Module: | MODULE A: INTERNATIONAL BANKING
Q72: Consider the following statements regarding penalties for LRS contraventions:
1. If the amount of contravention is quantifiable, the penalty can be up to three times the sum involved.
2. If the amount of contravention is not quantifiable, the penalty can be up to INR 2,00,000.
3. Where the contravention is a continuing one, a further penalty may be imposed for every day the contravention continues.
Which of the statements given above is or are correct?
2. If the amount of contravention is not quantifiable, the penalty can be up to INR 2,00,000.
3. Where the contravention is a continuing one, a further penalty may be imposed for every day the contravention continues.
Which of the statements given above is or are correct?
✅ Correct Answer: D
🎯 Quick Answer:
All statements (1, 2, and 3) are correct.Structural Breakdown: Quantifiable: Up to 300 percent (Three times) of the amount.
Non-Quantifiable: Up to INR 2,00,000 (2 Lakhs). Continuing Offense: If the violation continues after the first day, an additional penalty of up to INR 5,000 per day can be levied.
Nature: These are civil penalties.
Imprisonment arises only upon failure to pay the penalty (Civil Imprisonment).