What is the punishment for forex trading in India?

stoch

Active Member
#41
Hello PirateTrader and other dude
I am almost agree with you. It might be managed by making the investment from abroad but where should we invest. I googled a lot to get a good platfrom which is really regulated, reliable and trustworthy but I could not found a single platfrom (broker) which has not complain in different forum. So how can I invest my money when I know that I will not get my profit or my trading account will be closed at the time of sending withdrawal request?

Can you recommend a fair site which is known to you.
Have you tried Hotforex or Tickmill brokers? They accept traders from India however using bank account for sending or receiving money from them won't likely be possible. Nevertheless online payment systems work like a charm so I guess you should give it a try.
 
#42
Hi, there is no punishment for doing forex trading in india. There is punishment for misusing USDOLLERS from RBI Reserves ( if you think you deposit USDOLLERS from your INR bank account, RBI have to pay USDOLLERS behalf of you) and also It is our responsibility to save our foreign reserves.
 
#44
Hawala is illegal in India. It has been declared as an illegal way of transferring money with the help of the Foreign Exchange Management Act, 1999. Before that, it was made illegal through the Foreign Exchange Regulation Act (FERA) Act, 1973.
 
#46
Hi, there is no punishment of doing forex trading in India. There is punishment indeed for misusing USD from RBI Reserves and It also becomes our responsibility to save our foreign reserves and hence it is only allowed to trade with INR.
 
#48
Forex trading is legal in India, but not all forex brokers would be following the letter of the law. While forex trading is legal, the industry is considered to be rife with scams as well as bad actors. Investors require to do their due diligence before venturing into what could be a Wild West version of global financial markets.
 
#49
@ Hulu Girl Yes you are correct. Forex trading is legal in India so there is no chance of a punishment unless something illegal or misuse of dollars from RBI reserves is done. However, forex trading is subject to strict regulatory restrictions. The traders are allowed to trade only through exchange-regulated brokers.
 
#50
I agree with @hulugirl, I also do not think there will be any consequences to the same. You can invest and trade in forex. Just try to avoid huge transactions, that's all.
 
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