FEMA Act 1999 › Section 20

Section 20 FEMA Act 1999 - Composition of Appellate Tribunal

Section 20 of the Foreign Exchange Management Act, 1999 originally dealt with the composition and Benches of the Appellate Tribunal. The provision is now omitted and should not be presented as an operative provision of FEMA.

Current legal status: Section 20, titled "Composition of Appellate Tribunal", was omitted by section 165 of the Finance Act, 2017 with effect from 26 May 2017. The text below is retained only for historical and research reference.

Legal status checked against the current India Code text. Last reviewed: 27 September 2026.

What did Section 20 of FEMA provide?

Before its omission, Section 20 prescribed the structure of the Appellate Tribunal, permitted its jurisdiction to be exercised through Benches, dealt with the constitution and places of sitting of Benches, and empowered the Chairperson to transfer Members or certain matters between Benches.

Historical text of Section 20 - Composition of Appellate Tribunal

20. (1) The Appellate Tribunal shall consist of a Chairperson and such number of Members as the Central Government may deem fit.

(2) Subject to the provisions of this Act,-

(a) the jurisdiction of the Appellate Tribunal may be exercised by Benches thereof;

(b) a Bench may be constituted by the Chairperson with one or more Members as the Chairperson may deem fit;

(c) the Benches of the Appellate Tribunal shall ordinarily sit at New Delhi and at such other places as the Central Government may, in consultation with the Chairperson, notify;

(d) the Central Government shall notify the areas in relation to which each Bench of the Appellate Tribunal may exercise jurisdiction.

(3) Notwithstanding anything contained in sub-section (2), the Chairperson may transfer a Member from one Bench to another Bench.

(4) If at any stage of the hearing of any case or matter it appears to the Chairperson or a Member that the case or matter is of such a nature that it ought to be heard by a Bench consisting of two Members, the case or matter may be transferred by the Chairperson or, as the case may be, referred to him for transfer, to such Bench as the Chairperson may deem fit.

Effect of the 2017 omission

The omission means that the former Section 20 is no longer the statutory provision governing the composition of the Appellate Tribunal under FEMA. The Finance Act, 2017 reorganised tribunal provisions across several enactments. For current FEMA appeals, readers should therefore consult the presently operative provisions of Chapter V, particularly Section 18 - Appellate Tribunal and Section 19 - Appeal to Appellate Tribunal, together with applicable current rules and tribunal arrangements.

Practical note: If a proceeding, order or judgment concerns the period before 26 May 2017, the former text may still be relevant to understanding the legal framework then in force. For present proceedings, verify the current statute, rules and notifications applicable to the appeal.

Meaning of important terms

Appellate Tribunal

In the FEMA appellate framework, the Appellate Tribunal is the statutory appellate forum referred to in the Act for appeals falling within its jurisdiction. Section 19 sets out the right and procedure for appeals to the Appellate Tribunal, subject to the statutory conditions.

Bench

Under the former Section 20, a "Bench" was the sitting through which the Tribunal exercised jurisdiction. The omitted provision allowed the Chairperson to constitute a Bench with one or more Members and contained rules relating to territorial jurisdiction and transfer.

Official legal sources

For the current statutory text, amendments and legal status, refer to the official India Code. Information concerning the relevant appellate tribunal administration is also available from the Department of Revenue, Ministry of Finance.