NPA MCQ

A borrower can raise objection under section ___ of SARFAESI Act 2002.

• 13 (2)
• 13(4)
• 13(3a)
• 14

A Project Loan (Non- Infrastructure) will be termed as NPA in case of non-achievement of commercial operation within _______________.

• One year from DCCO along with record of recovery
• Two years from DCCO along with record of recovery
• One year from DCCO with no relevance to record of recovery
• Two years from DCCO with no relevance to record of recovery

Authority to file suit in NPA accounts vests with__________.

• Chief Manager and above
• Regional Head only
• Any Branch Head as per his DLP
• Branch Head without any ceiling

Bank can proceed for take over of management under section ___ of SARFAESI Act 2002.

• 13 (4)
• 15
• 13(3a)
• 14

If the borrower has used available amount of working capital finance for the purchase of plant & machinery, the such action by the borrower is called…… of fund

• Deviation
• Siphon off
• Diversion
• Depletion

Lok Adalats conducted by Debt Recovery Tribunals can settle cases involving amount upto Rs __________.

• 20.00 Lacs
• 25.00 Lacs
• 30.00 Lacs
• No limit

Private Treaty for sale of property with value upto Rs 1 Crore can be resorted after failure of auction for ___ times.

• 2
• 1
• 3
• No such guidelines

Setting aside of money from Profits to compensate a probable loss caused on lending a loan is called 

• Provisioning.
• Asset Classification
• Income recognition norms
• Write off

_____ with default clause should be filed in Courts/ DRTs, in respect of accounts in which Bank enters into compromise settlement with Borrowers.

• Summon Memo / Joint Summon Memo
• Consent Memo / Joint Compromise Memo
• Agreement Memo / Joint Agreement Memo
• Settlement Memo / Joint Settlement Memo

“IRAC” is the abbreviation of:

• Income realization and asset classification
• Income recognition and asset classification
• Income recognition and asset consolidation
• Interest realization and asset classification