GENERAL KNOWLEDGE

Detailed explanation-1: -A bill of exchange is a written note given by one person to another, instructing a third person to pay whoever presents it to them a sum of money. The Indian name for a bill of exchange is a hundi.

Detailed explanation-2: -Hundi may be written in any of the regional languages of India. Hundies are written for a fixed period or are payable on demand. Promissory Note: There is another method by which the promise made by the purchaser to pay for goods bought by him can be made which is definite and absolutely binding upon him.

Detailed explanation-3: -Darshani is a hundi which is payable at sight. It is like a demand bill.

Detailed explanation-4: -For the British government during colonial times, the hundi system was indigenous or traditional. They imposed a charge on transactions that occur within the system. Revenue stamps depicting the images of British rulers such as Queen Victoria were used to create official hundi forms.