India – Non-resident Indian financial sponsorship
If you are a foreigner or a non-resident Indian planning on sponsoring an Indian student, it is likely that the universities and education institutions in India will require you to confirm your obligation as a sponsor by signing an ‘Undertaking of the Sponsor’ form in front of a Notary Public.
The terms and conditions in the sponsorship undertaking form is not a guarantee or indemnity which applies only if the applying student does not fulfill their obligations. What the undertaking does is require sponsors to pay all academic, living and incidental expenses for the entire enrolment period.
Often times the payment must be made in advance for a fixed minimum amount quoted in US dollars. If you have been asked to be a sponsor, it is wise to read and make sure that all the terms and conditions of the sponsorship are understood.
In most cases, the sponsorship undertaking form must be signed by the sponsor in front of a Notary and stamped/notarised by that Notary. Many of the sponsorship undertaking forms also have a ‘stamp duty’ requirement. This refers to the stamping obligation in India.
Stamp paper or bonded paper that is referred to here is not generally available in Australia. The stamp paper or bonded paper is a form of prepaid duty. If this type of paper is required, an arrangement should be made with a lawyer in that country to prepare it and send you a copy by mail. If this document is sent to you in electronic form to be printed in Australia, you will probably only be able to print it on paper that is readily available in Australia, such as A4. If your sponsorship undertaking form has this requirement, then you may need to arrange to have the form stamped after it arrives in India and before it is submitted to the relevant university or education institute. There is some legislation that states the requirement is 90 days after arrival.