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Consider the following statements
1. The RBI has set up a working group to review the regulatory and supervisory framework for core investment companies (CIC).
2. The group will be headed by B P Kanungo.
Which of the following statements are correct?
  • a)
    1 only
  • b)
    2 only
  • c)
    Both 1 and 2
  • d)
    Neither 1 nor 2
Correct answer is option 'A'. Can you explain this answer?
Verified Answer
Consider the following statements1. The RBI has set up a working group...
The Reserve Bank of India (RBI) has set up a working group to review the regulatory and supervisory framework for core investment companies (CIC). The group will be headed by Tapan Ray, non-executive chairman, Central Bank of India and former Secretary in the Ministry of Corporate Affairs. Over the years, corporate group structures have become more complex, involving multiple layering and leveraging, which has led to greater interconnectedness with the financial system through their access to public funds, the RBI said regarding the objective behind forming the panel. Further, in the light of recent developments, there is a need to strengthen the corporate governance framework of CICs, it the RBI said. Troubled financial conglomerate Infrastructure Leasing and Financial Services is registered with the RBI as a CIC.
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Consider the following statements1. The RBI has set up a working group to review the regulatory and supervisory framework for core investment companies (CIC).2. The group will be headed by B P Kanungo.Which of the following statements are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'A'. Can you explain this answer?
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