Multiple choice

Who can suspend the operation of banking company and on whose recommendations?

  1. RBI, on the recommendations of Central Govt.

  2. RBI, on its own

  3. Central Govt, on its own

  4. Central Govt, on recommendations of RBI
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Under The Banking Regulation Act, 1949, Section 45 states: Power of Reserve Bank to apply to Central Government for suspension of business by a banking company and to prepare scheme of reconstitution of amalgamation.

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