Home › IBPS Clerk › Banking Awareness › RBI Act & BR Act › Under section 19 the Bank may not purchase the s…
Under section 19 the Bank may not purchase the shares of any:
ABanking company
BBearer company
CBroking company
DBonding company
Answer & Solution
Correct answer: A. Banking company
1. It may not grant loans on the security of such shares either.
2. The bar covers any other company as well.
3. It begins with a banking company.
_Source: The Reserve Bank of India Act, 1934 (India Code)_
Related questions
Which section gives the Bank power of direct discount?Which section requires publication of a consolidated statement?Section 45Z provides that its Chapter shall do what to other provisions?Which section provides for the appointment of agents?Which section governs transactions in foreign exchange?Which section deals with obligations in respect of rupee coin?Which section covers the assets of the Issue Department?Which section allows a note series to cease to be legal tender?