SECTION - A : BANKING THEORY

Unit - I

Introduction - Origin and growth of banking in India - Kinds of Banks - Unit Vs. Branch Banking - Functions of Commercial Banks - Balance Sheet of a Commercial Bank - Investment Policy of Commercial Banks - Credit Creation and its limitations.

Unit - II

Indian Market and its Constituents - Moneylenders and indigenous bankers - their role in Indian money market.

Unit - III

Cooperative banks - District cooperative central banks - Land development banks - Regional Rural Banks - National Bank for Agriculture and Rural Development. Exchange Banks - Functions and problems. Suggestions for improvement - their role in financing of foreign trade.

Unit - IV

Reserve Bank of India - Its organization, objects and its working - functions - working - A performance appraisal.

Unit - V

State Bank of India - Organizational Structure - Objects - Functions - Working _ A critical appraisal of its performance.

SECTION - B : BANKING LAW AND PRACTICE

Unit -VI

Definition of banker and Customer - Relationship between Banker and Customer - General and special features of relationship.

Unit - VII

Opening of accounts - Special types of customers like minors, married women, partnership firms, companies, clubs and other non-trading institutions.

Unit - VIII

Negotiable instruments - Description and their special features - Duties and responsibilities of paying banker and collecting banker - circumstances under which a banker can refuse payment of cheques - consequences of wrongful dishonour.

Unit - IX

Precautions to be taken while advancing loans against securities - Goods - Documents of title to goods - Loans against real estate - Insurance policies - against collateral securities - Bankers Receipts.

Unit - X

Rule in Clayton's care - Garnishee order - Loans against equitable mortgage and legal mortgage and distinction between them - latest trends in deposit mobilisation.

Suggested Readings :

1. Vasanth Desai : Banking in India
2. P.N.Varshney : Banking Law and Practice
3. K.C.Sekhar : Banking Theory
4. M.L.Jhingan : Money, Banking and International Trade
5. Mithani : Currency and Banking
6. K.P.M.Sundaram : Currency and Banking and International Trade
7. M.C.Vaish : Monetary Theory
8. M.L.Tanroan : Law and Practice of banking in India