Q. Consider the following statements in reference to National Asset Reconstruction Company Limited (NARCL):

Which of the statements given above is/are correct?

1 only

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2 only

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Both 1 and 2

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Neither 1 nor 2

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Solution

The correct option is D Neither 1 nor 2
Explanation:

Statement 1 is incorrect: NARCL has been incorporated under the Companies Act and has applied to the Reserve Bank of India for a license as an Asset Reconstruction Company (ARC). NARCL has been set up by banks to aggregate and consolidates stressed assets for their subsequent resolution. PSBs will maintain 51% ownership in NARCL.

Statement 2 Is incorrect: NARCL will pay up to 15% of the agreed value for the loans in cash and the remaining 85% would be securities receipts. The government will not have any direct equity contribution to NARCL. It will guarantee securities receipts issued by NARCL, which will buy bad loans from banks.

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Consider the following statements with respect to the National Asset Reconstruction Company Limited:

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Q. The Enforcement of Security Interest and Recovery of Debts Laws and Miscellaneous Provisions (Amendment) Bill, 2016 was introduced in Lok Sabha which seeks to amend four laws including the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI).Consider the following statements about the SARFAESI Act:Which of the above statement(s) is/are NOT correct?

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Q. 56. Consider the following Statement with reference to financial Institution in India
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Q. Consider the following statements in reference to National Asset Reconstruction Company Limited (NARCL): Which of the statements given above is/are correct?

Q. Consider the following statements in reference to National Asset Reconstruction Company Limited (NARCL):

Which of the statements given above is/are correct?