NEW DELHI: A proposal to legally enforce a parity between overseas citizens of India (OCIs) and Non-Resident Indians (NRIs) has hit a roadblock. Several ministries have objected on the ground that giving certain rights to foreign passport-holders, although of Indian origin, has security implications.
A report in The Times of India says that the proposal drafted by the ministry of overseas Indian affairs (MOIA), to come up before the Union cabinet soon, looks likely to draw a sharp response from other ministries, who are up in arms. If accepted, the proposal will bring India's 1.12 lakh OCIs at par with NRIs in areas like investment, employment and other economic benefits. OCIs will, however, not have the right to vote. But the going looks rough.
The home ministry, for instance, has pointed out that any investment in strategic financial sector, "especially foreign investment in defense-related fields, civil aviation, nuclear energy and other strategic sectors, should be examined" through regulatory agencies. The ministry seeks to differentiate between NRIs, who are Indian citizens, and OCIs, who are foreign nationals.
The ministry of health and family welfare has given only a conditional go-ahead to the controversial proposal of OCI medical professionals who want to practice in the country. While the ministry has cleared the way for a "procedure" to be evolved, it has laid down certain conditions - like a screening test that OCIs must clear (as in the case of Indian students with foreign degrees) before being allowed to practice.
The ministry has also said that OCIs must register themselves with the council concerned (Dental Council of India/Medical Council of India) before they start practicing and may even be asked to register with the Foreign Regional Registration Office (FRRO) on an yearly basis. Others who have objections include the department of economic affairs, which has drawn attention to the fact that acquisition and transfer of immovable property in India is governed by a FEMA notification.
As per the notification, apart from the exclusion of citizens of Bangladesh and Pakistan, nationals of Sri Lanka, Afghanistan, China, Iran, Nepal and Bhutan are also not considered people of Indian origin (PIO). "This status will have to continue. PIOs in these countries are covered under the OCI scheme.
Therefore OCIs among PIO applicants from these countries should be excluded from the purview of the FEMA notification," the department has said. The revenue department has also noted that benefits available to NRIs under income tax and wealth tax Acts may not be conferred on OCIs.
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