Class Roll No.
Mid Term Examination, September 2017
B.A.LL.B. (HONS.)
SEMESTER IX
Banking Law (Opt.-II)
Max. Marks: 20 Max. Time: 1:30 Hrs.
Note: Answer any TWO questions out of three.
The number of marks carried by a question/ part is indicated against it.
1. What is banker's right of general lien? Discuss the special features and exceptions to the right
of general lien.
Amrut is a privileged customer of his banker PNB dealing in export business. He has one
current account and three loan accounts with his bank. First Loan account's due date is 30th
September, 2017, second Loan account's due date is 30th December, 2017 and his third Loan will
fall due on 31st December, 2017. Amrut has not intimated his banker in respect of the payment of
his three Loans.
On the basis of above situation what mode or right does PNB have so as to realize the loans
tendered to Amrut. Discuss with relevant case laws (if any) and legislation (if any).
(Marks
2. "Lending is the main business of the banks, which carries certain inherent risks and banks cannot
take more than the calculated risk".
In the light of the said statement elucidate the principles of lending and good lending. (Marks 10)
3. Define Bank, Banker and Banking Company. Discuss the different types of banks and their
significance in Indian economy. (Marks 10)