BANKING LAW

PART – A (12 Marks)

1. Define the terms ‘Banker’ and ‘customer’. Explain the relationship between
a banker and a customer and rights of the banker? Or business permitted
to the banking company (5) P-69
2. Explain the nature of protection given to the collecting banker under the
Negotiable Instrument Act (or)Who is collecting banker? Discuss its duties
and liabilities of a collecting the banker in granting loans (4) P-306
3. Explain the principles that guide the banker in granting loans (4)
4. Under what circumstances can a bank dishonor the cheque of a customer
(4) P-357
5. Explain the powers of the Reserve Bank of India (or) Describe the main
powers of Reserve Bank of India under the Banking Regulation Act, 1949
(or)Explain the rights and duties of the Reserve Bank of India (4)
6. Explain the statutory protection given to the paying banker? (or) who is
paying banker? What are the precautions to be taken by the paying banker
(3)
7. State the procedure to be adopted and the precautions to be taken by a
banker while opening a new account (2) P-132 A
8. Explain in detail about Material Alteration (or) Material alteration of a
negotiable instrument makes the instrument void – comment. (2)
9. Explain the difference types of endorsement and their significance (2)
10.Write about the special types of customers of Bankers? (2)
11.The absence of consideration for a negotiable instrument is a material only
between immediate parties to the instrument- comment (or) what is
Negotiable Instrument? State the characteristics of Negotiable Instrument
(2)
12.Define ‘Negotiation’ and state the difference between Negotiation and
Assignment.
13.Explain the Rights and duties of a Banker under the banking law?
14. Define Negotiable instrument and describe its main features
15.Describe how far the rule in clayton’s case is applicable to bankers.
16.“If a bank is negligent in opening an account by a customer then the bank is
responsible to the true owner of the cheque”-Discuss with the help of
decided cases.
17.Nationalization of banks has brought changes in the Indian banking
Systems-Discuss
18.Discuss the business permitted and prohibited for a banking company
under the Banking Regulation Act, 1949.
19.Define “Holder” and “Holder in due course”. Discuss the rights of a “Holder
in due Course”.
20.Discuss the protection available to a banker in respect of payment of
crossed cheque.
21.Define cheque and bill of exchange. Differentiate between two.
22.Discuss the salient features of the Financial Institutional Act, 1993
23.What is a banking instrument? Explain the different kinds of banking
instruments under the negotiable instruments Act.
24.What is the statutory protection given to the collecting banker?
25.What are the criminal remedies available to the drawee in case of dishonor
of cheque under the Negotiable instruments Act, 1881?
26.Explain the historical development of banking in india and explain the
special features of the Banking Regulation Act-1949.
27.Discuss the rules regarding presentment for acceptance of a negotiable
instrument. State presenting excused P-330,336
28.Define “Holder”. Discuss the rights of a Holder in Due course.
29.Explain the provisions in Sections 138-142 of the Negotiable Instruments
act which were inserted in 1998?
30.Define “Banker”. What are the businesses a banker is permitted to do and
prohibited to do?
 PART-B (6 MARKS)

1. Payment in due course (5)

2. Bills of Exchange (4) P-264
3. Material Alteration (4) P-343
4. Bankers liens (4)
5. Noting and Protest (4)
6. Cheque and crossing of cheques (4)
7. Passbook(4)
8. Holder in due course and Rights of holder in due course(3) P-279
9. Commercial banks (3) P-51
10.Endorsement and Kinds of Endorsement(3)
11.Drawee in case of need (3)
12.Banking Instruments (3) P-245
13.Clayton’s Rule or Devaynes vs noble claytons (3) P-104
14.Different types of deposits/Accounts (3)
15.Financial Institutions Act 1983 (2) P-144
16.Closing of Account banker (2)P-247
17.Nationalization of banks (2) P-10
18.Account Payee only (2)
19.Presentment for acceptance(2)
20.Promissory notes (2)
21.Safety deposit (2)
22.Industrial Bank of India (IDBI) (2)
23.Letter of credit(2)
24.Rights of a banker(2)
25.RBI and its Functions (2)
26.Credit card
27.Farmer or Survivor
28.Negotiable Instruments
29.Bearer cheque
30.Restrictive Indorsement
31.National Agricultural and Rural Development Bank
32.Bankers Right to combine customer Account
33.Banker as agent of customer
34.Minor Account
35.Holder for value
36.R.c.cooper vs union of india
37.Cash reserve
38.Traveller’s Cheque
39.Public Utility services
40.Special type of customer
41.Special status of RBI
42.Rights of the paying banker
43.Fixed deposit receipt
44.Sale of movable secured asset under the SARFAESI Act
45.Garnishee order
46.Rules relating to lost instruments
47.Deposit Receipts
48.Criminal liability for dishonor of cheques
49.Banker and Customer relationship
50.Overdraft
51.State bank of India
52.Bank drafts
53.Appropriation of Payments & Right of Appropriation P-103
54.Financial Institutions Act 1993
55.Scheduled bank and non-scheduled banks P-52,66
56.Subsidiary business operation of bankers P-236
57.Special Customers of a banker
58.Section 138 of Negotiable Instruments Act
59.Minus Account
60.Mutilated Cheques
61.Liability on foreign instruments