CS Professional · Banking and Insurance - Laws and Practice · Digital Banking
Vikram Joshi gave false information about his business address to the Certifying Authority when applying for a DSC, and later accepted the certificate. A bank reasonably relied on the certificate. Which statement is correct under Section 41(2)?
By accepting the DSC, Vikram certifies to all who reasonably rely on it that his representations to the Certifying Authority are true. Section 41(2)(b) imposes this certification, so his false address statement breaches what he certified, regardless of whether the bank received the certificate from him directly.
- ABy acceptance he certifies that all representations he made to the Certifying Authority are true, and this was untrue hereCorrect
- BOnly the Certifying Authority certifies the truth of the application details, so he is not affected
- CHe certifies truth only of information outside his own knowledge
- DHis certification applies only to persons to whom he personally gave the certificate
Explanation
Section 41(2)(b) states that on acceptance the subscriber certifies to all who reasonably rely that all representations made to the Certifying Authority and all material relevant to the information in the certificate are true. Clause (c) covers information within his own knowledge, not outside it. The certification extends to all who reasonably rely, not only direct recipients.
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