BANKING AFFAIRS

Detailed explanation-1: -1.1 The Reserve Bank of India (“RBI”), an autonomous body created under an act of the Indian parliament i.e. The Reserve Bank of India Act, 1934, is entrusted, interalia, with the sole responsibility of regulation and supervision of banks under the Banking Regulation Act, 1949 .

Detailed explanation-2: -In addition to the Federal Reserve, the Federal Deposit Insurance Corporation (FDIC) and the Office of the Comptroller of the Currency (OCC) also supervise financial institutions.

Detailed explanation-3: -The Banking Regulation Act, 1949 empowers the Reserve Bank of India to inspect and supervise commercial banks.

Detailed explanation-4: -Though NBFCs come under the purview of the Companies Act, they are exempted from the above Rules since they come under RBI regulation under the Reserve Bank of India Act.

Detailed explanation-5: -The Department of Banking Supervision serves as the Secretariat for the BFS. Shri S P Talwar, Deputy Governor holding charge of the Bank’s regulation and supervision function has been the Vice-Chairman of the BFS since its inception. Dr. Y.