last part of act Flashcards

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1
Q

The Bank has the authority to remove or debar that auditor from performing audit duties for any of the Bank’s regulated entities. The debarment or removal can last for a maximum period of

A

three years at any one time.

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2
Q

Direct an NBFC, already under a deposit acceptance prohibition, not to sell, transfer, create charge, mortgage, or deal in any manner with its property and assets without the Bank’s prior written permission. This restriction can be imposed for a period not exceeding______________________–

A

six months from the date of the order.

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3
Q

The Bank may file an application for the winding up of an NBFC under

A

Companies Act, 1956

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4
Q

The Bank may file an application for the winding up of an NBFC under the Companies Act, 1956 if: The NBFC has been barred from receiving deposits for at least

A

three months by a Bank order.

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5
Q

An NBFC is considered unable to pay its debt if: It has refused or failed to meet a lawful demand within

A

five working days at any of its offices or branches, and The Bank provides a written certification that the company cannot pay its debt.

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6
Q

Deposits held before ________________ that don’t comply with sub-section (1)(No individual, firm, or unincorporated association shall accept deposits if their business includes activities mentioned in clause (c) of section 45-I.), must be repaid:

A

April 1, 1997,

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7
Q

Deposits held before April 1, 1997, that don’t comply with sub-section (1)(No individual, firm, or unincorporated association shall accept deposits if their business includes activities mentioned in clause (c) of section 45-I.), must be repaid:

A

Immediately upon becoming due, or Within three years from April 1, 1997, whichever comes first.

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8
Q

Deposits held before April 1, 1997, that don’t comply with sub-section (1)(No individual, firm, or unincorporated association shall accept deposits if their business includes activities mentioned in clause (c) of section 45-I.), must be repaid: The Bank may extend the repayment period by up to_________________ if the person proves inability to repay or extreme hardship, subject to conditions.

A

one year

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9
Q

From _____________, these entities are prohibited from issuing advertisements to solicit deposits.

A

April 1, 1997

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10
Q

An officer from the Bank or the State Government, who is authorized, can apply to a court with jurisdiction under the

A

Code of Criminal Procedure, 1973 (CrPC)

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11
Q

Resolution Through Joint Committee: The Joint Committee decides on the dispute within

A

three months from the date of reference.

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12
Q

Determination of Inflation Target: This setting of the target is to be done once every

A

five years.

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13
Q

The Central Government, in consultation with the Bank (presumably the central or reserve bank), will set an inflation target based on the

A

Consumer Price Index.

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14
Q

Composition of the MPC

A

Chairperson: The Governor of the Bank, serving in an ex officio capacity. Member: A Deputy Governor of the Bank specifically responsible for Monetary Policy, also ex officio.Member: One officer from the Bank, nominated by the Central Board, ex officio.Members: Three individuals appointed directly by the Central Government.

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15
Q

Ineligible Persons of MPC: Over __________________ of age at the time of appointment.

A
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16
Q

Ineligible Persons of MPC: Convicted of an offense with a sentence of imprisonment for _______________-

A

180 days or more.

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17
Q

Search-cum-Selection Committee of MPC

A

Chairperson: Cabinet Secretary. Member: Governor of the Reserve Bank of India or their representative (not below Deputy Governor rank). Member: Secretary, Department of Economic Affairs. Members: Three experts in economics, banking, finance, or monetary policy nominated by the Central Government.

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18
Q

Members appointed under clause (d) of sub-section (2) of section 45ZB serve for a term of

A

four years and are not eligible for re-appointment.

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19
Q

A Member can resign from the MPC at any time before the end of their four-year term by: Giving a written notice of resignation to the Central Government with at least

A

six weeks’ notice.

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20
Q

The Bank must organize at least ____________________– MPC meetings each year.

A

four

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21
Q

The schedule for the year should be published at least ___________- before the first meeting of MPC .

A

one week

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22
Q

A quorum of MPC requires at least _ members, one of whom must be the _______________-

A

four,Governor or, in his absence, the Deputy Governor who is an MPC member.

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23
Q

The Bank must publish the minutes of the MPC meeting on the ______________ following the meeting.

A

14th day

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24
Q

Each member’s of mpc written statement explaining their vote on the resolutions, as per sub-section

A

(11) of section 45ZL.

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25
Q

The Bank must publish a document named the “Monetary Policy Report” once every

A

six months

26
Q

Monetary Policy Report should contain

A

sources of inflation. Provide forecasts for inflation covering a period from six to eighteen months from the date the report is published.

27
Q

Monetary Policy Report should contain forecasts for inflation covering a period from __________________ from the date the report is published.

A

six to eighteen months

28
Q

The criteria for what constitutes a failure to meet the inflation target will be officially notified by the Central Government in the Official Gazette. This notification should occur within _____________ months from the commencement of Part I of Chapter XII of the Finance Act, 2016.

A

three

29
Q

The Central Government is required to transfer rupee securities worth ________________– crores of rupees to the Bank. These securities will be allocated by the Bank to its Reserve Fund.

A

five

30
Q

The Bank must establish and maintain a fund called the “National Industrial Credit (Long Term Operations) Fund.” The fund will be initially credited with:

A

Rs. 10 crores by the Bank.

31
Q

The Bank must establish and maintain a fund called the “National Industrial Credit (Long Term Operations) Fund.” For the first __________– years ending on June 30, 1965, the Bank must contribute at least Rs. _________________ crores annually.

A

five , FIVE

32
Q

The Bank must establish and maintain a fund called the “National Industrial Credit (Long Term Operations) Fund.” For the first 5 years ending on ________________ , the Bank must contribute at least Rs. 5 crores annually.

A

June 30, 1965

33
Q

Despite any provisions in the ________________________, or any other current legislation related to income-tax or super-tax, the Bank is exempt from paying income tax or super-tax on any of its income, profits, or gains.

A

Income-Tax Act, 1961

34
Q

The Central Government is responsible for appointing at least _________ auditors

A

two

35
Q

The auditors will serve for a term not exceeding ________ , as specified by the Central Government at the time of their appointment.

A

one year

36
Q

The Bank is required to prepare and send a weekly account for both the ______________ to the Central Government.

A

Issue Department and the Banking Department

37
Q

Within ____________– months of closing the annual accounts, the Bank must transmit to the Central Government

A

two

38
Q

The Bank has the power to depute its staff members to: The Development Bank, with a limitation that such deputation cannot continue beyond _____________ from the commencement of section 5 of the Public Financial Institutions Laws (Amendment) Act, 1975.

A

thirty months

39
Q

The Bank has the power to depute its staff members to The Unit Trust, with the same limitation of ____________________ , but from the date notified by the Central Government under sub-section (1) of section 4A of the Unit Trust of India Act, 1963.

A

thirty months

40
Q

An institution is considered substantially owned by the Bank if the Bank holds at least ___________ of the institution’s capital.

A

0.4

41
Q

Imprisonment up to ____________ and a fine for anyone who willfully makes a false statement or omits material information in any document or advertisement related to inviting public deposits.

A

3 years

42
Q

Fine up to _______________________________________ for continued non-compliance, for failing to produce documents or information or answer questions required under the Act.

A

Rs. 1 lakh per offence, with an additional Rs. 5,000 per day

43
Q

Contravention of Section 31 (regarding bills of exchange, etc.): Punishment:

A

Fine up to the value of the bill involved in the offence.

44
Q

Disclosure of Prohibited Credit Information: Punishment:

A

Imprisonment up to 6 months, or a fine up to Rs. 1,000, or both.

45
Q

Imprisonment up to ____________________ for unauthorized deposit acceptance or contravention of Chapter IIIB directions.

A

3 years and fine up to twice the amount of the deposit

46
Q

Imprisonment up to ________________________- called by the prospectus/advertisement for non-compliance with advertisement regulations under Section 45J.

A

3 years and fine up to twice the amount

47
Q

Specific Contraventions: Section 45-IA (Unauthorised Deposit Taking):

A

Imprisonment from 1 to 5 years and fine from Rs. 1 lakh to Rs. 25 lakh.

48
Q

Specific Contraventions: Failure by Auditors to Comply with Bank Orders under Section 45MA:

A

Fine up to Rs. 10 lakh.

49
Q

Specific Contraventions: Non-Compliance with Company Law Board Orders under Section 45QA:

A

Imprisonment up to 3 years and a minimum fine of Rs. 5,000 per day of non-compliance.

50
Q

Contravention of Section 45S:

A

Imprisonment up to 2 years or fine up to twice the deposit amount or Rs. 2,000, whichever is more, with a minimum sentence unless justified otherwise.

51
Q

General Contravention or Default:

A

Fine up to Rs. 1 lakh, with an additional Rs. 10,000 per day for continued contravention or default.

52
Q

For contraventions or defaults under section 58B by a non-banking financial company (NBFC), the Bank can impose

A

a penalty up to Rs. 25,000.

53
Q

For contraventions under section 58B(4A) or clauses (a) or (aa) of section 58B(5), the penalty could be

A

up to Rs. 10 lakh or twice the amount involved, whichever is higher. For continuing contraventions, an additional penalty of up to Rs. 1 lakh per day after the first day of the contravention can be imposed.

54
Q

NBFC penalty : The penalty must be paid within _________- days from the service of the notice demanding payment.

A

30

55
Q

1[THE FIRST SCHEDULE

A

AREAS SERVED BY VARIOUS LOCAL BOARDS

56
Q

Western Area shall consist

A

Goa, Gujarat, Madhya Pradesh and Maharashtra and the Union Territories of Dadra and Nagar Haveli and Daman and Diu.

57
Q

The Eastern Area shall consist of

A

States of Arunachal Pradesh, Assam, Bihar, Manipur, Meghalaya, Mizoram, Nagaland, Orissa, Sikkim, Tripura and West Bengal and the Union Territories of Andaman and Nicobar Islands.]

58
Q

The Northern Area

A

Jammu & Kashmir, 3[Punjab, Haryana,] 4[Himachal Pradesh], Rajasthan and Uttar Pradesh and Union Territories of 5[Chandigarh,] 6[and Delhi].

59
Q

The Southern Area shall consist of

A

States of Andhra Pradesh, 7[Karnataka], 8[Tamil Nadu] and Kerala and the 9[Union Territories of Pondicherry and 10[Lakshadweep]]. ]

60
Q

Nothing contained in section 58 B shall apply to section ______

A

Section 42