Current Affairs Current Affairs - 07 July 2017 - Vikalp Education

Online Vikalp, Current Affairs, Current Awareness, General Awareness, Aptitude Classes, Daily News, General Knowledge, General Awareness For All Competitive Exam, current affairs quiz,current affairs in india, current affairs about sports, current affairs and gk, current affairs about india, current affairs daily quiz, current affairs dairy, current affairs education, Top News, Breaking News, Latest News

Current Affairs - 07 July 2017


General Affairs 

India, US, Japan to kick off mega naval exercise from Friday
  • Warships, submarines, aircraft and personnel from India, Japan and the US are to participate in the Malabar exercise in the Bay of Bengal from July 7-17, amid reports of the presence of Chinese warships in the Indian Ocean.
    Malabar 2017 is the latest in a continuing series of exercises that has grown in scope and complexity over the years to address the variety of shared threats to maritime security in the Indo-Asia Pacific, a US embassy statement said.
    The exercise will feature both ashore and at-sea training.
    While ashore in Chennai, training will include subject matter expert and professional exchanges on carrier strike group operations, maritime patrol and reconnaissance operations, surface and anti-submarine warfare, medical operations, damage control, explosive ordnance disposal (EOD), helicopter operations, and visit, board, search and seizure (VBSS) operations.
    EVENTS PLANNED AT-SEA PORTION
    The at-sea portions will be conducted in the Bay of Bengal and are designed to advance participating nations' military-to-military coordination and capacity to plan and execute tactical operations in a multinational environment.
    Events planned during the at-sea portions include liaison officer professional exchanges and embarks; a photo exercise; submarine familiarization; high-value unit defence; air defence exercises; medical evacuation drills; surface warfare exercises; communications exercises; search and rescue exercises; helicopter cross-deck evolutions; underway replenishments; gunnery exercises; VBSS exercises; and anti-submarine warfare, the release said.
    Participants from the US Navy include the Nimitz-class aircraft carrier USS Nimitz (CVN 68) with embarked Carrier Air Wing 11; the guided-missile cruiser USS Princeton (CG 59); guided-missile destroyers USS Howard (DDG 83), USS Shoup (DDG 86), and USS Kidd (DDG 100); a P-8A Poseidon aircraft; and a Los Angeles-class fast-attack submarine.
    MARITIME FORCES ARE NATURAL PARTNERS
    Indian, Japanese and US maritime forces have a common understanding and knowledge of a shared working environment at sea. Each iteration of this exercise helps to advance the level of understanding between our Sailors, and we hope to be able to continue this process over time. As members of Indo-Asia-Pacific nations, our maritime forces are natural partners, and we look forward to continuing to strengthen our bonds and personal relationships, it said.
    The Japan Maritime Self Defense Force ships JS Izumo (DDH 183) and JS Sazanami (DD113) will be participating in the exercise.

China hints Modi-Xi meet at G20 unlikely as 'political foundations damaged'
  • China today suggested a meeting between Prime Minister Narendra Modi and President Xi Jinping along the sidelines of the G20 summit in Hamburg was unlikely, saying that the Doklam standoff had "damaged the political foundations of the bilateral relationship".
    Foreign Ministry spokesperson Geng Shuang did not rule out a meeting, and said both leaders would meet on Friday at a BRICS informal leaders' meet which will give them the opportunity to exchange words.
    Sources said with Modi and Xi meeting on June 9 at the SCO summit, a G20 bilateral would have been unlikely in any case, although if scheduled it could have paved the way to deescalate the June 16 stand-off.
    "With regard to the bilateral meetings of President Xi on G20 sidelines, if any information we will release in a timely manner," Geng said. "As for arrangements on a bilateral meeting between President Xi and Prime Minister Modi, I have to point out that recently border troops trespassed into China and obstructed normal activities of Chinese troops in the Doklam area. This endangers China's sovereignty and territorial integrity and damaged the political foundations of bilateral relations between China ad India. We hope India can immediately withdraw border troops to Indian side of the boundary, uphold peace and tranquility of China India border area, and this is a precondition for any talk between two sides."
    Geng added that the BRICS informal meeting would take place on Friday in Hamburg.

    China today reiterated its stand that a withdrawal of Indian troops from Doklam was "a precondition" for talks. The Chinese Foreign Ministry also accused India of using Bhutan as "a pretext". Bhutan had on June 16 protested China's building of a road into the Doklam region which is contested by China and Bhutan.

PM Modi in Israel: When Indian soldiers fought at Haifa, British built Teen Murti
  • Haifa is the third biggest city and largest port of Israel. It has an almost century old connection with India through the World War I.
    Haifa was in news in April, when came a suggestion to rename Delhi's Teen Murti Circle after the Israeli city.
    Prime Minister Narendra today visited the Haifa Indian Cemetery and pay homage to the Indian soldiers who sacrificed their lives while fighting in the World War I.
    WHAT HAPPENED IN HAIFA IN 1918?
    In 1918, Indian soldiers fought the World War I alongside British forces. The British were in war with the then Ottoman Empire, who controlled a large part of West Asia. Haifa was part of the Turkish empire.
    The British had sent it 15th Imperial Service Cavalry Brigade to fight against the Ottoman and German forces at Haifa. Indian soldiers, who were part of the troop, came from the princely states of Jodhpur, Mysore and Hyderabad.
    While soldiers from Jodhpur and Mysore took field in the actual war, those from Hyderabad were employed in maintaining communication channels and serving the injured. The Indian soldiers were oddly equipped against an army that had heavy machine guns. It is said that the British commander was not in favour of moving forward to liberate Haifa after he became sure about the heavy artillery and machine guns in the enemy's camp. But, the Indian soldiers refused to back off saying that they would not be able to face people back home in Jodhpur and Mysore.
    They Jodhpur soldiers led by Major Dalpat Singh Shekhawat were at the forefront and won the Haifa war with the help of Mysore and Hyderabad forces. Major Shekhawat died fighting at Haifa. He is known as Hero of Haifa.
    Several historians have chronicled the bravery of Indian soldiers, who beat the bullet coming from machine guns with the speed of their cavalry.
    LAST CAVALRY WAR
    The Haifa war is also famous as the last battle won by the use of cavalry. The World War I had established that the new age weapons were far too superior against cavalry and the like. The practice of cavalry virtually ended after the World War I.
    Haifa war also stamped the bravery and martial skill-set of Indian soldiers, who captured 1350 German troopers in the battle. They also seized 17 guns, 11 machine guns. 60 of Indian horse soldiers were killed while 80 others were injured. 44 Indian soldiers lost their lives at Haifa. Their graves are present there.
    About 900 Indian soldiers died fighting on the soil of Israel during World War I. After the war ended, the Teen Murti Circle was built in Lutyens Delhi by British sculptor Leonard Jennings in 1922. The Haifa India Cemetery was built in Israel.
    The three statues at the Teen Murti Circle in Delhi represent the regiments of Jodhpur, Mysore and Hyderabad.
    The Haifa war was fought on September 22 and 23 in 1918. Indian Army celebrates September 23 as Haifa Day every year.

EC awaits Supreme Court's permission to resume linking of Aadhaar with voters' I-card
  • The Election Commission (EC) is waiting eagerly for the Supreme Court to hear its application and allow it to resume linking of Aadhaar to Electors' Photo Identity Card (EPIC). An application from EC requesting the apex court to permit it to go ahead with the linkage of the two crucial documents is already pending.
    Sources in the EC said, "We are hopeful that the Supreme Court would positively consider our application in the larger interest of a fair and transparent electoral system."
    The hope among the EC officials arises from the apex court allowing the Centre to link Permanent Account Number (PAN) with Aadhaar on June 9. The court has also allowed the central and state governments to use Aadhaar in various services.
    Several union ministries have filed applications with the Supreme Court to allow respective schemes to be linked to Aadhaar.
    As a result, Aadhaar is now accepted as a valid identity proof by the governments for availing services such as opening of bank and insurance accounts, bank transactions, passport application, telephone and mobile phone connections, buying rail tickets and availing concessions.
    Aadhaar was first used to pass on the subsidies of Direct Benefit Transfer (DBT) such as in the purchase of LPG cylinder and payment of MGNREGA. As of now, over 90 centrally-sponsored schemes from 19 ministries are implemented through DBT, which itself is linked with Aadhaar.
    ELECTION COMMISSION LAUNCHES NERPAP
    On February 27, 2015, the Election Commission issued guidelines for linking EPIC with Aadhaar as part of the National Electoral Rolls Purification and Authentication Programme (NERPAP). It launched the programme on March 3.
    One of the major objectives of NERPAP was to check multiple entries in electoral rolls and to make them error-free. For this purpose, Aadhaar number of electors was collected through various modes throughout the country.
    EC received the first hurdle in the form of various objections. People and organisations made various representations and complaints apprehending that a number of deletion of names of voters from the electoral rolls by booth-level officers (BLOs) might take place for not furnishing Aadhaar number.
    Secondly, complaints were also made apprehending the misuse of Aadhaar database. Some also asked whether EPIC cards would become redundant after furnishing Aadhaar number.
    EC went on the defensive. It was forced to clarify that Aadhaar was not mandatory but only optional. It said no electoral service would be denied to the voters on the ground that they had not submitted their Aadhaar number. It also clarified that non-furnishing of Aadhaar number would not be a ground for rejection of application for new enrolment against an application for new enrolment. Similarly, the name of existing voters would not be deleted from the electoral roll for not furnishing Aadhaar number.
    EC explained that Aadhaar number was being collected for authentication of details of the voters. However, it assured of confidentiality and security of data during the process of feeding and seeding.
    SUPREME COURT ORDER ON AADHAAR
    But a Supreme Court order dated August 11, 2015 put paid to EC's ambitious plan to link Aadhaar to voters' I-card. While delivering judgment in a writ petition [Justice (retd) KS Puttaswamy and another versus Union of India and others), the apex court ordered stopping of the production of Aadhaar card as a condition for obtaining any benefits.
    The court said that Aadhaar card would not be used for any purpose other than PDS scheme and for distribution of foodgrains, cooking fuel such as kerosene and LPG cylinder.
    In the light of this order, EC suspended the linking of Aadhaar with EPIC with immediate effect.
    But by then, EC had already collected and linked the Aadhaar cards of about 31 crore voters.
    HOPE REKINDLES
    However, the Centre has started filing applications ever since the Aadhaar Act was published in the Gazette on March 25, 2016.
    Further, the Supreme Court's order on June 9 permitting the Income Tax department to link PAN with Aadhaar has kindled hope among several departments, including the Election Commission. Once it obtains the permission, it would resume its ambitious project of linking Aadhaar with voters' I cards.

Government considers using private cars as shared taxis to cut traffic
  • India is examining the use of private vehicles as shared taxis in an effort to reduce car ownership and curb growing traffic congestion in major cities, sources familiar with the matter told Reuters.
    India's federal think-tank, which is chaired by Prime Minister Narendra Modi, has partnered with companies including ride-sharing firm Uber Technologies to assess the economic and environmental impact of using private cars as taxis, a government official involved in the process said.
    Increasing the availability of cars that can be used as cabs would be welcome news for Uber and its SoftBank backed local rival Ola, although it could heighten tensions with taxi operators that typically pay higher fees for commercial licences while facing more rigorous vehicle testing.
    India's government wants to reduce private car ownership, the official said, adding the three-month study will look at the safety, regulatory, tax and insurance implications.
    While the study is in its early days, the broad idea is to set up a clear and reasonable regulatory framework for ride-sharing so it allows companies to operate in India without ambiguity, another source involved in the process said.
    Although Uber is allowed to use private cars for ride sharing in countries such as Australia and Singapore, their use has faced opposition from taxi operators in parts of North America.
    An Uber spokesman said sharing private vehicles can help cut congestion and ensure more efficient use of cars.
    "We are engaging with a range of stakeholders in India about the best way to realise this vision," he said.
    CAR SALES IMPACT
    But such a move could dent car sales in India where the ownership ratio is already low compared with other countries. There are fewer than 20 cars for every 1,000 people in India.
    Maruti Suzuki, Hyundai Motor and Tata Motors are among the top-selling carmakers in the country, which is forecast to be the world's third-largest car market by 2020.
    Uber and Ola have built their taxi "fleets" in India by offering incentives such as free smartphones and cash bonuses to drivers, but both are now cutting back on these in an attempt to be profitable.Allowing the use of private cars as taxis would improve the supply of vehicles at a low cost, say analysts.
    "If most of these cars are affiliated with Ola and Uber then it's a win for them," Neil Shah, research director at consultant Counterpoint Research, said.
    The proposal, however, could antagonise current drivers, who have paid hefty fees to get a commercial taxi licence.
    Concerns around the safety of passengers would also need to be addressed, said Shah, adding that any new law must ensure private car drivers go through the same background and safety checks.

Business Affairs 

    Modi govt's GST a mockery; very, very imperfect: Chidambaram
    • The Modi government's Goods and Services Tax (GST) is "very, very imperfect" and cannot be called "one nation, one tax" as it has seven or more rates, senior Congress leader P Chidambaram said here today.
      The Congress will press for a reduction in tax rates and demand a cap of 18 per cent, besides seeking to bring petroleum, electricity and real estate under the new tax regime, the former finance minister told reporters.
      "This is a very, very imperfect GST. This is not the GST which we (the UPA) had envisaged," he said.
      What the government had implemented, he said, was a GST with at least seven rates.
      "It is a mockery of the GST. When we have rates such as 0.25, 3, 5, 12, 18, 28 and 40, and possibly more because of the discretion vested with state governments, how can we call this a 'one nation, one tax' regime," he wondered.
      Asked if the issue would be raised in Parliament, he said, "Of course, this is a preview".
      Chidambaram said the Congress would continue to watch the roll out of the GST and "articulate the fears and grievances" of businesses and consumers.
      "We will keep vigil over the possible misuse of the draconian powers given to the anti-profiteering authority. We will highlight the elements of the true GST," he said.
      The senior leader said his party would hold meetings across the country to highlight that the Congress was the "original proponent" of the GST and campaign for a "true GST".
      He noted that authorities and businesses were "unprepared or under-prepared" for the tax regime and said its launch should have been deferred by two months, while the GSTN (goods and services tax network) should have been put on a trial run.
      "I suggested a trial run for two months and effectively we should have a roll out of GST from September 1," he said.
      He said the government should have tried to make it as perfect a GST as possible as this was "very imperfect".
      "Yashwant Sinha, who appointed the empowered committee, has said this is not the GST which was envisaged. Neither Sinha, nor I nor my successor Pranab Mukherjee envisaged this.
      This is not the GST that Manmohan Singh envisaged," he said.
      Taking a dig at the government on demonetisation, the former finance minister said the note ban had "solved all our problems, as it abolished black money, removed fake currency, and has put an end to corruption. Demonetisation is God's gift to India".
      Asked if the GST would be inflationary, he said experts feared that in the short term it would be so, but his party would welcome any measure taken to contain inflation.
      On GST's effect on GDP, he said a Niti Ayog member had said there was no direct correlation between the two.
      "Therefore, to suggest that the moment you roll out GST, GDP will go up by an additional 2 per cent is purely speculative," he said.
      On whether the country could have one tax on luxury goods as well as essential items, the former finance minister said it meant the government did not believe in the GST.
      Chidambaram said by definition, the GST was a single tax and if the government thought the country was not yet ready for it, "do not have it and do not call it the GST".
      "For Indian conditions, there could be a standard tax and standard minus, standard plus. When you have seven or even 10 tax rates, don't call it the GST. Call it your Indian indirect tax system, don't call it the GST," he said.
      On Finance Minister Arun Jaitley's remark that every reform was disruptive, he said, "Every reform will be disruptive, but you should have prepared better. You should have allowed the people to prepare better."
      On the issue of government allowing stickers to be put on existing stocks without erasing the original price, he said this was a "desperate" measure.
      "The government is trying to make the best of a bad arrangement. The measure is unprepared or under-prepared," he said.
      The former FM said the government should have had a trial run for about two months and deferred the actual roll out till September 1. It should have made it clear that existing stocks had to be cleared in these two months.
      "There are ways and means that this could be addressed. I think they are now trying to make the best of a bad situation," he said.
      Chidambaram also said the Centre should have impressed upon the Jammu and Kashmir governments that without diluting Article 370, it was possible to implement GST in the state.
      On Tamil Nadu passing an ordinance to impose an additional 30 per cent tax on cinema tickets, he said if states were allowed to exercise their discretion, there would be so many rates that "we have the danger of unravelling the GST".

    IndiGo plans low-cost long haul international flights
    • No-frills airline IndiGo today said it plans to start low-cost long haul international flights and is "focused narrowly" on buying Air India's overseas operations.
      Little over a week after expressing its interest in buying out the operations of debt-laden Air India, IndiGo's founders -- Rahul Bhatia and Rakesh Gangwal -- laid out the airline's long term plans to capitalise on the "untapped international air transportation opportunities" provided by India.
      "Irrespective of how Air India story plays and based on our internal works, we are generally of the view that it makes fundamental economic sense for us to enter the long haul international market," Gangwal said.
      In a nearly an hour-long conference call with investors and analysts, he said the airline's long haul plans are guided by various factors, including the fact that India market is under-served by long haul international flights.
      "We believe international long haul market is ready for the right type of low cost operations," he noted.
      Making it clear that the long haul flight journey would be gradual, Gangwal said the business has to be profitable.
      "To be clear, whether we do limited transactions with Air India or launch our own long haul international operations or a combination of both, the business case would need to be EPS (Earnings per Share) accretive for us to go down that path," he said.
      Regarding its interest in Air India -- whose disinvestment was approved by the Cabinet last week -- Bhatia said IndiGo is "focused narrowly" on Air India's international operations and Air India Express.
      "In our view, that would be a herculean task which would at best a very challenging proposition and at worst an impossible task, unless an organisation is willing to fund large losses for a very long time," he noted.
      Suggesting the idea of carving out Air India's international operations at the time of sale, Bhatia said that even if the government decides to sell all of Air India's operations to a single entity, then also IndiGo would be interested in exploring that option.
      "Acquiring all of Air India's operations will bring with it a lot of issues and many more challenges and complexities.
      We will assess whether it would be feasible for us to go down that path.
      "At the end of the day, the exercise is not to become bigger for the sake of becoming bigger, but it is all about profitable growth and that is the bedrock principle at IndiGo," he said.
      Run by InterGlobe Aviation, profitable IndiGo is the largest domestic airline with a market share of over 40 per cent. At present, IndiGo flies to seven international destinations.

    Amazon invests over Rs 2,000 crore in India in last two months
    • Global e-tailing giant Amazon has invested over Rs 2,000 crore (over USD 310 million) in India in the last two months as it looks to consolidate its position in the country and fend off local rivals like Flipkart.
      The US-based firm pumped in Rs 1,680 crore in June into its online marketplace business in India, while Rs 341 crore was invested in the preceding month in the wholesale business.
      As per regulatory filings with the Corporate Affairs Ministry, Amazon Corporate Holdings and Amazon.com.incs has made these investments in the two Indian entities.
      The capital infusion will also provide more arsenal to the Indian entity that has been aggressively investing in expanding infrastructure and adding solutions to enhance consumer and seller experience.
      Last year, Amazon founder Jeff Bezos had committed investments to the tune of USD 5 billion into the Indian market.
      Estimates suggest that the company has already invested over USD 2 billion in the last few quarters in the Indian market.
      Amazon India, which has recently completed four years of operations, has been directing its investments towards building warehouses, strengthening logistics and increasing product assortment.
      Besides, money is also being invested in marketing and promotions as the company looks to bring more consumers into shopping online on its platform.
      Bezos, as part of investor calls, has highlighted the importance of the Indian market to its operations on multiple occasions and has assured that the company will continue to invest in India.
      When contacted, an Amazon India spokesperson said: "We remain committed to our India business with a long-term perspective to make e-commerce a habit for Indian customers and invest in the necessary technology and infrastructure to grow the entire ecosystem."
      With Tiger Global-backed Flipkart raising USD 1.4 billion earlier this year, the competition is intense and the rivals are already believed to be gearing up for the festive season.
      Amazon has invested Rs 341 crore in Amazon Wholesale India, the wholesale B2B arm of Amazon India. The company has also made an additional investment of Rs 1,680 crore in its India unit as it looks to further strengthen operations in the booming e-commerce market.

    UK court confirms Dec 4 as final hearing date in Mallya case
    • A UK court today rejected fugitive liquor baron Vijay Mallya's request to shift the final hearing date in his extradition case to next year and fixed it for December 4.
      Mallya, who is wanted in India for Kingfisher Airlines' default on loans worth nearly Rs 9,000 crores, has been in the UK since March 2016 and was arrested by Scotland Yard on an extradition warrant on April 18.
      The Crown Prosecution Service (CPS), arguing on behalf of the Indian government, told the Westminster Magistrates' Court in London that they had "excellent cooperation" with the Indian authorities in the case and now had sufficient material to establish a prima facie case for the extradition of the 61- year-old former chief of erstwhile Kingfisher Airlines.
      "We have completed a review of materials and I am happy to state that we have had excellent cooperation with the Indian authorities in this case," CPS barrister Mark Summers told the judge. "We are ready and willing to proceed and would invite the court to fix a hearing date at the earliest."
      The CPS also informed the court that the Indian authorities had been "anticipating issues" that may block the extradition and had already been engaging on prison conditions in India by giving "detailed assurances" on the matter.
      However, Mallya's defence team claimed they had received hundreds of pages of "further material being relied upon" as evidence only on last evening and that more time should be provided for them to review the material and keep a final date for hearing open in April 2018.
      "Mallya is keen to engage as constructively as possible with these proceedings...but there remains ongoing uncertainty on the final case. We also need a detailed opening note explaining how all the evidence fits together," said barrister Ben Watson, arguing on behalf of Mallya.
      The judge, Chief Magistrate Emma Louise Arbuthnot, agreed with the CPS to "progress with some rigour" and retained December 4 as the date for a final hearing in the case.
      She directed the Indian side to provide a detailed opening note on the case to Mallya's defence team by July 31, after which another hearing to asses the progress in the case would be held on September 14.
      The judge was also firm about the "skeleton" document on the case that would have to be submitted by both sides by November to not exceed 35 pages.
      She once again told Mallya that she would allow him not to attend the next hearing in September, adding that she had inquired about restraining media within barriers outside the court on the request of his defence team at last month's hearing but it would be a "step too far".
      When asked about his appearance despite being granted an exemption by the chief magistrate at last hearing on June 13, Mallya today said, "I do as my lawyers advise."
      Watson earlier told the judge that "Mallya likes to attend the hearings if possible."
      The Indian authorities believe their case is on a strong footing and all the evidence has been presented to the Crown Prosecution Service to argue India s case for extradition.
      "All documents and witness statements have been presented from the Indian side and the CPS is very happy with it. They are confident that all the evidence is in good order. So we are in good situation and all we hope is that the other side stop delaying," official sources told PTI.
      In a statement, the Indian High Commission today said evidence presented makes out a strong prima facie case against Mallya. Despite delaying tactics, it has been possible to have an indicated date in December 2017 for the hearing and the UK counsel CPS will continue to work towards an expeditious hearing of the entire case, it said.
      "In addition to the charge-sheets done by CBI, the Enforcement Directorate has also filed a charge-sheet against Mallya and the court has also issued a non-bailable warrant against him on July 5, 2017," the statement added.
      After the hearing, Mallya told reporters outside the court, "Let them present whatever they want. We will present our case."
      In April, he had attended a central London police station for his arrest and was released on conditional bail a few hours later after providing a bail bond worth 650,000 pounds, assuring the court of abiding by all conditions associated with extradition proceedings, such as the surrender of his passport and a ban on him possessing any travel documents.
      The first case management hearing in the case took place on June 13, when December 4 had been pencilled in as a tentative final hearing date.
      If the Chief Magistrate rules in favour of extradition at the end of the trial, the UK home secretary must order Mallya's extradition within two months of the appropriate day.
      However, the case can go through a series of appeals before arriving at a conclusion.
      India and the UK have an Extradition Treaty, signed in 1992, but so far only one extradition has taken place under the arrangement Samirbhai Vinubhai Patel, who was sent back to India last October to face trial in connection with his involvement in the post-Godhra riots of 2002.
      However, unlike Mallya, he had submitted to the extradition order without legal challenge.

    Customers should report fraud in 3 days to avoid losses: RBI
    • Customers will not suffer any loss if unauthorised electronic banking transactions are reported within three days and the amount involved will be credited in the accounts concerned within 10-days, the Reserve Bank of India said on Thursday.
      In case the third party fraud is reported with a delay of four to seven working days, a customer will face liability of up to Rs 25,000.
      However, in cases where the loss is due to negligence by the account holder (such as sharing of payment credentials), the customer will bear the entire loss until the unauthorised transaction is reported to the bank.
      Any loss occurring after reporting of the unauthorised transaction will be borne by the bank, RBI said while issuing revised directions on 'Customer Protection Limiting Liability of Customers in Unauthorised Electronic Banking Transactions'.
      RBI said the revised directions are being issued amidst recent surge in customer grievances relating to unauthorised transactions resulting in debits to their accounts/cards.
      There will be "zero liability of a customer" in case of third party breach where the deficiency lies "neither with the bank nor with the customer but lies elsewhere in the system".
      However, the customer will have to notify the bank within three working days of receiving the communication from the bank regarding the unauthorised transaction.
      A customer's entitlement to zero liability will also arise where the unauthorised transaction occurs due to "contributory fraud/negligence/deficiency on the part of the bank (irrespective of whether or not the transaction is reported by the customer)", RBI said.
      The maximum liability of a customer will be Rs 25,000 in cases where the responsibility for the unauthorised electronic banking transaction lies neither with the bank nor with the customer, but lies elsewhere in the system and when there is a delay of four to seven working days.
      If the fraud is report after seven days, the customer liability will be determined as per the bank s Board approved policy.
      The maximum liability of a savings bank account customer will be Rs 10,000 in such cases.
      Referring to reversal timeline for Zero Liability/ Limited Liability of customer, RBI said the bank should credit (shadow reversal) the amount involved in the unauthorised electronic transaction to the customer s account within 10 working days of reporting of the fraud.
      This has to be done without waiting for settlement of insurance claim, if any, RBI added.
      RBI further said that banks must ask their customers to mandatorily register for SMS alerts and wherever available register for e-mail alerts, for electronic banking transactions.
      "The SMS alerts shall mandatorily be sent to the customers, while email alerts may be sent, wherever registered," it added.

    General Awareness

    GENERAL AWARENESS PRACTICE QUESTIONS FOR ALL BANK EXAMS

    • 1. On 16 June 2017, RBI released a notification amending the .....
      1) Banking Ombudsman Scheme 2000
      2) Banking Ombudsman Scheme 2001
      3) Banking Ombudsman Scheme 2004
      4) Banking Ombudsman Scheme 2010
      5) Banking Ombudsman Scheme 2006

      2. Pecuniary jurisdiction of the Banking Ombudsman to pass an award has been doubled to ........
      1) Rs.20 lakh
      2) Rs.10 lakh
      3) Rs.2 lakh
      4) Rs.40 lakh
      5) Rs.30 lakh

      3. As per the amended rules of Ombudsman scheme, the compensation not exceeding .......... can also be awarded by the Ombudsman to the complainant for loss of time, expenses incurred as also, harassment and mental anguish suffered by the complainant
      1) Rs.1 lakh
      2) Rs.10 lakh
      3) Rs.5 lakh
      4) Rs.2 lakh
      5) Rs.1.5 lakh

      4. RBI on 16 June 2017, extended the scope of Ombudsman Scheme under which banks could be penalized for mis-selling third-party products like insurance and mutual funds via mobile or electronic banking. What is the aim of formulating Banking Ombudsman Scheme by RBI?
      1) to promote the deposits in the unbanked areas as the part of Financial inclusion
      2) to promote lending among the poor people, as they are depending on non-institutional sources
      3) to redress the grievances or complaints arising out of the deficiency in the banking services
      4) to universalize the discount of commercial bills issued by Commercial Banks
      5) to incorporate the list of Scheduled banks in the RBI Act 1934

      5. RBI introduced Banking Ombudsman Scheme as per Section 35 A of .....
      1) Negotiable Instruments Act 1881
      2) SARFAESI Act 2002
      3) Banking Regulation Act 1949
      4) FEMA, 1999
      5) RBI ACT, 1934

      6. Ombudsman scheme first introduced in.......
      1) USA
      2) India
      3) Australia
      4) France
      5) UK

      7. Which bank covered under the Banking Ombudsman Scheme?
      1) Scheduled Public Sector Banks
      2) Scheduled Private Sector Banks
      3) Regional Rural Banks
      4) Scheduled Primary Co-operative Banks
      5) All of above

      8. Banking Ombudsman is a senior official appointed by...........
      1) Finance Minister
      2) RBI
      3) SEBI
      4) FSDC
      5) None

      9. As per the present rules, any person can file a complaint before the Banking Ombudsman, if the satisfied reply is not received from the bank within a period of..........
      1) One month
      2) Three months
      3) Two months
      4) Six months
      5) Twelve months

      10. The Ombudsman rejects the compliant of the customer if...
      1) the customer does not approach the bank first
      2) one has not made the complaint within one year from the date one has received the reply of the bank or if no reply is received if it is more than one year and one month from the date of representation to the bank
      3) subject matter of the complaint is pending for disposal / has already been dealt with at any other forum like court of law, consumer court
      4) complaint is Frivolous or vexatious
      5) In all above cases, the Ombudsman will not accept the compliant from customer

      11. The fee collected by Ombudsman to take compliant from the customer?
      1) Rs.5
      2) Rs.100
      3) Rs.10
      4) fix by the bank
      5) No fee collects by the Ombudsman

      12. The Ombudsman take the compliant and can take action if ......
      1) non-payment or delay in payment of inward remittances
      2) non-credit of proceeds to parties accounts, non-payment of deposit or nonobservance of the Reserve Bank directives
      3) not accepting the legal tender and or for charging of commission in respect thereof
      4) inordinate delay in the payment or collection of cheques, drafts, bills
      5) In the all above cases the Ombudsman take action against bank

      13. When the Ombudsman take action against the bank?
      1) collecting charges without adequate prior notice to the customer
      2) refusal to accept or delay in accepting payment towards taxes, as required by government
      3) refusal to close or delay in closing the accounts
      4) non-observance of Reserve Bank guidelines on engagement of recovery agents by banks
      5) In the above all cases, Ombudsman take action against the bank

      14. The RBI framed a rule that any customer not satisfied with Ombudsman decision, then the customer can put an appeal to.........
      1) Governor, RBI
      2) Governor of that State
      3) Finance Minister of India
      4) President of India
      5) Deputy Governor of RBI

      15. RBI amended Banking Ombudsman Scheme includes complaints relating to Internet Banking and Non-adherence to BCSBI Code on 5 February 2009. BCSBI stands for.........
      1) Banking Core and Standards Board of India
      2) Banking Codes and State Board of India
      3) Banking Codes and Standards Board of India
      4) Business Codes and Standards Board of India
      5) Banking Codes and Standards Bureau of India

      16. RBI constituted committee under the Chairmanship of ................. to review the Ombudsman Scheme on 7 January 2013?
      1) C. Ranga Rajan
      2) Suma Chakravarti
      3) Suma Verma
      4) Usha Thorat
      5) S.S.Mundra

      17. 'RTGS' can be defined as the continuous settlement of funds transfers individually on an order by order basis (without netting). In this context, RTGS stands for...........
      1) Real Time Glad Settlement
      2) Real Tick Gross Settlement
      3) Real Time Gross Settlement
      4) RBI Time Gross Settlement
      5) Real Time Gross Statement

      18. In Real Time Gross Settlement transfer, 'Real Time' means .....
      1) Money actually transferred in the rupees only
      2) Money sending by the individual account holder only as the companies not allowed to do online transactions
      3) Account holder advancing money to the beneficiary, which can be transferred at the later time
      4) The processing of instructions at the time they are received rather than at some later time
      5) All above are wrong statements

      19. In RTGS, 'Gross Settlement' means........
      1) settlement of funds done occasionally (order disputed with the bank)
      2) settlement is not final, though it can be send now (order is in suspense mode)
      3) settlement of funds happened later (urgency is not there )
      4) settlement of funds transfer instructions occurs individually (on an instruction by instruction basis)
      5) None of these

      20. In the RTGS, funds settlement takes place in the books of the RBI, the payments are.........
      1) put in pending
      2) not final at all
      3) final but revocable
      4) final and irrevocable
      5) None of the above statement is correct

      21. Minimum amount to be remitted through RTGS is .......
      1) Rs.5 lakh
      2) Rs.1.5 lakh
      3) Rs.2 lakh
      4) Rs.2.5 lakh
      5) Rs.1.2 lakh

      22. The Maximum amount can be send through RTGS is ..........
      1) Rs.20 lakh
      2) Rs.12 lakh
      3) Rs.2 lakh
      4) Rs.1 crore
      5) There is no upper limit

      23. In RTGS, under normal circumstances the beneficiary branches are expected to receive the funds in real time as soon as funds are transferred by the remitting bank. The beneficiary bank has to credit the beneficiary's account within .......... of receiving the funds transfer message
      1) 5 minutes
      2) 10 minutes
      3) 60 minutes
      4) 30 minutes
      5) 90 minutes

      24. Which of the following statement is wrong relating to RTGS?
      1) remitting bank receives a message from the Reserve Bank that money has been credited to the receiving bank
      2) remitting customer get back the money if it is not credited to the beneficiary's account
      3) remitting customer does not get back the money if it is not credited to the beneficiary's account
      4) All inward RTGS transactions free
      5) IFSC Number of the receiving branch must be mentioned by transferor

      25. IMPS is an innovative real time payment service that is available round the clock. In this context, IMPS stands for............
      1) Indian Payment Service
      2) Instant Payment Service
      3) Immediate Portion Service
      4) Immediate Payment Service
      5) Immediate Patent Service

      26. Which of the following one is not the advantage of IMPS?
      1) instant transfer
      2) Available 24 × 7 (functional even on holidays)
      3) Channel Independent can be initiated from Mobile/ Internet / ATM channels
      4) Safe and secure, easily accessible and cost effective
      5) All of above are the advantages of IMPS

      27. Both banked as well as un-banked customer can avail IMPS. However, unbanked customer can initiate IMPS transaction using the services of PPI. PPI in this context stands for...........
      1) Principle Paid Payments instrument issuer
      2) Pre Paid Payments instrument issuer
      3) Pre Paid PAN instrument issuer
      4) Post Paid Payments instrument issuer
      5) Pre Poll Payments instrument issuer

      28. MMID issued by the bank. Combination of Mobile number & MMID is uniquely linked with an Account number and helps in identifying the beneficiary details. MMID stands for............
      1) Mode Money Identifier
      2) Mobile Made Identifier
      3) Mobile Money Identifier
      4) Mobile Moment Identifier
      5) Mobile Money Indication

      29. QSAM (Query Service on Aadhaar Mapper) service helps user in knowing their Aadhaar Seeding status with their bank account. QSAM service can be available by dialing which number?
      1) *99#
      2) *99*99#
      3) *100#
      4) *99*9#
      5) *1234#


      30. India has recently donated how much amount to UN Peace Building Fund (PBF)?
      1) $4 Lakh

      2) $5 Lakh
      3) $6 Lakh
      4) $8 Lakh
      5) None of these

      ANSWERS:
      1-5, 2-1, 3-1, 4-3, 5-3, 6-5, 7-5, 8-2, 9-1, 10-5
      11-5, 12-5, 13-5, 14-5, 15-3, 16-3, 17-3, 18-4, 19-4, 20-4
      21-3, 22-5, 23-4, 24-3, 25-4, 26-5, 27-2, 28-3, 29-2, 30-2.

    No comments:

    Featured post

    Current Affairs - 16 December 2018

    General Affairs   Cyclone Phethai Gathers Over Bay Of Bengal, May Hit Andhra On Monday ...

    Copyright © 2016. Vikalp Education
    loading...