Skip to content

CS Executive · Capital Market and Securities Laws · International Financial Services Centres Authority (IFSCA)

A draft notification under Section 31 is laid before Parliament. Before the expiry of the session immediately following the laying period, both Houses agree to a modification in the draft. What is the legal result?

The notification can be issued only in the modified form agreed upon by both Houses. Under Section 31(2), agreement of both Houses on a modification binds the Central Government, whereas agreement on disapproval stops issue altogether. The IFSCA has no role in this process.

  1. AThe notification is issued in the original form regardless
  2. BThe notification is issued only in the modified form agreed by both HousesCorrect
  3. CThe notification lapses permanently and cannot be proposed again
  4. DThe IFSCA decides whether to accept the modification

Explanation

Section 31(2) states that if both Houses agree in disapproving, the notification is not issued; if both agree in making a modification, it is issued only in the modified form agreed. Option 3 confuses modification with disapproval, and nothing in the section bars a fresh proposal or gives IFSCA a role.

Did you get it right without looking?

One question tells you little. A timed set on International Financial Services Centres Authority (IFSCA) shows your real accuracy, how long you take and where you lose marks.

Practise International Financial Services Centres Authority (IFSCA)Free diagnostic mock

More International Financial Services Centres Authority (IFSCA) questions