Multiple choice

The Commercial Banks in India are governed by

  1. Reserve Bank of India Act, 1934

  2. Indian Company Act, 1956

  3. Indian Banking Regulation Act, 1949

  4. Securities and Exchange Board of India Act, 1992
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Commercial Banks in India are governed by the Banking Regulation Act, 1949. This is the primary legislation that regulates banking companies in India. Option A's RBI Act governs the central bank, not commercial banks. Option B's Company Act applies to all companies but isn't specific to banking. Option D's SEBI Act regulates securities markets, not banks.

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