Multiple choice

Reserve Bank is empowered to conduct ____________ of a banking company under Section 35(1) of the Banking Regulations Act.

  1. inspection

  2. special audit

  3. audit

  4. None of the above

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Section 35 in BANKING REGULATION ACT,1949  Inspection Notwithstanding anything to the contrary contained in section 235 of the Companies Act, 1956 (1 of 1956), the Reserve Bank at any time may, and on being directed so to do by the Central Government shall, cause an inspection to be made by one or more of its officers of any banking company and its books and accounts; and the Reserve Bank shall supply to the banking company a copy of its report on such inspection.