Legal & Regulatory Aspects Of Banking - JAIIB
Legal & Regulatory Aspects of Banking - JAIIBTiming: 3 HoursQuestion : 1001. Which of the following are two essential functions of banks as indicated in Section 5(b) ofbanking Regulation Act (a) accept deposits & to lend or invest such deposits (b) accept deposit &undertake non-fund based business (c) accept deposits and undertake remittance business (d)lend & invest and issue letters of credit:a. a and d onlyb. a and c onlyc. C onlyd. A only2. Which of the following group is not included in term goods, as per Sale of Goods Act:a. Shares & stocksb. Grass and sharesc. Actionable claims and stockd. Stock and grass3. A suit is deemed to have been instituted (filed) in a court:a. when the court fee has been paidb. when plaint is presented to the proper officer in the courtc. when plaint has been acknowledged by the courtd. any of the above4. Other than the business specified u/s 6 (1) of Banking Regulation Act, a bank can undertake anyother business which can be prescribed / decided by (a) Central Govt. (b) RBI (c) Board of thebank (d) Ministry of Corporate Affairs.a. a and b onlyb. b and c onlyc. d onlyd. a only5. Private Sector banks are regulated by (a) Companies Act 1956 (b) Banking Regulation Act 1949(c) RBI Act 1934 (d) banking Companies (Acquisition & Transfer of Undertakings) Act 1970:a. a, b and c onlyb. b, c and d onlyc. a, c and d onlyd. a to d all6. As per Sale of Goods Act, the goods mean the goods identified and agreed upon, at thetime of a contract of sale is made:a. Futureb. SpecificTrotal.ComPage 1
Legal & Regulatory Aspects of Banking - JAIIB7.8.9.10.11.12.c. Movabled. ImmovableTime required for obtaining a copy of the order or award shall be excluded while computing thelimitation period for:a. Filing review applicationb. Filing revisionc. Filing an application to set aside the awardd. All the aboveWhich of the following are regulated by Banking Regulation Act 1949 (a) Public Sector Banks (b)State Bank Group banks (c) RRBs (d) Coop Land Mortgage Banksa. a to d allb. a to c onlyc. a, b and d onlyd. a, c and d onlyIn the context of Cooperative Banks, which of the following statements are correct (a) coopbank operating in one State obtains registration under State Coop Societies Act (b) for Coopbanks operating in more than one State, Central Govt. appoints Registrar (c) Coop banks areunder purview of B R Act u/s 56 (d) Where Coop bank is registered under DICGC Act, RBI canorder its winding up.a. a to d allb. a to c onlyc. a, c and d onlyd. b and d onlyWhich of the following statement is a not correct:a. Coop Bank operating in more than one state is registered under Multi-State Coop SocietiesActb. Govt. can exempt a bank from provisions of Banking Regulation Act, on its ownc. The company matters relating to a banking company are regulated by an authority underthe Companies Actd. Banks undertake trading in shares subject to regulation by SEBI.For foreclosure of a mortgage, the limitation period is 12 years from:a. Date of loan documentb. Date of mortgagec. Date when the money secured by the mortgage becomes dued. Any of the above dates, whichever is earlierWhile issuing a banking license for a foreign banks RBI, in addition to usual consideration takesinto account (a) whether the business will be carried by the company in public interest (b)whether the law of the country where the bank originated discriminates against Indian banks (c)whether the company complies with provisions of B R Act, as applicable to foreign companies:a. a to c allTrotal.ComPage 2
Legal & Regulatory Aspects of Banking - JAIIB13.14.15.16.17.18.b. a and b onlyc. b and c onlyd. a and c onlyAs per Sale of Goods Act, the goods which are to be manufactured by the seller aftermaking contract of sale:a. Futureb. Specificc. Movabled. ImmovableWhich of the following statements are not correct in connection with shareholding in an Indianbank under provision of B R Act:a. There is no ceiling on a person’s holding of sharesb. No shareholder can exercise voting rights in excess of 10% of total voting rightsc. The provision of 10% ceiling restricts the transfer and registration of such transferd. The provisions of Companies Act also govern transfer of shares of banking companiesBefore declaring a dividend a banking company has to reduce from its profits (a) preliminary orshare selling expenses (b) organization expenses (c) brokerage and loss incurred (d) bad debtsfor which adequate provision has been made:a. Only a to cb. Only b to dc. Only a and dd. Only b and cIn case if non-resident persons, which of the following income is taxable:a. Earned in India onlyb. Earned while outside India onlyc. Earned outside India, when in India onlyd. All the aboveRBI can appoint Chairman of a bank (a) if the office is lying vacant and not filled immediately (b)if in the opinion of RBI such vacant position is to be against interest of the banking company (c)such appointment shall be maximum for a period of 5 years (d) there is provision for reappointment after the initial period.a. A to d all correctb. A, b and d are correctc. A, b and c are correctd. B, c and d are correctIn the context of capital of a bank (a) the authorized capital means the maximum limit of sharecapital which the bank is authorized to have under its memorandum (b) the amount of sharecapital which is subscribed and received is called paid up capital (c) the amount of share capitalwhich is issued and paid up is called subscribed capital:a. A to c all correctTrotal.ComPage 3
Legal & Regulatory Aspects of Banking - JAIIB19.20.21.22.23.24.b. A and b only are correctc. A and c only are correctd. B and c only are correctUnder Sale of Goods Act, if the sale is by sample, which of the following implied condition is notcorrect:a. Bulk shall correspond with the sample in the qualityb. Buyer shall have an opportunity to compare the bilk with the samplec. Goods shall be free from any defect, rendering them un-merchantable, which would not beapparent on reasonable examination of the sampled. None of the aboveBanks are required to deposit the amount of TDS, in the govt. account:a. Within one month from date of deductionb. Within 7 days from date of deductionc. Within 7 days from close of the month, during which deduction is maded. Within one month from close of the month, during which deduction is made.RBI cannot give directions to banks for loans and advances in respect of which of the following:a. Purpose of which the loan can be allowedb. Margin to be maintained for secured advancesc. Maximum amount of loan that may be sanctioned to one company, firm or association pfpersons or individuald. None of the aboveAs per Sale of Goods Act, the of the seller is terminated when the buyer gets possessionof the goods:a. Warrantyb. Conditionc. Liend. AgreementBanks are required to transfer a part of their profits to a Reserve Fund (a) u/s 17-1 of B R Act (b)the amount to be transfer is 20% of such profits (c) profits for this purpose are after payment ofdividend (d) Central Govt. can exempt a bank from such transfer on RBI recommendations.Which of these is correct:a. A to d allb. A, b and c onlyc. A, b and d onlyd. B, c and d onlyWhich of the following information regarding return of service tax is correct:a. Return is to be submitted on half yearly basis on Form ST-3b. Return is to be submitted on quarterly basis on Form ST-5c. Return is to be submitted on half yearly for Mar and Decd. All the aboveTrotal.ComPage 4
Legal & Regulatory Aspects of Banking - JAIIB25. If a security is in possession of a bank, it can be sold by the bank:a. By filing suit under SARFAESI Actb. By giving 60 days notice under provisions of SARFAESI Actc. By giving reasonable time notice under provisions of Indian Contract Actd. Either under reasonable of SARFAESI Act or Indian Contract Act, at the discretion of the bank26. Central Govt. can make rules for preservation of records / books u/s of B R Act, RBI canmake rules u/s of B R Act and banks can return the paid instruments to customers u/sof B R Act.a. 45Z, 35, 45Yb. 45Y, 35A, 45Zc. 21A, 35A, 51Zd. 21A, 35A, 45Z27. A banking company can amalgamate with another banking company of its own, calledamalgamation. Central Govt. can also order amalgamation of two banking companies u/s 396 of, in consultation with .a. Voluntary, RBI Act, SEBIb. Voluntary, Companies Act, RBIc. Voluntary, RBI Act, RBId. Voluntary, Companies Act, SEBI28. Which of the following provisions of SARFAESI Act were amended in the year 2004 afterChemicals vs Union of India and others, judgement of Supreme Court:a. Sec 17(2), relating to issue of possession notice of 60 daysb. Sec 13(2), relating to issue of possession notice of 60 daysc. Sec 17(2), relating to deposit of 75% amount by borrower before approaching DRTd. Sec 13(2), relating to deposit of 75% amount by borrower before approaching DRT29. Under provision of SBI Act 1955, SBI is managed by (a) Board consisting of Chairman, ViceChairman, maximum two Mg. Directors etc (b) Chairman and Mg. Director are appointed for aperiod not exceeding 5 years (c) Local Boards are set up where the bank has Local HO (d) LocalBoards consists are set up where the bank has Local ho (d) Local Boards consists of Chairmanand other elected and nominated members:a. A to d are correctb. A to c only are correctc. B, c and d are correctd. A, c and d are correct30. A Lok Adalt has jurisdiction:a. To decide a case as per its own judgementb. To determine and arrive at a compromise or settlementc. To decide a case as per its own judgement based on evidence produced before itd. Any of the above31. Which of the following does not match:Trotal.ComPage 5
Legal & Regulatory Aspects of Banking - JAIIB32.33.34.35.36.37.a. A corresponding new bank established under Banking Companies (Acquisition and Transferof Undertakings) Act 1970- State Bankb. A principal coop bank in a distt.- Central Coop Bankc. A coop society, the primary objective of which is to finance its members – coop creditsocietyd. Bank which promotes an RRB- sponsor bankUnder provisions of SARFAESI Act, the security receipt evidences:a. Undivided right or interest of the purchaser, in the securityb. Independent right or interest of the purchaser, in the securityc. Exclusive right or interest of the purchaser, in the securityd. Exclusive right or interest of the seller, in the securityA bank has made payment across the counter, of a cheque issued as a crossed cheque and theholder claims damages from the bank. Under such circumstances, the bank is liable:a. To the drawer of the chequeb. To the true owner of the cheque i.e. holderc. To the drawer and also the payeed. All the aboveA bank makes payment of two cheques on which, later it is found that the signatures of thedrawer are forged. The first account is that of a company and the 2nd account is a joint accountin which signatures of one of the account holders are real.a. Bank is liable for the first cheque and for the half amount in the 2nd caseb. Bank is liable for both the chequesc. Bank is liable for the first cheque and not liable for the 2nd chequed. Bank is not liable for any of the cheque, if payment is in due coursesUnder FEMA, the term authorized person means:a. Authorized dealers, money changers, all banksb. Authorized dealers and all banksc. Authorized dealers and money changersd. All the aboveBanks can issue notice for enforcement of security interest under SARFAESI Act when:a. There is default by borrower and security is in possession of the bankb. The account is NPA and security is in possession of the bankc. The account is suit filed and security is in possession of the bankd. The account is suit filed and security is in possession of the borrowerX appointed Y as his agent to operate his account and route business transactions through Y’spersonal account also. Y misappropriated the proceeds of a cheque in the name of X butdeposited by Y in his personal of a cheque in the name of X but deposited by Y in his personalaccount. X sends notice to the bank for negligence and conversiona. Bank is liable for the conversion as Y has done something that bank should not haveapparentlyTrotal.ComPage 6
Legal & Regulatory Aspects of Banking - JAIIB38.39.40.41.42.b. Bank is liable since it is a case of conversionc. Bank is not liable because, X had given specific authority to Y to use his personal accountalso.d. Bank is not liable because for agent’s action, the principal is liable.Which of the following is not correct with regard to a deferred payment guarantee:a. Guarantee is issued normally for purchase of capital assets on long term credit from thesupplierb. Guarantee is issued in lieu of term loan and appraisal is also done like a term loanc. Difference between TL and such guarantee is of outlay of fundsd. bank records such guarantees in the balance sheet under the TL in Schedule 9 of bankbalance sheetBank X gives a bank guarantee on behalf of one of its customers against some payment to bedeposited by the customer in a pending court case. Such guarantee can be classified as (a)financial guarantee (b) performance guarantee (c) deferred payment guarantee (d) statutoryguarantee.a. A or db. Only ac. Only dd. B or cAs per FEMA 1999, the term foreign exchange does not include which of the following:a. Amount payable in foreign currencyb. DD drawn in Indian currency but payable in foreign currencyc. DD drawn abroad but payable in Indian currencyd. None of the aboveFor a securitization company, which of the following condition is applicable for their capital andcapital adequacy ratio:a. Minimum capital Rs.200 cr and capital adequacy ratio of 15% of the financial assets acquiredby the companyb. Minimum capital Rs.100 cr and capital adequacy ratio of 15% of the financial assets acquiredby the companyc. Minimum capital Rs.100 cr and capital adequacy ratio of 10% of the financial assets acquiredby the companyd. Minimum capital Rs.200 cr and capital adequacy ratio of 10% of the financial assets acquiredby the companyTo enable the beneficiary to rely on the authenticity and genuineness of the LC, the letter ofcredit is received by the beneficiary:a. Through advising bankb. Directly from the issuing bankc. From negotiating bank, which is to make payment alsod. Through confirming bank to make sure that payment would be definitely receivedTrotal.ComPage 7
Legal & Regulatory Aspects of Banking - JAIIB43. In a LC the documents are to be negotiated in the beginning of September which means thatdocuments can be presented for negotiation during:a. First weekb. First two daysc. 1st to 10th of the monthd. 1st to 15th of the month44. If there is a contravention of provisions of FEMA 1999 by a person and the amount is notquantifiable, penalty can be levied:a. Up to Rs.2 lacb. Up to amount involved in such contraventionc. Up to two times of amount involved in such contraventiond. Up to thrice the amount involved in such contravention45. A security interest created under SARFAESI Act requiring registration with Central Registry witha period of:a. 15 daysb. 30 daysc. 45 daysd. 60 days46. If a bill of exchange is dishonoured (a) the drawer is liable to the holder (b) drawer’s liability issecondary if it is accepted (c) drawer’s liability is primary when it has not been accepted (d)drawee is liable whether he accepts the bill or not in all circumstances. Which of these iscorrect:a. A , b and c onlyb. A, b and d onlyc. B, c and d onlyd. A to d all47. Which of the following types of charges on the following securities does match:a. Book debts- assignmentb. Bank deposits- assignmentc. Immovable property- mortgaged. National saving certificates – pledge48. (a) an equity shares is a share which is not a preference share (b) a preference share is onewhich gets regular dividend irrespective of profit position and preference in case of liquidation(c) debenture is document by which a company acknowledges its indebtedness (d) trust receiptis a document is an undertaking by the borrower when the goods are released by the bank toithe borrower without payment being made by the borrower:a. A to d are correctb. A, b and c are correctc. A, c and d are correctd. B, c and d are correctTrotal.ComPage 8
Legal & Regulatory Aspects of Banking - JAIIB49. Which of the following statements is correct:a. Certificate of incorporation is required by a public company only and not by a privatecompanyb. Certificate of commencement of business is conclusive proof of existence of a companyc. Certificate of incorporation is conclusive proof of existence of a companyd. Certificate of commencement of business is required by a private company only50. The mortgage in which the mortgager transfers the possession to the mortgage is calledmortgage. In such mortgage, (there is) / (there is no), personal liability of the mortgager.a. English , there isb. Mortgage by conditional sale, there is noc. Simple mortgage, there is nod. Usufructuary mortgage, there is no51. A mortgage when created through an instrument in writing (called mortgage deed) is requiredto be registered with within months, if the value of mortgage money is Rs. .a. Registrar of Firms, 4 months, 100 or moreb. Registrar of Assurances, 4 months, 100 or morec. Registrar of Companies,34 months, 100 or mored. Registrar of Assurances, 3 months, more than Rs.10052. Which of the features of limited liability partnership is not correct as per LLP Act 2008:a. LLP is a separate legal entityb. LLP is separate from its partnersc. LLP has perpetual succession. Death of partner does not affect the LLPd. None of the above53. XYZ created equitable mortgage in favour of Bank A on Jan14, 2007 (not registered), a simplemortgage with Bank B on Jan 28, 2007 (and registered on mar 12,2007) and a simple mortgagewith Bank C on Feb 10,2007 (and registered on Feb28,2007). The priority of mortgage in thiscase would be in the following order:a. Bank C, Bank B and Bank Ab. Bank B, Bank C and Bank Ac. Bank B, Bank A and Bank Cd. Bank A, Bank B and Bank C54. Under RTI Act 2005, the information can be taken in the form of:a. Diskettes or floppiesb. Tapes or video cassettesc. Printouts or in any other electronic formd. All the above55. In case of hypothecation, which of the following is not a correct statement:a. It is defined as per SARFAESI Actb. The ownership remains with the borrowerc. The possession remains with the creditorTrotal.ComPage 9
Legal & Regulatory Aspects of Banking - JAIIB56.57.58.59.60.61.62.d. The creditor has the right to demand possessionWhere forged notes or counterfeit currency has been used as genuine, record of suchtransactions is required to be maintained if the amount of such transaction is:a. Rs.50000 or aboveb. Rs.1 lac or abovec. Rs.10 lac or aboved. All transactions irrespective of amountWhich among the following can not be deemed to be a contingent credit facility:a. Letter of creditb. Bank guaranteec. Co- acceptanced. Overdraft which is not availedIn the context of partnership firms, which of the following is not true:a. Partnership are registered with Registrar of Firms and not the partnership deedsb. Registration of Partnership firms is not compulsory. It is optional.c. Registered firms have certain advantage over the unregistered firmd. Non- registration of the form adversely affect the capacity of the partners to carry on thebusinessIf a person seeks information from a public authority:a. He has to give reasons for seeking the informationb. He has not to give reasons for seeking the informationc. If reason are given, it can help in quick disposal of the request for informationd. Information can not be provided by the public authority without knowing the reasons forseeking informationUnder prevention of Money laundering Act 2002, which of the following can prescribe thenature of records to be maintained by a bank:a. RBI and state Govt.b. Central Govt. and state Govt.c. SEBI and RBId. SEBI and
Legal & Regulatory Aspects of Banking - JAIIB Trotal.Com Page 3 b. a and b only c. b and c only d. a and c only 13. As per Sale of Goods Act, the _ goods which are to be manufactured by the seller after making contract of sale: a. Future b. Specific c. Movable d. Immovable 14.
A formal Regulatory Management System [RMS] can help with: reduction of regulatory burden on citizens and firms improvement of regulatory quality identification of best choice of policy options Comprised of four elements: 1. regulatory quality tools 2. regulatory processes 3. regulatory institutions 4. regulatory policies 16
Page 1 of 9 Rapid Regulatory Courses in HealthStream Getting Started Tip Sheet Please note: Everyone is required to take two compliance trainings titled: Rapid Regulatory Compliance: Non-clinical I Rapid Regulatory Compliance: Non-clinical II Depending on your position at CHA, you may have more courses on your list. One must complete them all.File Size: 1MBPage Count: 9Explore furtherRapid Regulatory Compliance: Clinical II - KnowledgeQ .quizlet.comRapid Regulatory Compliance: Clinical I - An HCCS .quizlet.comRapid Regulatory Compliance: Non-clinical II-KnowledgeQ .quizlet.comThe Provider Compliance Tip fact sheets are now available .www.cms.govRapid Regulatory Compliance - Non-Clinical - Part Istudyres.comRecommended to you b
2. R.K. Gupta, Banking - Law and Practice (2nd ed. 2008) 3. Mark Hapgood, Paget’s Law of Banking (13th ed., 2007) 4. M.L. Tannam, Banking Law and Practice in India (23rd ed., 2010) Topic 1: The Evolution of Banking Services and its History in India History of Banking in India, Bank Nationalization and social control over banking, Various
Key words: Internet Banking, Electronic Banking, Digital Banking. 1. Introduction: Digital banking means the digitalization of all traditional activities of bank through ATM machines, debit cards, credit cards, mobile banking, electronic banking, virtual cards and others. With the help this instruments the consumer doing bill payments, with
E-banking is also called virtual banking or online banking. E-banking is defined as the automated release of new and traditional banking products and services directly to customers through electronic interactive communication channels.Electronic banking refers to more than a few types of services through which .
The Evolution of Islamic Banking System in Muslim countries: Before describing the evolution of the Islamic banking it is important to understand what Islamic banking is and what are its principles or features. 1.1) What is Islamic Banking? Islamic Banking is banking or financing activity that is based on Shariah (Islamic Law) and all
1. History of Banking—its Evolution and Development 1-12 2. Banking and Banking Structure–Legal Aspects 13-35 3. Reserve Bank of India—Structure and Functions 36-67 4. Money Supply 68-75 5. Banking and Commercial Laws 76-97 6. Banker—Customer Relationship 98-121 7. Regional Rural Banks 122-129 8. Co-operative Banks in India 130-138 9.
launch AutoCAD 2016. Opening an existing Drawing. This tutorial shows you how to add arcs and circles to the subdivision drawing provided with the datafiles that came with this guide. In Tuto-rial 3 you will finish the subdivision drawing so that the final drawing will look like Figure 2.1. Figure 2.1 . POND. N. 10. ECSTASY ROAD . CIRCLE. GARRET BRONWYN ROAD. 9 8 7 6 5 4 3 2 1. Wannabe Heights .
