DISTANCE EDUCATION
M.B.A. DEGREE EXAMINATION, MAY 2017
Second Semester
BANKING LAW AND PRACTICE
(Upto 2012-13 Academic Year and 2013 Calendar Year)
Time Three hours Maximum 100 marks
SECTION A — × 8 40 marks)
Answer any FIVE questions.
All questions carry equal marks.
1. State the causes for nationalization of commercial banks.
2. What is Banker's lien? Is there any negative lien?
3. Write a note on "branch banking system in India".
4. What are the principles of sound lending?
5. When can a banker close the account of a customer?
6. Distinguish between general crossing and special
crossing.
7. State the points to be considered while advancing against
stock exchange securities.
8. Explain the duties of a collecting banker.
Sub. Code
22
DE-362
2
WS 20
SECTION B — × 15 60 marks)
Answer any FOUR questions.
9. Explain the relationship which generally exists between a
banker and a customer.
10. Explain the main functions of a central bank and show
how it controls the quantity of currency and credit in the
country.
11. Briefly narrate the circumstances leading to the closure
of different types of accounts.
12. Define endorsement. Explain with illustrations the
different kinds of endorsements and bring out their
significance.
13. Explain the advisability of lending by a banker against
goods and documents of title to goods.
14. Discuss the statutory protection available to a collecting
banker.
15. What do you understand by a negotiable instrument?
Explain the characteristics and types of negotiable
instruments.