Banking Law and Practice
Download as PPTX, PDF15 likes15,829 views
The document presents an agenda for revising key concepts in banking and finance law, including the Indian Contract Act 1872, the Relationship Between Banker & Customer, Rights and Duties of Bankers, Negotiable Instruments including Cheques and Bills of Exchange, consumer protection acts, and other relevant laws like the RTI Act, IT Act, Bankers Book Evidence Act, and SARFAESI Act. Each topic in the agenda is explained in detail covering important definitions, classifications, examples, and provisions of the various acts. The presentation aims to provide a comprehensive overview of the major areas of banking and financial law in India.
Banking Law and Practice
- 2. Agenda S.No Description 1 Indian Contract Act 1872 2 Relationship Between Banker & Customer 3 Rights Of a Banker 4 Duties Of a Banker 5 Banker’s Obligations 6 Negotiable Instrument Act 1881 , Cheque 7 Bill Of Exchange 8 Consumer Protection Act ,Law Of Limitation 1963 9 Right to Information Act 2005, Information Technology Act 2000 10 Banker’s Book Evidence Act 1891, SARFAESI Act 2002 11 Banking Ombudsman Scheme 2006
- 3. Indian Contract Act 1872
- 6. General and Special Relationship Debtor and Creditor Trustee and Beneficiary Lessor and Lessee Principal and Agent
- 7. Right to General Lien Pay Only When Demand ed Right to Set Off Rights Of a Banker Right to Appropri ation Right to Receive Commiss ion
- 8. Repay Money Receive Money Duties Of a Banker Give notice before closing A/c Maintain Secrecy
- 9. Banker’s Obligations Honour Cheques Abide By the Garnishee Order No Wrongful dishonour Of Cheques
- 10. Negotiable Instrument Act, 1881 Transferred from person to person towards settlement of monetary dues without a physical cash is called “Negotiability“ The paper used for such transactions is called a “Negotiable Instrument”
- 11. Types of Negotiable Instruments By Status Bill of Exchange Promissory Notes Cheques By Usage or Custom Hundis Share Warrants Banker’s Drafts Bearer Debentures Railway Receipts Circular Notes
- 12. Cheques • A Cheque is always Payable On demand. S.No Parties to a Cheque 1 Drawer: One who draws the Cheque i.e. the account holder. 2 Drawee: The bank on which the cheque is drawn. 3 Payee: The person who is named in the cheque to Receive payment. 4 Endorser: The Payee who desires to use the same Cheque to make his payment to someone else. 5 Endorsee: the person who receives the cheque from Endorser.
- 13. Example • For example , Pritam has an account with AN Bank. He wants to pay R.s 2000 to Geeta. Pritam: Drawer Draws Cheque to pay Geeta Balu: Endorsee Geeta: Payee Geeta Receives Payment AN Bank: Drawee Balu Receives Payment Geeta: Endorser Endorses same Cheque to pay Balu
- 14. 1. Endorsement 2. Classes of Endorsement Blank or General Endorsement Full or Special Endorsement Partial Endorsement Restrictive Endorsement
- 15. Types of crossing General Crossing Special Crossing Not Negotiable Account payee What is Bearer and Order Cheque ??
- 16. Consumer Protection Act (COPRA), 1986 Bank’s Improper Conduct Consumer Power
- 17. Law Of Limitations 1963 • • • • Introduction Reasons for Statutes of Limitation Triggering the Statutory Period Limitation Period
- 18. Right to Information(RTI) Act, 2005 Right to information Include : Access Information Inspect Information Obtain Information
- 19. Application and Information Fees Rs. 2 for each Page A4 Size Or A3 Size Larger Page as per Charge or Cost Price Right to Information Application Fees Rs 10(Cash/DD/PO) Free Of Cost if applicant is below poverty Line Sample and model as per cost Or price Free inspection for first hour. Then, Rs.5 for Every 15 minutes Rs. 50 for Floppy / diskette Rs. 2 per copy of extract Or cost of publication
- 20. Information Technology (IT), Act 2000 Information Technology Act 2000 and Banks DUE DILIGENCE
- 21. Banker’s Book Evidence Act 1891 • Banker’s Book Evidence Act • Definition Of Certified Copy • Banker’s Certifications on bank records used as Evidence
- 22. SARFAESI Act, 2002 Introduction Asset Reconstruction Company Bank Bad LoanNPA Borrowers
- 24. Banking Ombudsman Scheme, 2006 • Grounds Filling Complaint to the Banking Ombudsman • Methods to Filing the complaint • Complaint Resolution