Whether CICs having asset size below 100 crores are regulated by reserve Bank?
No, CICs which are having sie below than 100 crores are exempted form registration and regulation from RBI, except if they wish to make overseas investment in the financial sector.
Can CIC accept deposits?
No, CICs cannot accept deposits.
Is public Fund and Public Deposits are same?
Public Funds are not the same as Public Deposits. Public Funds includes Public Deposits, inter-corporate deposits, bank finance, and all funds received whether directly or indirectly from the outside sources. Such as funds issued by issue of commercial papers, debentures etc. however, even though Public Funds includes public deposits in the general course, it may be noted that CICs cannot accept public deposits.
In the definition of Public Funds what do indirect receipt of Public Funds Includes?
It means that funds not received directly but through associates, and group entities which have access to public funds.
Can CICs issue guarantees and will this be considered part of definition of Public Funds?
Yes, CIcs may be required to issue guarantees or take on another contingent liabilities on behalf of their group entities. Guarantees per se do not fall under the definition of public funds. However, it is possible that CICs which do not accept public funds take recourse to public funds if and when the guarantee devolves. hence , before doing so, CICs must ensure that they can meet the obligation there under, as and when they arise.