LLB 3 Years Sem 6 Banking Laws Nov 2023 60/40 Question Paper - Mumbai University | munotes

Questions asked in this paper

• NB: Figures to the right include full marks assigned to the questions

1. Q1 Answer in not more than two sentences (Attempt any six) 12 marks
   • a) Write any two presumptions applicable to negotiable instruments
   • b) Define “Banks” under The Recovery of Debts due to Banks and Financial Institutions
   • c) When an instrument becomes a bearer instrument?
   • d) What is Bank Rate as per RBI Act 1934?
   • e) What is the liability of RBI in respect of stamp duty on banknotes?
   • f) Define a Bill of Exchange?
   • g) What are the Demand and Time Liabilities as per the banking Regulation Act?
   • h) What is the Mode of Proof of Entries in the Bankers’ Book Evidence Act 1891?
2. Q1 Whether a minor can become a party to a negotiable instrument?
   • j) What is “At Sight” “On Presentment” and “After Sight” under the N.I. Act, 1881?
3. Q2 Short Notes (Attempt any two) 12 marks
   • a) Local board
   • b) Noting and Protest
   • c) Crossing of Cheques
   • d) Reserve bank as Banker’s bank
4. Q3 Answer with reasons (Attempt any two) 12 marks
   • i. State whether the following instruments, duly signed by Mr. A are valid promissory notes
   • a) “I promise to deliver 10 bags of rice to Mr. B”
   • b) “I promise to pay rupees one thousand only to Mr. B after one month” A banking Company commences its business and its subscribed capital is less than half of the authorized capital
   • (b) Can a Banking Company deal in buying or selling or bartering the goods in addition to the business of banking?
   • (c) Can a banking Company create any charge upon any of its unpaid capital? State with reasons whether the following instruments are inland instruments or foreign
   • a) A Bill drawn in Calcutta on a merchant in Mumbai but endorsed in
   • b) A Bill drawn in Mumbai on a merchant in Chennai and accepted payable in America A Bill drawn in Chennai on a merchant in Brussels and accepted payable in Mumbai
   • iv. A cheque of Rs.10,000,000/- (Rupees One Crore Only), issued on 5“ January, 2023 was dishonoured and returned by the Bank on 5" February, 2023 for insufficiency of funds. A complaint is to be filed under Sec.138
   • a. In which court will the complaint be filed?
   • b. Within how many days should the notice be sent?
   • c. Within how many days does the complaint have to be filed and state the penal
5. Q4 Long Answer Type Questions (Attempt any two) 24 marks
   • a) State the provisions about board of directors and chairman of banking companies
   • b) Write the meaning of “indorsement”. Discuss the various kinds of indorsements under the Negotiable Instruments Act?
   • c) State the provisions regarding dishonor of a negotiable instrument
   • d) What is the business that the RBI may transact under Section 17 and which it may not transact under Section 19 of the RBI Act ?
6. Q2 (SUBSCRIBED)
7. Q3 area

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