Mr. Arjun, an Indian resident, had been working abroad for the past 10 years. During his tenure abroad, he acquired foreign currency and held…

Under the provisions of the Foreign Exchange Management Act, 1999 (FEMA), Mr. Arjun, being a resident in India, can hold, own, transfer, or invest in foreign currency, foreign securities, or immovable property situated outside India under certain conditions. These conditions are clarified by the RBI through A.P. (DIR Series) Circular No. 90 dated 9th January, 2014, which elaborates on section 6 (4) of the Act. Clarifications under section 6 (4) of FEMA 1. Foreign Currency Accounts Mr. Arjun can maintain foreign currency accounts that were opened and maintained by him when he was resident outside India. 2. Income and Investments Income earned through employment, business, or vocation outside India while Mr. Arjun was a non-resident.Investments made abroad during his non-resident status.Gifts or inheritance received from a non-resident Indian. 3. Foreign Exchange and Income therefrom Foreign exchange holdings, including income arising from them, held outside India by Mr. Arjun, acquired through inheritance from a non-resident Indian. 4. Utilization of Assets After Return to India Mr. Arjun may freely utilize all eligible assets abroad, including the income on such assets or sale proceeds received after his return to India.He can make payments or fresh investments abroad without the approval of the Reserve Bank of India, provided the funds used are from eligible assets held by him abroad and the transaction complies with FEMA provisions. Therefore, Mr. Arjun is eligible to hold and utilize his foreign assets as per the provisions outlined in section 6 (4) of FEMA and the RBI circular. These provisions allow him to manage his foreign currency, securities, and inherited property located outside India in compliance with the regulations governing residents' dealings in foreign assets under FEMA.