BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The banker is under an obligation to take utmost care in keeping secrecy of the details of the customer. However, the obligation of secrecy is not considered essential when
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a banker is required to give evidence in the court
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there is national emergency and disclosure is essential in the public interest
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there are clear proofs of reason to the state and when consent is given by the customer to provide information for the preparation of balance sheet
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All of the above
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Explanation:
Detailed explanation-1: -The obligation of the banker to keep secrecy of his customer’s accounts – except in circumstances noted above – continue even after the account is closed. If a banker discloses information unjustifiably, he shall be liable to his customer and the third party as follows: (a) Liabilities to the customer.
Detailed explanation-2: -A banker is under a statutory obligation to disclose the information relating to his customer’s account when the law specifies required. The banker would, therefore, be justified in disclosing information to meet the following statutory requirements: Under the income tax act. Under the company acts.
There is 1 question to complete.