaiting arguments / replies ...

Any rule/law which the Government makes has to be followed 100 % in BOTH LETTER AS WELL AS SPIRIT. Arguing about whether the Govt decision is right or wrong and based on our own value judgement we decide whether to follow or not is glorifying the violations of law. If the law is unreasonable, it has to be changed from the Parliament and till the time it is changed, we have to follow the law ...

You have mentioned few laws like drunken driving, not paying taxes properly,wearing helmets on 2 wheelers, removing tinted glasses of the car etc....you may be thinking that all of us violate these regularly....but NO there are people who follow these to the letter and the spirit absolutely 100 % and if by mistake or oversight any violation happens they pay the fines/punishment without arguing and dont repeat it...that is the way it should be...and not glorifying violation of any law.

Please be informed that as forum we cannot encourage anything which is not 100 % in compliance with the letter and spirit of any law....making money by violating laws ( in letter or in spirit or both ) is not acceptable here.....

Smart_trade