The provisions of nomination are found in various financial products like Life Insurance, Provident Fund, Gratuity, Co-operative societies and banking regulation acts (section 45ZC to 45 ZF) and Banking Companies (Nomination) rules 1985 and the relevant provisions of the Indian Succession Act. The nomination facility is available only to individual depositors and not to any…
The Karta is traditionally the senior most male coparcener of the Hindu Undivided Family (HUF). He is the person who takes care of the day-to-day expenses of the family looks after the family and protects the joint family properties. He remains to be Karta even if he becomes aged, infirm, or ailing. Where a senior…
(Article answers to the questions like whether younger coparcener can be made Karta when an elder sibling is alive, whether Daughters can also become Karta, whether the wife of the Karta can become Karta, whether there can be a HUF within a HUF, When the father was a Karta in his father’s HUF, who will…
RBI in its Statement on Developmental and Regulatory Policies on Thursday (August 8, 2024) announced the implementation of Continuous Clearing of Cheques under the Cheque Truncation System (CTS). The Cheque Truncation System (CTS) is an online Image-based Clearing System (ICS). In this system of clearing, the collecting bank need not present the physical cheque to…
“The Monetary Policy Committee held on Thursday (August 8) decided by a 4:2 majority to keep the policy repo rate unchanged at 6.5%. The MPC also decided to remain focused on withdrawal of accommodation to ensure that inflation progressively aligns with the target, while supporting growth. “These decisions are in consonance to achieve the medium-term…
Originally posted on July 22, 2014. Updated and reposted on 04.08.2024 Money laundering is the process wherein criminals attempt to conceal their booty and make an attempt to cover them as a legitimate source of income. A person shall be guilty of offence of money-laundering if such person is found to have directly or indirectly…
Anti-Money Laundering (AML) regulations in India are governed by the PMLA (Prevention of Money Laundering Act, 2002), which requires financial institutions and other entities to implement robust measures to detect and prevent money laundering activities. The PMLA lays down the broad framework for AML compliance requirements applicable to banking companies, financial institutions, and other intermediaries.…
Indemnity is an undertaking by one party (the indemnifying party) to compensate the other party (the indemnified party) for certain costs and expenses, typically stemming from third-party claims. There are generally two parties in indemnity contracts. Someone who promises to protect or compensate another person if he suffers any loss or damage is the indemnifier…
A lease is a contractual arrangement where one party, called the lessor, provides an asset for use by the other party, referred to as the lessee, based on the lease agreement. For example, when a customer hires a safe deposit locker from the bank, the relation between the bank and the customer is lessor and…
Section 182 of the Indian Contract Act, of 1872 defines the relationship between Agent and principal. According to the said section, an agent is a person employed to do any act for another or to represent another in dealings with third persons. The person acting on behalf of the other is called an agent, and…