LL.B. (Three Years) Sem 6 Law of Banking and Negotiable Instruments Nov 2024 60/40 Question Paper - Mumbai University | munotes

Questions asked in this paper

• N.B: 1. Please check if you have received the correct Question Paper; 2. Answer all Questions as per the instructions given; 3. Do not reveal your identity or put any signs, markings, inscriptions anywhere on your answer sheets; 4. Give relevant case laws / references / illustrations.

Q.1 Q.1: Answer any six of the following (12 Marks - 2 marks each)

1. (a) What does the SARFAESI Act deal with?
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2. (b) What is the legal presumption under the Negotiable Instruments Act for dishonor of a cheque?
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3. (c) Name any Four Nationalised Banks in India that issue Credit Cards for Indian Citizens?
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4. (d) What do you understand by the term 'Legal Proceedings' under the provisions of the Banker's Books Evidence Act?
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5. (e) What is a 'Bearer Instrument'?
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6. (f) What is a 'Noting'?
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7. (g) What are the objectives of the Negotiable Instruments Act?
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8. (h) What is a 'Bank Rate'?
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9. (i) What do you understand by the term 'days of grace' as per the provisions of the Negotiable Instruments Act?
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10. (j) Who was the chairperson of the Committee, based on whose report of the year 1991, the Debt Recovery Tribunals were set up in India?
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Q.2 Q.2: Answer any two of the following (12 Marks - 6 marks each)

1. (a) Role of Reserve Bank as 'Banker's Bank'.
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2. (b) Structure of Indian Banking System.
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3. (c) Tribunals under Recovery of Debts Due to Banks and Financial Institutions Act.
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4. (d) Roles and Responsibilities of SEBI.
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Q.3 Q.3: Answer any two of the following (12 Marks - 6 marks each)

1. (a) In a court case regarding a financial dispute, the Bank's records are presented as Evidence. The opposing party challenges the admissibility of these records under the Bankers Book Evidence Act, claiming that they are not authentic. (i) What provisions of the Bankers Book Evidence Act support the admissibility of bank records? (ii) Discuss the implications of this act in legal proceedings involving financial disputes.
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2. (b) Neena draws a Bill of exchange on Sunil. Sunil accepts the Bill of Exchange without any consideration. The Bill of exchange is transferred to Shivani without consideration. Shivani transfers it to Krishna for value. Decide the following giving appropriate reasons: (i) Whether Krishna can sue the prior parties of the said instrument? (ii) Whether prior parties to Krishna have any right of action? Give elaborate reasons for your answers.
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3. (c) What important provisions with respect to the powers of the Reserve Bank of India were provided by the Supreme Court in the landmark judgment of the Reserve Bank of India V/s. Peerless General Finance and Investment Company Limited.
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4. (d) (i) A Bill of Exchange dated 13th November, 2024, is made payable three months after date. Identify the date at which the said instrument will mature on? (ii) Anil draws a Bill on Vaani on 13th November, 2024 for Rs. 50,000 for 3 months payable after sight. Calculate due date in the above case? (iii) Determine what shall happen if actual due date of Anil's Bill happened to be a sudden holiday?
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Q.4 Q.4: Answer any two of the following (24 Marks - 12 marks each)

1. (a) Define and distinguish between Promissory Note, Bill of Exchange and Cheque.
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2. (b) Elaborately explain the various provisions related to the appointment, qualifications, disqualifications, roles and responsibilities of the members of the Board of Directors and the Chairmen of Banking Companies India.
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3. (c) Explain elaborately as to how does the Banking Regulation Act influence the operations of Banks in India?
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4. (d) Discuss in elaborate details, the various salient provisions related to the forms of business which the Banking Companies in India can engage and can not engage as per the Banking Regulation Act and the Reserve Bank of India Act.
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