Q. With reference to the Cooperative Banks, consider the following statements:
Select the correct answer using the codes given below:
Q. With reference to the Cooperative Banks, consider the following statements:
Select the correct answer using the codes given below:
The correct option is B 1 and 3 only
Explanation:
Statement 1 is correct: The short-term cooperative credit structure operates with a three-tier system - Primary Agricultural Credit Societies (PACS) at the village level, Central Cooperative Banks (CCBs) at the district level, and State Cooperative Banks (StCBs) at the State level.
Statement 2 is incorrect: PACS are outside the purview of the Banking Regulation Act, 1949 and hence not regulated by the Reserve Bank of India. StCBs/DCCBs are registered under the provisions of the State Cooperative Societies Act of the State concerned and are regulated by the Reserve Bank.
Statement 3 is correct: Powers have been delegated to the National Bank for Agricultural and Rural Development (NABARD) under Section 35 (6) of the Banking Regulation Act (As Applicable to Cooperative Societies) to conduct an inspection of State and Central Cooperative Banks.
Explanation:
Statement 1 is correct: The short-term cooperative credit structure operates with a three-tier system - Primary Agricultural Credit Societies (PACS) at the village level, Central Cooperative Banks (CCBs) at the district level, and State Cooperative Banks (StCBs) at the State level.
Statement 2 is incorrect: PACS are outside the purview of the Banking Regulation Act, 1949 and hence not regulated by the Reserve Bank of India. StCBs/DCCBs are registered under the provisions of the State Cooperative Societies Act of the State concerned and are regulated by the Reserve Bank.
Statement 3 is correct: Powers have been delegated to the National Bank for Agricultural and Rural Development (NABARD) under Section 35 (6) of the Banking Regulation Act (As Applicable to Cooperative Societies) to conduct an inspection of State and Central Cooperative Banks.
