Ans- Powers and Functions of Reserve Bank of India under Banking Regulation Act, 1949 which was previously known as Banking Companies Act, 1949 : As a matter of fact, it is true that the Reserve Bank of India has been playing a vital role regarding establishing the new banks, development of old banks and controlling of the existing banking companies in India right since its origin in 1935. It is to be noted that various measures have since been adopted by the Reserve Bank of India under the provisions of Regulation Act, 1949 which are as follows:- 1. Power to Maintain Reserve Fund- According to the provisions of S.17, Reserve Bank may by order in writing declare that provisions of Reserve Fund shall not apply to the banking company for such period as may be prescribed with order. The Banking company shall transfer each year not less than prescribed with order banking company shall transfer each year not less than 20% of its profits to the Reserve Fund. 2. Power to Mai...
Comments
Post a Comment