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Article: Fdi Screening - National Security Exception Act.(United States. National Security Council)
- Article from:
- Mondaq Business Briefing
- Article date:
- February 5, 2008
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With a view to curb security threats caused by inflow of FDI in various sectors, the National Security Council (NSC) has decided to promulgate an umbrella legislation known as National Security Exception Act (NSEA) aimed at imposing checks on the FDI flow into India.
The NSC has raised concerns that foreign investment from various notified countries are likely to pose security threats as there is a possibility of multinational corporations in such countries being used for catalyzing anti-national activities and breach of national security.
The NSEA would be based on the lines of the Exon-Florio Act of USA, 1988 that empowers the Committee of Foreign ...