SIMPLIFIED
KNOWLEDGE IN LEGAL & BANKING ASPECTS
Ø
Which
section of Contract act refers “Substituted Contract”?
Ø
Which
section of IPC refers warrant?
Ø
As per
statute, if any firm/company/organization engages more than 1000 employees,
their salary/wages to be paid on or before which date of every month?
Ø
For
Cause of action – limitation period for consumer dispute is how many days?
Ø
Under
which section and which act, Right of appropriation by a Banker happens?
Ø
Banking
Ombudsman Act introduced under which act and in which year it was introduced?
Ø
Under
Sec 9 of Transfer of Property Act, Transfer should be made ___________?
Ø
Under
Sec.23A of Registration act, re-registration means?
Ø
First
Cyber police station established at ___________ in India?
Ø
Offences
under Section ____ of SERFAESI act, can be tried by _____ Court?
Ø
Minimum
fee for Digital Certificate is ___________?
Ø
Minimum
amount of OA fee for DRT filing is ___________?
Ø
Under
Sec 26 of CPC – for plaint – fact should be proved by whom?
Ø
Sec 82
of Cr.P.C warrant will be issued for
_____ days?
Ø
Police
officer, under the provisions of IT act, which designated person is competent
to arrest?
Ø
Warrant
of arrest, once issued will be in force for how many years?
Ø
Consumer
Redressal Forum application fee for Rs.10 to 20 Lakhs is___________?
Ø
Nomination
by Joint account holder referred by Banking Regulation act under sec
___________?
Ø
Fee
for appeal in case of referring to National Consumer forum to Supreme Court,
how much to be paid?
Ø
For
non-performance of Legal Duty by a Government Officer, which writ petition to
be filed?
Ø
Transfer
of Suit referred in Sec ___________ of CPC?
Ø
Which
sec in Indian Contract act referred with Pledge?
Ø
Which
sec in Indian Contract act referred with Contract of Insurance and Agency?
Ø
Jammu
& Kashmir was included in Constitution under list of states under which
amendment?
Ø
Limitation
for appeal under cyber appellate Tribunal is __________ days?
Ø
WEF
from which date, RDDBFI act came into existence?
Ø
What
does “Amount out-standing” referred to, as per SARFAESI act?
Ø
What
is the minimum limitation period required for referring an application to
Labour Court/Tribunal?
Ø
Banking
Ombudsman will be appointed by _________?
Ø
As per
SARFAESI act, secured creditor can hold the property for ________ years if purchased?
Ø
If an
order passed by Consumer Redressal Forum, was not complied by JDR, penalty can
be imposed by CRF is to an extent of ___________?
Ø
What
can be transferred, under Sec 6 of TP act?
Ø
What
is the designation called, for a chairman of State consumer protection Council?
Ø
1st
Cyber stalking case registered at _______ city of India?
Ø When Ombudsman’s award is accepted by
the customer, the bank is to implement the award within : 30 days.
Ø Corporate Debt Restructure system is
not applicable for : Single lender accounts
Ø Real Time Gross settlement system takes
care of which risk : Systemic risk and settlement risk
Ø Loan assets are classified by the banks
on the basis of : By status of security
Ø Under SARFAESI Act 2002 the banks give
notice for payment of due amount to the borrower / owner of charged assets
within _____ days, otherwise action will be initiated u/s 13(2) of the Act : 60
days
Ø The minimum & maximum period of
certificate of deposit is : 7 days, 12 months
Ø Banks print cheque books having similar
particulars. The format of cheque is prescribed by which Act : It is a practice
Ø Which crossing takes away the feature
of assumption of defective free title available to the transferee : Not
negotiable
Ø Bearer uncrossed cheque can be paid to
whom : To the bearer
Ø In PMRY, what is the income criteria
for borrower’s family and borrower’s parents : Annual income from all sources
should not exceed Rs.1 lac, each, separately
Ø The increasing foreign exchange
reserves in India are costly because : Funds are idle and there is fluctuation
risk
Ø Who is appointed to tackle public
complaints against the public authorities : Ombudsman
Ø What is NOSTRO: A bank’s account abroad
with another bank
Ø On, other than a negotiable instrument,
what is the time period for payment of stamp duty, if the document is executed
outside India : 3 months
Ø Within priority sector, a retail trader
other than in essential commodities can be allowed an advance up to : Rs.20 lac
Ø FCNR (B) deposit can be accepted by
banks in ____ currencies : 6
Ø May I help you counter is to be provided
by bank branches other than : Small branches
Ø Interest subvention on SME exporters is
available to the extent of : 2%
Ø BCTT provisions are applicable on
partnership where the cash withdrawal is : More than Rs.1 lac
Ø A firm is allowed a limit of Rs.1.40
lac at 30% margin. It wants to avail the limit fully. How much will be the
value of security : Rs.2 lac
Ø Statutory Liquidity Ratio provisions
for banks are as per Section _____ of _____ : 24, Banking Regulation Act 1949
Ø What is the maximum loan that can be
allowed to a dealer in cattle feed / poultry feed, within priority sector :
Rs.40 lac
Ø An NRI can open a joint account with a
resident in case of ___ accounts : Non-resident Ordinary.
Ø What type of charge is applicable on
loan against term deposits in a bank : Assignment
Ø RBI keeps on changing repo / reverse
repo rate / CRR with the objective of : Regulation of liquidity to control
inflation
Ø Garnishee Order is not applicable on :
Un-used cash credit or overdraft limit
Ø What is the periodicity for submission
of R-Returns to RBI : Fortnightly
Ø The facility of nomination is not
available to Trust account because it is _____ account : Non-individual
Ø Banks are required to make provision on
standard assets at the rate of 0.25% on ____ & ____ accounts : Direct agriculture
and SME.
Ø A person wants to open an account which
his wife should be able to operate only after his death. What type of account
he should open : Former or survivor
Ø In B region, the reply to letters in
Hindi is to be given to the extent of ____ % : 100%
Ø Within priority sector target of 40% of
ANBC or CEOBE, whichever is higher, the sub-target for weaker section is : 25%
Ø A loan to an NBFC for on-lending to
individual farmer or SHG or joint liability group is classified as: Indirect
finance to agriculture
Ø In case of a jointly operated joint
account, the nominee can obtain payment, when : none of the account holder is
alive
Ø SGSY scheme is meant for ____ in ____
areas : BPL, rural
Ø Call money deposit is part of the ___
sector : Organised sector
Ø The long term liability to tangible net
worth ratio implies : Long term solvency of the firm or capacity of the firm to
pay long term debt.
Ø Current ratio implies : Capacity of the
firm to pay current liabilities.
Ø Working capital requirement of a firm
is required to be met through : Short term sources and surplus of long term
sources over long term uses
Ø What was increased by RBI to the extent
of 0.5% in the first quarterly review of annual policy in July 2007 : CRR
Ø Star series notes relate to : Defective
notes
Ø The target for DRI advances is : 1% of
previous year’s outstanding loans
Ø Who cannot become a partner as per
Supreme Court judgement : HUF
Ø What is the maximum period for which an
account classified as sub-standard, can remain : 12 months
Ø A company wants to electronically pay
the dividend to large no. of its shareholders, which include small amounts also
: Electronic Clearing Services – Credit (ECS-Credit)
Ø Service fee in case of CGF-MSE
guarantee cover is ___ % of ____ : 0.75%, sanctioned limit
Ø The terms used for hiding money to
avoid tax is : Money laundering
Ø A cheque is written in different
hand-writings and different inks : It will be paid
Ø Opening of non-resident accounts by
_____ has been allowed by RBI : RRBs
Ø Bailment of goods by a person to
another person, to secure a loan is called : Pledge
Ø When mortgage is created by a person by
deposit of title deed orally, it is called ____ mortgage : Equitable
Ø Which crossing is not a general
crossing : When name of bank is written within or without parallel lines.
Ø Buy now and pay later is the facility
available under : Credit card
Ø A financial statement that provides
information regarding where the funds have come and where these have been used,
is called : Funds flow statement
Ø Who can open NRE account : NRI
Ø The minimum capital adequacy ratio
implemented in India, by RBI is ____ % and as per Basel II recommendations it
is ___ % : 9%, 8%
Ø A mandate holder for a current account
has died and a cheque signed by him is presented for payment after his death :
The cheque shall be paid, if not dated subsequent to date of death or prior to
the date of mandate.
Ø The true owner of a cheque has been
deprived his right by collection of the cheque for a different person. This is
called : Conversion
Ø A bank branch receives a counterfeit note
of Rs.1000, which customer wants back. What the bank should do : To be
impounded and not to be returned in any circumstances.
Ø Banks provide term loans and deferred
payment guarantee to finance capital assets like plant and machinery. What is
the difference between these two : Outlay of funds.
Ø Islamic banking has the features of :
Conservative banking
Ø Which among the Muslims, Christians,
Budhists & Jains is not a minority community : Jain
Ø When rate of interest is expressed by
adjusting the impact of inflation, this is called _____ : Real rate of Interest
Ø For the purpose of creation of
equitable mortgage, the place for deposit of the title deed is notified by :
State Govt.
Ø A prudent investor makes investment in
shares on the basis of : Price-earning ratio
Ø When the rates are rising, the growing
economy : Gains
Ø Banks can ask for deposit of advance
rent for a period up to : 3 years
Ø For FCNR (B) deposits, the exchange
risk is born by : Bank, accepting such deposit.
Ø As per recent RBI/Govt. guidelines,
pensioners can open account jointly with: with spouse, to be operated as either
or survivor.
Ø Amount of maximum loan given to micro
and small enterprises are covered under CGFTMSE scheme : Rs.50 lac
Ø Housing loan is part of the priority
sector advance, with a maximum amount of : Rs.20 lac.
Ø The R-returns are submitted by the
banks to RBI on : Fortnightly basis
Ø Apiculture relates to : Bee-keeping
Ø A cheque written in different inks and
handwriting is presented, for payment : it will be paid if otherwise in order
Ø Which of the following forms will be
used for allowing exemption to a depositor aged 61 years : Form 15 G
Ø An enterprise will be treated as medium
enterprise providing services, if the investment in ____ is above Rs.2 cr and
up to Rs. _____: equipment, 5 cr.
Ø BCTT is levied in case of a partnership
firm’s account, when the amount of withdrawals : exceeds Rs.1 lac
Ø For acquiring securities charged to the
bank under SARFAESI Act, a notice of ___ days is required to be sent to the
owner of the securities: 60 days
Ø The drawer of a cheque wants that the
endorsee should not get a defect free title when he receives an endorsed
cheque. What type of crossing would be required : Not-negotiatiable crossing.
Ø The crossing on a cheque is required to
be cancelled. Who can do so: Drawer
Ø A cheque signed by an agent is
presented for payment, after his death. What will the paying bank do : Cheque
will be paid in normal course if it is not dated subsequent to date of his death.
Ø A bank can sell its NPA account to
another bank, if the NPA is held by the seller bank with it for ____ month as
NPA : 24
Ø Unutilised overdraft limit of a
borrower is available and a garnishee order is received : Order is not
applicable
Ø Under SGSY, the no. of women self group
should be ___ % of the total groups: 50%
Ø In educational loan no collateral
security or 3rd party guarantee will be obtained, if the amount of loan is
maximum up to: Rs.4 lac.
Ø NRE term deposit can be accepted by
banks for a period of : 1 to 3 years.
Ø In PMRY cases, the amount of margin and
subsidy should be ___ % of the ____ : 20%, project cost.
Ø A loan associated with a short duration
crop, becomes sub-standard after remaining special mention account for a period
of : two crop seasons
Ø Interest subvention of 2% is available
to banks from Govt. when the short term production loan up to Rs. ____ lac jin
agriculture is allowed by banks at ____ % rate of interest to farmer: 3 lac, 7%
Ø Under liberalized remittance scheme
what is the maximum amount that can be remitted by a resident person abroad for
unspecified person: $ 2 lac in a financial year.
Ø If an SSI units holds a margin of Rs.25
lac and its projected sales are Rs.400 lac, its working capital limit will be :
Rs.75 lac (margin being more, the limit will be lower by that amount).
Ø Weaker persons of the society available
deposit and loan services from banks, which is called : Financial inclusion
Ø Customer day is observed by banks on
____ th of the month : 15
Ø Minimum no. of days for which term deposit
can be made by banks : 7 days
Ø Under 15 point program of Prime
Minister, the no. of minority dominated districts in India is indicated as :
121
Ø For select exporters, the maximum
interest subvention allowed to banks is ___ % but the rate of interest to be
charged from exporters should be minimum ___ % : 4%, 7%
Ø A retail trader in other than essential
goods is financed by the bank. What is the maximum amount of such loan that can
be classified under priority sector : Rs.20 lac.
Ø What type of bench mark is used for
lending in banks : Benchmark Prime Lending Rate.
Ø A dealer is engaged in
sale/distribution of inputs used in agriculture allied activities such a
poultry feed / cattlefeed. What is the maximum amount of loan given to them,
can be classified under priority sector : Rs.40 lac.
Ø Appeal against the award given by the
Ombudsman can be made by the bank within _____ days of date of ____: 30 days,
receipt of acceptance from the customer.
Ø The format of cheque is prescribed in
which Act : It is only a practice.
Ø If a fraud takes place in a bank
branch. Report is sent to the controlling office on form : FMR 1
Ø The amount in a cheque is written
differently in words and figures and amount written in words is higher of the
two : Amount written in words will be paid.
Ø While paying a bearer cheque,
signatures are obtained on the back side of the cheque. Why ? : As evidence of
payment
Ø Bank note which is misprinted by RBI is
replaced by issuing a ________ note : Star series
Ø In CDR category-1, what type of loan
accounts are eligible : Standard & sub-standard.
Ø Sales / debtor ratio is called _____
ratio. It indicates ____ : Debtor-turnover, efficiency of collection of
debtors.
Ø Current ratio indicates : Capacity of a
firm to meet its current liabilities.
Ø Conversion means : unauthorized
intervention in the property of another person
Ø As per Official language policy for B
region, branch target to reply in Hindi letter received in Hindi is : 100%
Ø Provision for standard accounts in direct
agriculture and SME accounts is to be made at : 0.25%
Ø Risk weight for bill purchased under
LC, for capital adequacy purposes is : 20%
Ø What is the right of nominee in case of
term deposit that has not matured : To obtain premature payment and not raise loan
against the security of such term deposit
Ø Preshipment credit is available in
which type of letter of credit : Red clause
Ø The quarterly financial results of
companies and banks are to be declared / published under directions provided by
: SEBI
Ø RBI injects liquidity through : Repo
Ø Collateral security in case of PMRY
advances is exempt up to : Loan of Rs.5 lac in case of industry projects per
borrowal account and Rs.2 lac for business/servicing per borrower.
Ø What is full form of FRBM : Fiscal
Responsibility & Budget Management Act
Ø Relationship between bank and customer
in case of goods left by mistake in custody of the bank: Trustee &
beneficiary
Ø Priority sector target for foreign
banks: 32% of ANBC
Ø NSC pledged with post office with
nomination in favour of XYZ. Bank’s claim against these NSCs : Will have
priority
Ø Legal status of nominee is that of a :
Trustee for legal heirs
Ø M, a minor admitted for benefits in a
firm wants to withdraw from the firm on attaining majority. How much time is
available to him to do so : 6 months from date of majority or 6 months from
date of information to him that he was admitted for benefits, whichever is
later.
Ø Loan to minor can be given in the
following case (a) against DBD (b) against LIC policy (c) in the name of minor
(d) in the name of father : in the name of father
Ø Who cannot be a partners (a) HUF (b)
illiterate (c) Blind person (d) company : HUF
Ø Money to be deposited by A in the
account of B. A has informed that B has become insane : can be deposited with
consent of the family members (i.e. guardian)
Ø Mortgagee enjoys the income of the
mortgaged property in case of which mortgage : Usufructuary
Ø Hypothecation becomes pledge : when
goods are given for possession to the bank, by the borrower.
Ø Which scheme has been abolished with
introduction of senior citizen deposit scheme : Varishat Bima Pension Yojna
Ø An NPA account is restructured on June
30, 2003 with the provision that first instalment shall be due on Dec 31, 2003.
Amount deposited on Dec 30, 2003. The account will become standard, if
instalments are regularly deposited: Dec 31, 2004.
Ø Which type of fraud case is not to be
reported : Theft and burglary.
Ø There is excess cash with the cashier
while closing the cash balance in the evening. It is to be deposited in :
Sundries account (credit balance).
Ø Which document is required to be
attested (witnessed) (a) mortgage deed (b) pledge agreement (c) Hypothecation
agreement : Mortgage deed
Ø No. of bank branches in India is (a)
above 40000 (b) above 50000 (c) above 60000 (d) above 70000 : Above 70000
Ø A, B and C want to open a joint account
with the provision that after death of any of them, the money should not be
paid to any legal heir, what mode of operation should be opened : Either or any
of them
Ø ECB can be raised under automatic approval
by (a) companies (b) firms : Companies
Ø Borrowing power of Board of Directors
is described in: Articles of Association.
Ø Doctorine of Ultravires borrowing
relates to : Borrowing by a company for an activity, which it is not authorized
to undertake as per its Memorandum of Association
Ø Loan of Rs.25000 has been obtained by
the depositor against an FDR. Minor is to be appointed nominee in the account :
Can be done after repayment of the loan. Terms of deposit account will not be
allowed to be changed during currency of the loan.
Ø The no. of members in a SHG in SGSY in
normal cases : 10-20
Ø Authorised capital is Rs.10 lac. Paid
up capital Rs.6 lac. The loss of previous year is Rs.1 lac. Loss in current
year is Rs.2 lac. The tangible networth is : Rs.3 lac
Ø Net working capital is Rs.80000.
Current ratio is 3:1. The current assets are : 120000
Ø CDR in case of SME account (which is
not correct) (a) SME financed by any bank for any amount (b) for corporate
account, financing by one bank (c) for corporate account from many banks for
amount above Rs.10 lac : C
Ø Right to retain goods is called : Lien
Ø For obtaining loan against shares, the
Charge on shares : Lien
Ø A director of the bank wants to raise
loan from your bank against (a) FDR of other bank (b) share of same bank(c)
surrender value of Life Policy. Loan can be given against : Surrender value of
Life Policy.
Ø Bill of lading, Railway Receipt are
negotiable instruments under (a) NI Act (b) Sec 3 of Transfer of Property Act
(c) Sec 137 of Transfer of Property Act (d) Sale of Goods act : C
Ø Keeping goods in safe custody is as per
provisions of (a) NI Act (b) Indian Partnership Act (c) Indian Contract Act : C
Ø No dues certificate in case of
agricultural advances is exempted up to a loan of: Rs.50000
Ø Liability of a coparcener in case of
loan raised by HUF is : Restricted to his share in HUF property/assets
Ø In KYC guidelines, the small account
where simple KYC is applicable are those account where the amount deposited in
the account is restricted to (a) Rs.50000 (b) Rs.1 lac : Rs.1 lac
Ø In case of SMEs, the registration is
mandatory in case of (a) medium enterprises in servicing (b) small
manufacturing enterprises (c) manufacturing medium enterprises : C
Ø What is the maximum amount of loan for
obtaining guarantee under CGTMSE of SIDBI : Rs.50 lac
Ø A company has been sanctioned cash
credit-pledge limit. Internal auditor finds that charge has not been registered
with Registrar of Companies in time. In how much time it is to be done : In
case of pledge, not required.
Ø Loan system of credit delivery is not
applicable in case of : Software industry
Ø To sell an NPA, the account must remain
in the books of seller bank : for 24 months as NPA
Ø One of these is an indirect rate (a)
one $ = Rs. 39.56 (b) one pound = Rs. 89.56, (c) one yen = Rs. 0..30 (d) Rs.100
= $ 2.60 : D
Ø Which crossing is not recognized by NI
Act (a) Special (b) payee’s account (c) not negotiable : B
Ø Which among the following can open an
Resident Foreign Currency account (a) NRI (b) Resident (c) Erstwhile NRI now
resident (d) none : C
Ø A loan document is signed by one
partner on June 15, 2007, by 2nd partner on June 21 and by 3rd partner on June
29. The period of limitation will start from : June 30, 2007
Ø In CAMLES, the word C stands for :
Capital Adequacy Ratio
Ø A partner wants to retire from the firm
XYZ. He has to (a) get consent of other partners (b) has implied authority to
retire (c) has to give public notice (d) can retire when desired by him by
giving notice to other partners : A
Ø Service Area approach guidelines withdrawn
by RBI except of Govt. sponsored Scheme as per recommendations of : VS Vyas
Committee
Ø Govt. shareholding in public sector
banks cannot be below : (a) 33% (b) 51% (c) 74% (d) 100 : B
Ø For micro & small enterprise, the
value of _____ is excluded while calculating the value of plant and machinery
or equipment : Land & building.
Ø Registration of partnership firm is not
compulsory but banks prefer registered firms because (a) they can file suit
against them (b) creditors can file suit against them (c) they can file suit
against their debtors : C
Ø The limitation period u/s 138 of NI Act
begins from : Date of cause of action
Ø Ombudsman can ignore the case of
complaint where (a) advocate of applicant has appealed (b) complaint is of
frivolous nature : B
Ø Company increases it networth by
revaluation of assets by Rs.50000. Existing Debt equity ratio was 2:1. the new
debt equity ratio would be _____, if long term liabilities are Rs.80000 : 0.9:1
Ø If BCTT is not deposited on time, the
penalty for non-deposit is : Rs.1000 per day for period of default + 1p.m.
interest
Ø BCTT is chargeable in the account of a
private limited company if the amount of cash withdrawal is : more than Rs.1
lac.
Ø A cheque is issued by a company as “pay
yourselves”. A clerk from the company comes and signs on behalf of the company
and requests for preparation of a demand draft : Cannot be prepared.
Ø Internal rate of return is : A discount
rate, at which the net present value of a project is Zero.
Ø PMRY age limit of general………..and for
SCST ____ (18—35 and 18—45)
Ø Under SGSY Programme, the minimum
number of SHG group of women to be formed : 50%
Ø Subsidy under Agriclinic Agribusiness
is ……..%or general and ………….% for SC/ST (25% and 33.3%)
Ø Small Service industry investment in
plant and machinery : above 10 lakhs but upto 2 crore
Ø Hypothecation defined under which act :
SARFAESI Act.
Ø Npa Can Be Sold By Keeping For How Many
Days : 2 Years
Ø Remittance of FCNR(B) proceeds to III
Party abroad – If AD satisfied, these can be made on the request of the
depositor.
Ø Banks can accept NRE deposit from 1
year to 3 year and can accept beyond 3 years also but the rate of interest
payable beyond 3 years
Ø CGFTMSE 80% coverage not available for
: SC/ST
Ø Oversold position will give loss when
the value appreciating
Ø Sengupta committee related to : Private
sector contribution to defence sector
Ø Radhakrishanan Committee related to :
agriculture indebitedness.
Ø The committee recommended concurrent
audit : GHOSH COMMITTEE
Ø CRR & Bank rates are :7.50 &
6.00
Ø Repo rate is…………..and reverse repo rate
is…………… : 7.75% & 6.00
Ø Restructured a/c classified standard if
the operation in the account is satisfactory for a period of : one year
Ø In case of failure of a customer to
meet its commitment in settling his dues in time will come under which type of
risk : Settlement Risk
Ø Which approach does not Operation Risk
: internal risk assessment based
Ø When an account becomes NPA and
realizable value of security is ____ the account is directly treated as loss
asset : <10 %
Ø ROI on adhoc PCL : Same Rate Of Normal
PCL
Ø Un Registered Partnership Firm - What
is the repercussion: Firm can sue the others
Ø A cheque passed in a current account of
an Un Registered Firm having insufficient balance allow OD in the account
without any instructions from the Firm. Bank has an FD, whether bank can
recover the amount of OD allowed in the account from the proceeds of FD? : Yes
Ø Whether Minor can nominate ? no
Ø TDS not deducted what is the penalty
and for what period: Bank to pay the amount with interest @ 1% p.m. simple
Ø Mr.A withdrew cash from the following
three accounts maintained in your bank: SB – Rs.100,000/-, Current –
Rs.60,000/-, OD – 40,000/-. What is the amount of BCTT to be deducted: 60/-
Ø What charge to be created for demat
shares with bank as security : Lien
Ø Microsoft has instituted its base/
facility office at: Hyderabad
Ø If the date under LC is mentioned as On
or about 30.06.2007 – shipment will go within or when.. (5 days before and 5
days after 30.6.07)
Ø What is the position of a Nominee ?:
The money will be paid to nominee after death of depositor
Ø Methodology of Waiver/Remission of loan
of Director of the bank: After permission of RBI
Ø Under LRS how much money in 000 a
resident can remit in year : US D 200000 in a financial year.
Ø For the purpose of Medical Treatment,
how much amount can be remitted freely : USD 100000
Ø
How much amount a company can invest abroad : 400% of net worth
